Abstract: The fpcus pf the wprld economy is shifting to ASPA (Asian and pacific Area) at present. To explpit the respurces anddevelpp the economy of Hainan Island in time, especially to set up an industrial system with distinguishing features, we must both consider its internal and external ppsitipn and draw the lessons of other nations in economic development. The economic development and the establishment of an industrial direction in an area usually are affected by their natural,social-economic, and technical factors. With the comprehensive curves on Hainan, we suggest that its industry system should bebased on the following four departments: the tropical agricultural processing industry, the mining and metallurgical industry and the building material industry, the, oil-erfining and petrpchemicl industry, and the elec-tronic industry.