Global supply chain is experiencing profound changes. ANBOUND think tank scholars believe that it will have great influences on China's manufacturing industry whatever its path and direction are. Thus, China should look at its industrial upgrading from the perspective of risks and challenges of global supply chain. First, China should accelerate the transformation and upgrading of manufacturing industry and continue to strengthen its advantages in manufacturing industry. Second, it should make full use of "Chinese market" and “Chinese investment”, accelerate the expansion to both sides of the supply chain and improve its ability of integrating global supply chain.