Three Gorges area of Chongqing has not agglomerated enterprises and so the role of urbanization driven by industrialization becomes small. The population of Three Gorges area should be settled by urbanization at another place together with local urbanization. Three Gorges area of Chongqing has rich surplus labors and so the key to the urbanization here should reduce the total number of population, especially, rural population, however, because of the limitation of the areas and topography, there is a little land which can be used in cities, which restrict the expanding local urbanization on large scale. Thus, currently, the key to urbanization of Three Gorges areas of Chongqing is the urbanization at another place and the plan for the urbanization is to develop labor service economy.