Abstract:China manufacturers’ service transition is the inevitable result of international industrial competition. The practice proved manufacturers’ service transition road is full of thorns. Many manufacturers’ service innovation modes are at random. Excessive complexity of service results in poor performance. The process of manufacturers’ service transition is also knowledge reconstruction process. Knowledge management plays a key role in the service transition process. Firstly, the main characteristics of current “transition syndrome” are summarized. Combined with the actual cases, the structure and process of service knowledge management are discussed. The output mode of creative knowledge, business model knowledge and process knowledge are analyzed. The research shows that it has great practical significance to establish service knowledge management system conforming to transition development path and covering different stages of development of service transition.