The article analyzes the productivity of the transportation industry in China by considering economic, social, and environmental factors. By using data from 30 provinces and cities from 2007 to 2018, the study shows that including environmental and social aspects in the evaluation system provides a more accurate reflection of economic growth and technological progress in the industry. The total factor productivity of the transportation industry initially decreased but then significantly increased over the study period. The eastern region of China had higher productivity compared to the central and western regions. The findings suggest ways to improve the quality of development in the transportation industry across different regions.