By analyzing the mechanism of carbon reduction effect of local low-carbon industrial policies, the fixed effect model and panel threshold model are established to explore the carbon reduction effect of local low-carbon industrial policies under different economic levels, and the robustness test is passed by using the system GMM method. The empirical conclusion shows that the economic level has a significant threshold effect on the carbon reduction effect of low-carbon industrial policies. When the local economic level is too low, low-carbon industrial policies have no carbon reduction effect. Based on the research conclusions, suggestions on low-carbon industrial policies are put forward.