Xi'an City's environment is a complicated system comprising three layers of environmental construction. Its development aims have not been consistent with new environmental aims. The factors restraining Xi'an in this regard are analyzed from natural and human environmental perspectives. Natural factors are found to restrict the city's development on a fundamental level, while current human factors restrict the potential for reaching ecological goals. To overcome these barriers, the authors propose an integrated suite of modifications to ideology, culture, policy and management. A model for overcoming the physical environmental restrictions is also presented in summary.