Abstract With metafrontier Malmquist productivity index the paper estimates the evolution of state-owned economic productivity of 31 areas in China, and tests the convergence of efficiency by the cross-sectional correlation panel unit root test method. The results show that the state-owned economy’s productivity has been growing significantly since 2000. This growth is mainly caused by technological progress, but the improvement of management level and the soft environment is not significant. Regionally, China's central region is better than the eastern region and the western region in both productivity growth rate and the speed of technological progress. From the convergence analysis, the state-owned economy’s productivity does not appear random convergence characteristics overall. From a regional perspective, only the eastern group exist club convergence, while the central and western group does not exist club convergence effect.