Abstract:Environmental protection industry is an important basis and technical support for regional and national environmental protection, and has become one of most potential new economic growth point of national economy development. This paper, taking Yunnan Province as a regional example, analyzed the dynamics of development, the expansion and the industrial structure optimization, and discussed the development pattern of cluster. The development of Yunnan Province's environmental protection industry achieved both the improvement of the ecological environment and the exploitation of natural resources. According to these requirements, development strategies were proposed on the clean production techniques, resources comprehensive utilization, soil remediation and environmental service.