The effect of pan-milling on morphological structure, processability and properties of PVC was studied through SEM, FTIR, granulometer, GPC and mechanical properties test in the hope of gaining ease in operation, needless of plasticizers, a clean and efficient route for improving the processability of PVC through stress-induced reactions, fulfilling the idea of “plasticizing PVC by itself”. The experimental results show that during pan-milling at ambient temperature, within 2-3 min, the microcrystalline structure of PVC becomes indistinct, the grain size of PVC is reduced from 130-160 mm to 1-50 mm, the molecular weight of PVC is slightly decreased, the variation of molecular weight distribution is indistinct, the plasticizing time and torque at balance drop a great deal from 71-132 s to 31-33 s and from 18.2-22.1 Nm to 14.7-18.4 Nm, respectively, the processability of PVC is markedly improved, and the mechanical properties get enhanced too.