Abstract:China is now in the stage of the New Normal, the economic growth rate decreased gradually, and this trend is expected to continue.The Chinese economy is now enduring great pain in its transition.In this paper, the structure of the economy is analyzed in detail, including the industry structure, the investment structure, the consumption structure, and the foreign trade structure.It reveals the fact that China is now heading towards a more efficient and more sustainable economic development mode on its transition road.Moreover, the global economic environment, and the domestic economic foundation, the domestic economic governance, and the domestic cultural environment are all favorable to China's economic transition.In order to guarantee a smooth transition, some policy suggestions are proposed:To make a good psychological preparation for the pain of transition, to stick the direction of transition without hesitation, to make sure the consistency of the policies, to solve the overcapacity and high leverage of debt problems properly, and to release more freedom to the social institutions and market.