This report firstly analyzes the current situation and development tendency of international electrical equipment industry in 2016，and then analyzes the present situation of China's electrical equipment industry in 2016 in terms of industrial scale，operation condition，industrial structure and trade situation. The study shows that China's electrical equipment industry has steady growth and has become a equipment manufacturing power；however，it still has some problems，such as the excess capacity，the vicious competition，and ten low level of core technology and so on. Under the background of New Normal and energy revolution，the promotion of innovation，intelligent and green development，the military and civilian integration and the expansion of overseas market will become the main trends in China electrical equipment industry. As a result，this report suggests that the government，industry organization should work together to promote the transformation and upgrading of China electrical equipment industry，and create a better environment for electrical equipment industry.