diff --git a/core/src/main/scala/org/apache/spark/api/python/PythonUtils.scala b/core/src/main/scala/org/apache/spark/api/python/PythonUtils.scala
index acbaba6791850..1c92af45f869a 100644
--- a/core/src/main/scala/org/apache/spark/api/python/PythonUtils.scala
+++ b/core/src/main/scala/org/apache/spark/api/python/PythonUtils.scala
@@ -35,6 +35,10 @@ private[spark] object PythonUtils {
       pythonPath += Seq(sparkHome, "python", "lib", "py4j-0.8.2.1-src.zip").mkString(File.separator)
     }
     pythonPath ++= SparkContext.jarOfObject(this)
+    sys.env.get("PYSPARK_ARCHIVES_PATH") match {
+      case Some(path) => pythonPath += path
+      case None => // do nothing
+    }
     pythonPath.mkString(File.pathSeparator)
   }
 
diff --git a/yarn/src/main/scala/org/apache/spark/deploy/yarn/Client.scala b/yarn/src/main/scala/org/apache/spark/deploy/yarn/Client.scala
index cdc3ad51492e7..c1effd3c8a718 100644
--- a/yarn/src/main/scala/org/apache/spark/deploy/yarn/Client.scala
+++ b/yarn/src/main/scala/org/apache/spark/deploy/yarn/Client.scala
@@ -371,11 +371,6 @@ private[spark] class Client(
       env(ENV_DIST_CLASSPATH) = dcp
     }
 
-    sys.env.get("PYTHONPATH") match {
-      case Some(pythonPath) => env("PYTHONPATH") = pythonPath
-      case None => // do nothing
-    }
-
     env
   }
 
diff --git a/yarn/src/main/scala/org/apache/spark/deploy/yarn/ExecutorRunnable.scala b/yarn/src/main/scala/org/apache/spark/deploy/yarn/ExecutorRunnable.scala
index 3e23cb8e616f1..6c1101d8ac42e 100644
--- a/yarn/src/main/scala/org/apache/spark/deploy/yarn/ExecutorRunnable.scala
+++ b/yarn/src/main/scala/org/apache/spark/deploy/yarn/ExecutorRunnable.scala
@@ -75,7 +75,12 @@ class ExecutorRunnable(
 
     val localResources = prepareLocalResources
     ctx.setLocalResources(localResources)
-
+    // From SPARK-1920 and SPARK-1520 we know PySpark on Yarn can not work when the assembly jar are
+    // package by JDK 1.7+, so we ship PySpark archives to executors by Yarn with --py-files, and
+    // add this path to PYTHONPATH.
+    for ((k, v) <- localResources if k.contains("spark-pyspark")) {
+      env("PYSPARK_ARCHIVES_PATH") = k
+    }
     ctx.setEnvironment(env)
 
     val credentials = UserGroupInformation.getCurrentUser().getCredentials()
@@ -299,12 +304,6 @@ class ExecutorRunnable(
     }
 
     System.getenv().filterKeys(_.startsWith("SPARK")).foreach { case (k, v) => env(k) = v }
-
-    sys.env.get("PYTHONPATH") match {
-      case Some(pythonPath) => env("PYTHONPATH") = pythonPath
-      case None => // do nothing
-    }
-
     env
   }
 }