In this study, based on analyzing the characteristics and concept of circular industry, a reasonable index on the development ability of circular industry is proposed. In allusion to the index system, a hybrid index hierarchy fuzzy assessment support system and the corresponding assessing standards are developed. Based on the above results, a case study focusing on dynamic change about the development ability of circular industry is carried out in Jiangsu province from the 1998 until 2003. Finally, some basic measures for enhancing the development ability of circular industry are suggested.