Since 1996, China has ranked the first place in producing crude steel. As iron and steel industry in China has been rapidly developing, its spatial pattern has evolved a lot. In the early 1980s, when China launched the Reform and Opening-up policy, the majority of iron and steel industry concentrated in few provinces such as Liaoning, Shanghai and Hubei, displaying an unbalanced spatial pattern. During the years of 1985-2002, Chinese iron and steel industry spread to North China and East China, because industrialization and urbanization developed rapidly in these regions. However, the spatial pattern of Chinese iron and steel industry turned back to the unbalanced state after 2002, because more and more steel production capacity concentrated in the coastal areas, especially in the Bohai-Rim and the Yangtze River Delta. By calculating the Coefficient of Variation(Cv), the evolution of spatial pattern of Chinese iron and steel industry can be demonstrated. In addition, changes of concentration ratio can be used to investigate the evolution of spatial pattern on an enterprise scale. This paper analyzes the factors which have affected the evolution of spatial pattern. In different periods of time, factors exerted different influences. Domestic supply of iron ore once determined the spatial pattern of Chinese iron and steel industry from the founding of P.R.China to the late 1970s. In the last 20 years of the 20th century, due to rapid industrialization and urbanization, large demand for steel products led to the spatial pattern to spread in China. In the context of globalization, overseas market and iron ore supply are playing a more and more important role in affecting the spatial pattern of Chinese iron and steel industry. In conclusion, domestic and global factors, such as market demand, investment, raw materials, and policies, have influenced the spatial pattern of Chinese iron and steel industry. As a result, it tended to be concentrated in the coastal areas.