The present invention provides an application of an SRC homology region 2-containing tyrosine phosphatase-1 agonist in preparation of drugs for treating and reducing a fibrotic disease. Preferably, the agonist is formula (I) as represented by SC-43; the fibrotic disease is skin sclerosis, cardiac fibrosis, pulmonary fibrosis, hepatic fibrosis, pancreatic fibrosis, or renal fibrosis.