As one of the countries with large amounts of dioxin releases, the control of dioxins is a major challenge for China. Municipal solid waste (MSW) incineration should be considered a high priority source of dioxin emissions because it is playing an increasingly more important role in waste management. MSW incineration in China has much higher emission rates of dioxins than in the developed countries, partially resulting from the gaps in the technologies of incineration and flue gas cleaning. Moreover, the current management policies and practices also contribute significantly to the problem. We recommend lowering dioxin emission standard, strengthening fly ash management, and improving regulation enforcement to reduce dioxin releases into the environment from MSW incineration. We also propose that alternative strategies should be considered on dioxin control and call for an expansion of economic instruments in waste management to reduce waste generation and thus the need for incineration.