Abstract: Generally, China's industrial sector has made significant technical progress and also increased the industrial income gap. The market structure will affect industrial technical progress. Those monopoly industries get obvious technical changes, but their technical efficiency has been deteriorated, while competitive industries obtain comparative advantages in technical efficiency. Technical changes have widened the trade income gap, but the pure technical efficiency and scale efficiency have narrowed the gap on the contrary. A path widening the gap starts from industrial monopoly to capital deepening, then to technical changes, and then to trade income gap. From the view of the trade income gap and technological progress, China's industrial and technical progresses have an extensive feature. The cost of delaying reform may be higher due to the time cumulative effect of trade income gap.