This thesis reveals a significant improvement to an approach on developing novel rubberized bituminous material for use in flexible pavements. The connections between chemistry, rheology and mechanical properties of bituminous material are discussed in this thesis. A patent technology holding by LCMT team has been applied and improved to control the swelling during the dry process of producing rubberized bituminous material. The Scanning Electronic Microscope (SEM), Fourier Transform Infrared spectrum (FT-IR) and other technology has been adopted to characterize the effects of the modified patent technology. The experimental results indicated that new chemical functional groups have been generated by the improved treatment. SEM graphs of waste rubber particles before and after the treatment demonstrated that the morphological characteristics of rubber powder are apparently different. Other respective tests also confirmed the treatment's positive effects. This modified treatment has been confirmed to be a significant improvement of the stability and other relevant properties of the rubberized bituminous material, and its economical & green prospects make it a competitive rubber applying process for real construction works. On the other hand, new design of the rubberized bituminous material, in which a specific amount of hydrated lime was applied to stabilize the rubber content, has been proved to be a successful supplement to the rubberized bituminous material according to the lab tests. The future plan for further study of this project on designing and testing has been presented in the final part of the thesis as well.