Liquor industry, as one of the important industries of our national economy, has a great relationship with the life and consumption of Chinese residents. However, although the production capacity of Liquor industry in China is constantly increasing, there are many enterprises in the industry and the threshold of the industry is low, which leads to disordered brands, fierce competition and disordered industrial order. Industry concentration degree can well measure the market structure of an industry, and the concentration degree analysis of liquor industry can clearly reflect the current development status of the industry. This paper analyzed the concentration degree of liquor industry from 2011 to 2017 and found that the concentration degree of liquor industry has been improved in recent years, but the concentration degree of liquor industry is still at a low level and the development is unbalanced. Furthermore, the characteristics and reasons of liquor industry concentration were analyzed, and three trends of liquor industry development were explored.