Over 80% of the Chinese textile industry is built in the east-coast provinces. With the development of textile industry structural adjustment and industry upgrading process, guiding the textile industry transfer from east region to middle and west regions can not only efficiently take the comprehensive advantages of the regions, but also maintain Chinese textile industry’s sustainable development and competitiveness in global market. This article summarized changes in the regional allocation of Chinese textile industry since 2000. Necessity and characteristics of the textile industry transfer, as well as the main effecting factors which include production cost, investment environment and investment models were also discussed. Furthermore, some existing problems were put forward to improve the level of the textile industry transfer.