With the decoupling model based on elasticity analyses，this paper estimates the decoupling relationship between the industrial carbon emission and industrial growth for each province and municipality of China from 1998 to 2010. The results show that Chinese industry is currently in a relatively decoupling stage for low-carbon development，however，there is big difference in industrial low-carbon development between different provinces and municipalities，that in four regions，the output elasticity of industrial carbon emission is smoothly declining while the regional difference of industrial decoupling elasticity is constantly shrinking. Dynamic panel models are used to examine the relationship between capital deepening，industrial ownership reform and industrial carbon emissions，and the empirical results indicate that capital deepening overall promotes industrial carbon emission，however，FDI significantly boosts industrial carbon emission growth， that industrial equity structure reform with “state-owned enterprises retreat but private enterprises advance” promotes the energy conservation and emission reduction，but the raising of private enterprises proportion does not bring obvious effect on emission reduction. Thus，China should keep and enhance energy conservation and emission reduction and the stability and continuity of structural adjustment policy and avoid environmental “race to the bottom” behaviors of industrial capital expansion under the system of decentralization.