Carbon capture, utilization and storage (CCUS) has been applied in many countries and has proven to be a key carbon-reduction technology for the future. China currently emits the most carbon, and prior research findings indicate the high potential of CCUS technology to support the country’s emission-reduction process. China introduced CCUS technology at the end of the 20th century and has since implemented a series of related policies. This paper compares the development status of CCUS in China and other countries, studies the legal and policy framework and the development process of CCUS in China, and analyzes the defects in relevant laws and policies. The results show that China’s current legal and policy system is not conducive to the further development of CCUS; specifically, there is no special law, and the policy system is incomplete. Consequently, it is difficult to advance and give full play to the emission-reduction effect of CCUS. To promote CCUS development in China, this paper proposes corresponding countermeasures, including formulating a special law, perfecting the CCUS policy system, expanding government financial support, and improving CCUS public awareness and support.