Background: The "green, harmonious, and sustainable" concept is popular today. The building demand in China is also increasing. The wood is an environmentally friendly building material. The Chinese government has recently started promoting the use of wood frames in the building industry. Purpose: The development of the timber frame construction industry is slow. Due to the late start of wood frame construction, the related industries lack technology and regulations. This study proposes systematic measures for the wood frame construction industry in China. Methods: This research reviews the current developments in the Chinese wood frame construction industry, using questionnaires and data to define its internal and external environment. It uses the SWOT analysis method for analysis. It summarizes the advantages and disadvantages of the Chinese wood framing industry's sustainable development at present opportunities and challenges. Results: The article systematically suggests government support and talent cultivation, increasing publicity and science education, improving regulations, and improving standards and supervision systems. Conclusion: The market for wood-frame construction in China is very broad. The development of wood-frame construction will enhance the development of related technologies and policies. It is an important step in the sustainable development of the Chinese construction industry.