Abstract: According to developmental requirements of the new type industrialization path, Talent is the fundamental to lead the transformation and development of manufacturing industry through innovation. Based on traditional industry update theory the concept of manufacturing industry upgrade is proposed. And the indices of manufacturing industry upgrade are built from both dimensions, i.e., manufacturing industry structure goodness and value chain height. The measurement results on Yangzi Delta manufacturing industry upgrade show that the manufacturing industry upgrading degrees of Shanghai, Jiangsu and Zhejiang are gradually improving. A multiple linear regression model is established to analyze the influence of the factors on manufacturing industry upgrade .The research results show that the influence of those economic development modes relying on export-oriented, investment-driven and especially government investment-driven on manufacturing industry upgrade is limited; the improvement of human resource quality is the only driving factor of manufacturing industry upgrade. Furthermore the policies to promote manufacturing industry upgrade are analyzed from the aspects of personnel training, R&D investment and brand strategy.