Chemical industry of the Yangtze River Economic Belt occupies an important position in the development of chemical industry in the whole country. Promoting the agglomeration development of chemical industry in the Yangtze River Economic Belt is of great significance to solving the dilemma of “chemical industry encircling the river” and “chemical industry encircling the city” in the Yangtze River Economic Belt，as well as easing the environmental pressure. The concentration level of chemical industry in the Yangtze River Economic Belt was calculated based on the location entropy. The results showed that the concentration degree of chemical industry in the Yangtze River Economic Belt was higher than the national average and remained stable as a whole. The chemical industrial agglomeration in the upper and lower reaches of the Yangtze River Economic Belt is higher，while the industrial agglomeration in the middle reaches is lower. The cluster degree of chemical industry in the Yangtze River Economic Belt is stable on the whole，but the industry difference is significant. Except for rubber products，the cluster degree of other industries is higher than the national average. It is suggested that the Yangtze River Economic Belt should speed up the process of transfer and transformation of chemical enterprises，push forward the solution of the dilemma of “surrounding the river of chemical industry” and “surrounding the city of chemical industry”，and relieve the environmental pressure. We will improve the concentration level of chemical industries in the middle reaches of the Yangtze River Economic Belt，encourage leading enterprises to develop and expand，and guide them to enter the industrial park. We will improve the concentration level of fertilizer manufacturing，basic chemical materials manufacturing，special chemical products manufacturing and rubber products manufacturing.