Abstract:Concerning the relationship between trade route and its urban function transformation in the north-west of modern China and regional economic development, the academic circle used to think that it was benefical to the commercial production of the modern west-north of China. However, the important impact that the change of the industry sector structure and its geographic distribution, the change of the capital, commodity structure and its market supply capacity had brought about the effected on the regional economic development in the modern west-north of China shows that: In the modern north-west of modern China it was not only the character of the regional commodity market change that the gathering or flow of goods and production factors in accordance with the city of the trade routes n the north-west of modern China and formed trade route economic zone, but also the induce force and special support of the industry structure upgrading. And it was also the important reason of the regional economic non-balance development. Further more, the relationship between the city function transformation of the commodity trade route in the north-west of modern China and regional economic development showed that, as a pre-developing region, the north-west of modern China was not short of the intrinsic motivation of the regiona commodity market change and the developing of regional economic.so, an outstanding proposition is that we should how to make the trade route and its urban can play a inherent key role in the development of regional economic in the north-west of China according to its historical tradition, at the same time, to further expand its economic radiation and promotion capacity.