Fluvial flooding is the most devastating natural hazard in the world, which presents an increased trend in the context of global warming and the active hydrological cycle with large risk for human survival. In 2020, a historically extraordinary flood hit the Changjiang River Basin where located considerable mega dams and reservoirs, including the world’s largest dam, Three Gorges Dam (TGD). The 2020 extreme flood raises public concern about the effectiveness of the impoundment of dams and reservoirs on flooding. Here, we analyzed the observed water discharge and level during the extreme flood in 2020 as well as the simulated rainfall-induced discharge and level data through the GR4J model and level-discharge curve. Results show that the water levels exhibited a rapid response to the increased water discharge, and exceeded the warning level at almost the same time along the middle and lower reach during the 2020 extreme flood. The intensive rainfall caused the basin-wide extreme flood with extra regional rainwater responsible for the largest flood in the middle and lower reach. Dams and reservoirs significantly mitigated the extreme flood by reducing 1.49 m in the flood levels and contributing to 94 % of the level changes. Meanwhile, the TGD impoundment successfully prevented a disastrous flood that could have happened with the flood level being lowered by 2.93 m. However, the considerable recession of the downstream floodplain amplified the flood level by 0.08 m, which was equal to increasing the total flood level by 5 %. Our results highlighted the crucial role of mega dams in flood control and the potential of restored floodplain storage for sustainable flood modulation in the future.