Against the backdrop of the sustained and deepened implementation of the “dual circulation” strategy, China’s pet food industry faces dual challenges of global value chain restructuring and localization transformation. This study investigates how multinational corporations use policy coordination to support the optimization of industrial value chains, investigating their strategies for overcoming trade barriers to international markets, deepening the local supply chains, improving the investment environment, and building industry ecosystems to achieve interlinked domestic and foreign trade-connected upgrades to industrial chains. The findings show that multinational enterprises have used policy coordination as a way to improve their competitive positioning in the marketplaces and resiliency of their supply chains, as well as promote high-quality industrial development through diffusion of technology and leadership on standards, which provides real examples of globalization and localization transformation of China’s pet food industry within the framework of “dual circulation.”