Abstract: The reversal of globalization means the reshuffle of the order of global production value chains. For Chinese manufacturing, traditional development models that rely on comparative advantages face unprecedented challenges, notably the growing contradiction between low-skilled and low-cost economic development methods and social equality. In the process of transition from labor-intensive to technology-intensive development in developed capitalist countries, the formation of national skills has played the most vital role, based on its important comparative institutional advantages. National skill formation system is divided into four institutional models: statist skill formation system, liberal skill formation system, collective skill formation system, and segmentalist skill formation system. These four institutional models have different institutional characteristics, which can also lead to different economic and social consequences. China’s national skill formation system shows obvious fragmentation, and the institutional conflict has become the deep institutional root cause that hinders Chin’s skill production, labor protection and even the improvement of the country’s manufacturing innovation ability. The social fracture phenomenon from human capital formation to skill formation and analysis of technology flow has become a new growth point in economic sociological related fields.