Utilizing the qualitative analysis of SWOT and quantitative method of AHP, this paper presented the AHP-SWOT hybrid model of the photovoltaic industry in China in order to calculate the influence of the strengths, weaknesses, opportunities & threats (SWOT factors and SWOT sub-factors), and the SO strategy, WO strategy, ST countermeasure and WT countermeasure on the development of the photovoltaic industry in China. The results show that the influence of the threats are the most, the weaknesses and opportunities second, and the strengths the least among four SWOT factors of the development of the photovoltaic industry in China. Thereby, among 12 SWOT sub-factors, complete industrial chains are the most important factor in the strengths factors, lack of core technology is of the most significance in the weaknesses factors, latent necessity of the photovoltaic industry development as a result of global energy crisis is the most valuable opportunities factor, and external trade environment deteriorating due to international trade protection is the most threats factor. Among four combination path of the development strategy, the WT countermeasure possesses the most valuable positive influences on the development of the photovoltaic industry in China, which is the optimal path for the strategy alternatives.