In the progressive mode, after decades of reform and opening-up, the reform of China's state-owned enterprises is facing the problem vested interest groups that obstruct further reforms. In our view, the current "New Normal" of China's economy is similar to the situation in which China's reform is taking place, where the past models have become impracticable and require structural breakthroughs and transformation. Even if China is still taking the path of gradual reform, it should be ready for the determination of major changes. As the reform deepens, it would be necessary to do more than reforming slowly and steadily. China's New Normal will not be able to maintain the previous high growth rate, but it has the advantage of exerting pressures on China’s economic reform.