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This paper represents the first national effort of its kind to systematically investigate the impact of changes in climate and land use and land cover (LULC) on the carbon cycle with high-resolution dynamic LULC data at the decadal scale (1990s and 2000s). Based on simulations using well calibrated and validated Carbon Exchanges in the Vegetation-Soil-Atmosphere (CEVSA) model, temporal and spatial variations in carbon storage and fluxes in China may be generated empower us to relate these variations to climate variability and LULC with respect to net primary productivity (NPP), heterotrophic respiration (HR), net ecosystem productivity (NEP), storage and soil carbon (SOC), and vegetation carbon (VEGC) individually or collectively. Overall, the increases in NPP were greater than HR in most cases due to the effect of global warming with more precipitation in China from 1981 to 2000. With this trend, the NEP remained positive during that period, resulting in a net increase of total amount of carbon being stored by about 0.296 PgC within a 20-year time frame. Because the climate effect was much greater than that of changes of LULC, the total carbon storage in China actually increased by about 0.17 PgC within the 20-year time period. Such findings will contribute to the generation of carbon emissions control policies under global climate change impacts.