China (Shanghai) Free Trade Zone is a national strategy to open wider for further reform as a result of the inevitable requisition of history in China’s industrialization, development of market economy and overall reform and is also an important step taken by the Chinese government to tackle the challenges posed by the remarkably changed international environment and domestic situations. The successful development of China (Shanghai) Free Trade Zone to fulfill the national mission requires strengthened rule of law, the transformation of governmental function, trade transition, wider opening of service sectors, the reform of administration regime on FDI and the improvement of administration and service for outward FDI.