This chapter investigates the industrial dynamics in Chinese manufacturing sector, where we find two common properties that also hold in many previous studies, namely the Gibrat's Law and a typical tent shape of growth rate distribution. We further connect the growth rate distribution with the average firm size in a sector and the industrial policy regime shift that occurred in China in 2006. A 'big sector effect' and 'policy regime shift effect' are found, where bigger sectors tend to have growth rate distributions with a fatter tail but smaller dispersion and the policy regime shift also exerts similar impact.