Abstract: Acting as an international driven element, foreign investment is shaping the industrial distribution of China. While foreign fund promotes the development of industry of China, the disparity with respect to preferential policies and investment environment of different areas emerges, giving birth to the unbalanced distribution of foreign investment in our country. In response to the active role of foreign fund in industrial economy of beneficiaries, the difference in investment environment may bring about a wider gap in this respect across China. Therefore, with this international driven element, areas boasts of sound economic foundation can make full use of this resource to assume their competitive power, while areas with relatively weak economic foundation may find themselves lagging further behind.