There are both historical reasons for the distortion of factor market, and it is also resulted from inadequate market-oriented reform. Based on the static model and dynamic model, this paper studies the influence of factor market distortion on carbon emission intensity in China. The results show that the more serious the factor market distortion, the higher the carbon emission intensity. This result means that to improve environmental efficiency and reduce carbon emission intensity, we can start from correcting the distortion of factor market and deepening the reform of factor market. It is also found that the energy consumption structure is one of the significant factors affecting the intensity of carbon emissions. Reducing the proportion of coal consumption in the economy will help to improve China's energy efficiency. Based on the results of this study, relevant policy recommendations are put forward.