Abstract: As pillar industries with tech and scale basis in Jiangxi province, automobile industry has made considerable development in the past ten years. Under the background of China's economic transformation, the industrial transfer is facing the deepening background of "transverse to the edge and vertical to the end", thus putting forward new requirements for the path of industrial upgrading. Firstly, this paper analyzed the current situation of the development of Jiangxi automobile industry under the background of deepening of industrial transfer and the internal and external factors that influence the industrial upgrading, and put forward the upgrading path of Jiangxi automobile industry. The research shows that the Jiangxi automobile industry needs to improve the capability of independent innovation, promote the horizontal cluster and vertical cluster of automobile industry, and focus on the development of new energy vehicles. Finally, the paper analyzed the upgrading strategy of JMC automobile industry, and analyzed JMC group as a typical case.