Abstract: In recent years, low-end locking phenomenon of manufacturing industry and its upgrading path in the region of Yangtze River Delta has become one of hot topics in the field of China’s manufacturing industry development research. China’s forceful implementation of boosting domestic demand and accelerating consumption structure upgrade process strategies together with the quickening of regional integration of Yangtze River Delta offer a unique historical opportunity for traditional manufacturing industry in the region of Yangtze River Delta to realize its industrial upgrade through National Value Chain (NVC) establishment. The main obstacles faced by traditional manufacturing industry in the region of Yangtze River Delta in its upgrading process to high-end activities of global value chain are analyzed from the perspective of value chain. By formulating theoretical analysis model, the upgrade mechanism of regional traditional manufacturing industry is test based on the theory of NVC; the main paths to upgrade traditional manufacturing industry in the region of Yangtze River Delta are also explored.

Key words: manufacturing industry in the region of Yangtze River Delta, NVC, traditional industrial upgrade