Abstract: In the past 20 years, Chinese rural industry has got great achievements and comes to be a vital factor of national economy. It's very important to study regional rural industrial competitive power to promote rural industrial sustainable development. It's also useful to set up various characteristic frameworks of regional rural industrial competitive power. This paper tries to bring forward a general index system to competitive power assessment. It's based on the outputs of former studies and my own research on main factors of rural industrial competitive power. Index to competitive power is achieved by factor analysis. Regional difference and types of rural industrial competitive power in China is explored. Besides these, this paper is trying to find out measures to improve competitive power. Some conclusions are drawn as followed: 1) The regional difference of rural industrial competitive power is consistent with rural industrial gross output. By the analyse of rural industrial competitive power of 30 provinces, it can be found out that the competitive power of rural industry in most of east provinces is stronger; And the power of competitive in west provinces is lower. Only Henan and Hunan these two provinces have a little stronger competitive power in central China. 2) The rural industrial enterprises in the east region have made greater progress with benefit of output, upgrading of industrial structure and market-based process through structural adjustment in recent years. Though the growth rate of rural industry in the west region is very fast in recent years, quality of development is far behind the east region. The gap between east and west in the development of rural industry will be greater and greater. And this gap will be shown in quality of development more and more. The central and west regions need to spend a long time to improve their rural industrial competitive power. And they must make good use of natural and workforce resources under the support of policy bias and industrial groups with better foundation to improve their competitive power.