Solid waste recycling saves resources and energy, reduces carbon emissions, and plays a vital role in forming a green and low-carbon mode of production and living and achieving the carbon peaking and carbon neutrality goals. This study analyzes the development status of the solid waste recycling industry in China and abroad and explores the major challenges faced by the industry of China in terms of process of industrialization, capital investment, and technological innovation. Combined with typical case analyses, we propose the following suggestions to promote the high-quality development of China’s solid waste recycling industry: (1) promoting the process of industrialization to integrate the industrial, innovation, talent, and capital chains; (2) reinforcing incentive policies to consolidate the financial foundation; (3) establishing scientific innovation hubs by strengthening project demonstrations; (4) gathering professional talents to build a high-level cooperation platform.