| Over the past few decades, China has made great achievements in the economic and social aspects, the economic aggregate ranked second in the world, people’s living standards got to a new level. With rapid economic development, there is many problems, such as the quality and sustainability of the economic development. There is no doubt that in a very long time there is a serious problem in the way of our country’s economic growth, especially the industrial structure that restrict China’s economic development. So industrial structure optimization is not only the problem today’s government should attach importance to, but also hot topics many scholars are discussing.On December2,2005, the State Council promulgated "the Interim Provisions on Promoting Industrial Structure Adjustment ". At the same time, the National Development and Reform Commission issued the "Guiding Catalogue of Industrial Structure Adjustment". These two decision meant the adjustment and reform of the industrial structure officially began. Today, our country still faces many challenges, such as resource and environmental constraints, weak scientific and technological innovation capability, intensified competition for regional development, increasing social conflicts. For challenges of enhanced environmental constraints and weak technological innovation ability, it is of important theoretical and practical significance to focus on the law and the way that the environmental regulation and innovation capability influence the industrial structure optimization.Taking Sichuan Province as an example, this article tests the spatial effects of environmental regulation and innovation capability on the industrial structure optimization from the perspective of empirical.(1)Firstly, the article verifies the spatial autocorrelation of industrial structure optimization. The results show the Moran index of21cities in Sichuan Province is between0.1and0.3, showing a strong spatial autocorrelation in individual years, which means there is certain positive autocorrelation at the global level. In the local autocorrelation analysis, the areas which have spatial autocorrelation are in the majority. The northeast region of the province is at a high level of industrial structure, and there has been a high level of industry aggregation, and central areas are in the low industrial structure community.(2)This article uses the spatial panel data model to research the relationship between the environmental regulation, innovation capability and industrial structure optimization. It is discovered that the impact of environmental regulation on industry structure optimization is inverted "U" shape, and the impact of innovation capacity on the industrial structure optimization is "U" shape. The autocorrelation coefficient is significantly greater than zero, and it has once again proven the presence of autocorrelation in space.(3)By geographic weighting regression model analysis of the spatial evolution of environmental regulation, innovation ability and industrial structure optimization, it is found that the areas where environmental regulation have a significant positive influence on industrial structure optimization gradually expand from the northeast area such as Bazhong and Dazhou to the whole range of Sichuan province over time, and the degree of impact is gradually increased. The impact of innovation ability to industrial structure optimization is gradually weakened from the center, such as of Chengdu, Meishan, to the peripheral regions.(4)Finally, the corresponding policy recommendations are put forward according to the results of the article. |