Deregulation, liberalization and privatization had been the global trend of reformation in natural monopoly industries for recent twenty years. Our country has begun the revolution in some fields like telecommunication, electric power and civil aviation, but the reform of railway industry failed to gain substantive progress. On the bases of studying the western experience model that the nation railway industry is reformed and the authentic proof analysis to Chinese railway industry, this paper have put forward the means of Chinese railway industry reform: law reconstruction, organization reformation, industrial structure adjustment and adoption of new regulating methods.First part in this paper analyzed the theory foundation of railway regulation, and the economics reasons of regulating reformation. Second part has looked back the course of regulating reform in U.S.A, U.K. and Japan, attempts to look for out the reference meaning to China railway industry reform. Third part analyzed the present situation of our railway industry with SCP's frame, and has pointed out the primary problems in reform of our country railway industry. Last part has put forward the blue print of our country railway industry reformation, especially discussed two problems: industrial reconstruction and price regulating.
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