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Urbanization is a dominant component of social and economic development around the world, but this process creates tremendous pressure on the ecological environment. How to achieve coordination between urbanization and conservation of this environment has become a key issue, especially in developing countries. It is necessary to identify the driving factors that affect this coordination. To identify these factors, we chose 290 Chinese prefecture-level cities to analyze the driving factors behind urbanization using spatial regression analysis, and explored the spatial differences among regions in these factors. Our results show that industrial upgrading and technological progress were the main factors that promoted coordinated development, with industrialization having positive effects under government management, but with differences among regions in how the driving forces affected coordinated development. Using technological progress to promote industrial upgrading, creating new employment to absorb surplus rural labor, and providing workers with skills training so they can take advantage of new jobs can promote win-win solutions that coordinate urbanization with conservation of the ecological environment.