Green development is a kind of fast and good sustainable development, simultaneously focusing on industrial growth and pollution reduction. This paper assesses the three industries of Yichang during 1980 to 2016, compares Yichang and other cities' in their productivity, analyzes Yichang's industrial development level, calculates industrial structure similarity and identifies the potential industrial cooperation zones. According to its pollution discharge, energy consumption contribution in different industries, Yichang's Environmental Kuznets curve is simulated to analyze the emission reduction potential. Yichang possesses competitiveness in food, chemicals and manufacturing, potential in tourism and logistic industries, but its pillar industries have a big resource consumption and pollution emission, leading to an irrational industrial structure. This paper presents an idea of ecological priority and green development, on the basis of technical innovation, smart manufacturing, industrial clustering, and regional cooperation. A path to green industrial system can drive Yichang's green transformation, and offers references for other regions in a direction to green development.