Abstract:The article discusses the general influentail factors of producer services cluster, and constructs the theoretical model. According to the spatial econometric model selection rules, the spatial lag model is constructed to investigate the producer services agglomeration effect in China. The research results show that the economic growth, the market demand ability and potential demand, labor input, and knowledge spillover can improve the producer services industry cluster remarkably. On the other hand, investment in fixed assets, resources input cannot directly promote producer services industry cluster. It also reflects the different cluster properties of the producer service and industrial industry which serves as a warning to the industrial structure adjustment of major decision.