In recent years, there have been concerns raised about construction industrialization in China, which have initiated a wave of policy change in both governmental and industrial organizations in order to change the mode of conventional construction. However, the current development level of regional construction industrialization (RCI) in China has not been well-characterized. This study screened preliminary index systems in five dimensions: technical, economic, sustainable, enterprise development and development environment. Based on the data gathered from the questionnaire surveys and subsequently analyzed, twenty-two critical evaluation indicators were identified. Analytic Hierarchy Process (AHP) was then employed to determine the weighting of each indicator. The evaluation method of the development level was formulated on the basis of the evaluation criteria. Jiangsu Province was used as an example in this study, with the development level of this province being comprehensively examined using a combination of the index system and evaluation method. The results show that Jiangsu has a relatively high RCI development level. The data from analysis scores of five dimensions and twenty-two indicators show that the index system is feasible, with evaluation results being consistent with actual practice. These findings provide a good practical reference for making decisions about how best to guide the development of RCI.