Abstract: Carbon peaking and carbon neutrality have become common goals in global development. Fertilizers play a dual role in carbon emissions. They not only emit carbon due to energy consumption but also reduce carbon emissions by improving the carbon sequestration capacity of crops. Fertilizers will continue to play an irreplaceable role in food and agricultural production for the near future. Appropriate fertilizer products and scientific applications can support carbon emission reduction. This study used data published by the FAO, the National Bureau of Statistics, the Ministry of Agriculture and Rural Affairs of China, and other websites to analyze the current situation of carbon emission reduction in China’s fertilizer industry. It identified the existing problems and discussed the development measures of the fertilizer industry under the carbon peaking and carbon neutrality goals, in the hope of providing a reference for the low-carbon development of the fertilizer industry. The results showed that China’s fertilizer industry had made remarkable progress in reducing carbon emissions from 2011 to 2020. Following an increase, the production and application of chemical fertilizers decreased, which made the largest contribution to emissions reduction from agriculture. The output of N, P₂O₅, and K₂O in China decreased from the highest level of 7.43×10⁷ t in 2015 to 5.50×10⁷ t in 2020, a decline of 26.05%. The amount of chemical fertilizer application decreased by 12.82% from the highest 6.02×10⁷ t in 2015 to 5.25×10⁷ t in 2020. The carbon emissions from chemical fertilizers in China decreased from 3.35×10⁸ t CO₂ eq in 2015 to 2.74×10⁸ t CO₂ eq in 2020, dropping 18.21%. The output of organic fertilizers was on the rise, which was conducive to carbon sequestration and emission reduction. In 2020, the output of organic fertilizers reached 1.56×10⁷ t, up by 29.46% over the 2015 level. Owing to the rapid extension of scientific fertilization technologies, the utilization rate of chemical fertilizers for three major grain crops, namely rice, corn, and wheat, had increased yearly to 40.20% in 2020, up by 5 percentage points over 2015. However, the fertilizer industry in China faced problems, including higher application amounts, low absorption, insufficient innovation, market disorder, unscientific fertilization, inadequate organic fertilizers, and weak legislation and supervision. To achieve carbon peaking and carbon neutrality goals, China’s fertilizer industry should strive toward the following five aspects: developing new types of fertilizers, promoting science-based technologies for energy-efficient use of fertilizers, improving comprehensive utilization of agricultural wastes, strengthening legislation and supervision of the fertilizer industry, and enhancing publicity and training in scientific low-carbon fertilization.