In 1904, a U.S. Naval officer, Benjamin Franklin Pinkerton, rents a house on a hill in Nagasaki, Japan for him and his soon-to-be wife, Butterfly. Her real name is Cio-Cio San, (Cio-Cio, pronounced "Chocho", is Japanese for Butterfly). She is a 15 year-old Japanese girl whom he is marrying for convenience, since he intends to leave her once he finds a proper American wife, and since Japanese divorce laws are very lax. The wedding is to take place at the house, and Butterfly is so excited to marry an American that earlier, she secretly converted from Shinto to Christianity. After the wedding ceremony, her uninvited uncle, a Bonze or Shinto priest, who has found out about her conversion, comes to the house, curses her and orders all the guests to leave, which they do while renouncing her. Pinkerton and Butterfly sing a love duet and prepare to spend their first night together.
Three years later, Butterfly is still waiting for Pinkerton to return, as he had left shortly after their wedding. Her maid Suzuki keeps trying to convince her he is not coming back, but she will not listen to her. Goro, the marriage broker who arranged her marriage, keeps trying to marry her off again, but she won't listen to him either. The American Consul, Sharpless, comes to the house with a letter which he has received from Pinkerton in which he is asked to break some news to Butterfly that he is coming back to Japan, but he cannot bring himself to finish it, because Butterfly becomes very excited to hear that Pinkerton is coming back. Sharpless asks Butterfly what she would do if Pinkerton were not to return. She then reveals that she gave birth to Pinkerton's son after he had left and asks Sharpless to tell him.
From the hill house, Butterfly sees Pinkerton's ship arriving in the harbor. She and Suzuki prepare for his arrival, and then they wait. Suzuki and the child fall asleep, but Butterfly stays up all night waiting for him to arrive.
Suzuki wakes up in the morning and Butterfly finally falls asleep. Sharpless and Pinkerton arrive at the house, along with Pinkerton's new American wife, Kate. They have come because Kate has agreed to raise the child. But, as Pinkerton sees how Butterfly has decorated the house for his return, he realizes he has made a huge mistake. He admits that he is a coward and cannot face her, leaving Suzuki, Sharpless and Kate to break the news to Butterfly. Agreeing to give up her child if Pinkerton comes himself to see her, she then prays to statues of her ancestral gods, says goodbye to her son, and blindfolds him. She places a small American flag into his hands and goes behind a screen, cutting her throat with her father's hara-kiri knife. Pinkerton rushes in. He is too late.