Objective We evaluated whether high-normal serum uric acid can predict the development of chronic kidney disease (CKD) in patients with type 2 diabetes and preserved kidney function at baseline. Methods This was an observational longitudinal study of patients presenting at the Department of Endocrinology, Pusan National University Hospital. A total of 512 patients with type 2 diabetes and preserved kidney function (estimated glomerular filtration rate [eGFR] ≥ 60 mL/min/1.73 m²) and normouricemia were included. The main outcome was development of CKD of stage 3 or greater. The patients were divided into four groups according to quartiles of serum uric acid levels. Results Higher serum creatinine and lower eGFR were found at baseline in the highest serum uric acid quartile group (both P < 0.001). During the follow-up period, 62 (12.1%) patients had progressed to CKD 3 or greater. The group with the highest-normal range of serum uric acid (Q4) showed a higher cumulative incidence of CKD stage 3 or greater than that of the other lower quartiles (Q4 vs. Q3; P =0.037, Q4 vs. Q2; P < 0.001, Q4 vs. Q1; P < 0.001). In a univariate analysis, Q4 was significantly associated with the development of CKD 3 or greater (log-rank statistic, 31.93; P < 0.001). In a multivariate analysis, Q4 (hazard ratio, 3.41; 95% confidence interval, 1.34~8.69; P = 0.01) showed a significant association with CKD 3 or greater. Conclusion High-normal serum uric acid may predict the occurrence of CKD stage 3 or greater in patients with type 2 diabetes and preserved kidney function.