The dissertation consists of eight chapters, with the basis of analysis of economic function integration and systematical integration across the Taiwan Straits. The writer believes that the set-up of Straits Economic Zone is a tendency of the international economic development and the commercial relationship development across the Straits. And the economic functional integration provides the foundation for setting up the Straits Economic Zone.The nature of the Straits Economic Zone is inter-regional economic cooperation with the same sovereignty, which is the economic integration among different districts. And the Straits Economic Zone is the sub-regional economic integration. The construction is divided into three stages. Firstly, we must change the present imbalanced commercial activities and carry out the commercial normalization across the Straits. Then comes to the second stage, i.e. the closer commercial relationship arrangement. The Common Market is the final aim.The Straits Economic Zone will bring about enormous regional cooperation. The industrial division and cooperation system, which is combined with vertical division and horizontal division, will be established in agriculture, manufacture, high-tech industry, professional service and sea exploration. In order to promote and ensure the construction of the Straits Economic Zone, a series of long-term cooperation systems must be set up, such as industrial cooperation, investment safety, labor cooperation, dispute resolution and protection of intellectual property rights. Meanwhile, we must combine the non-government and government forces but with the priority of the non-government one to promote the construction of the Straits Economic Zone.