Abstract: Under the context of China’s “Dual Carbon” strategic goals, coal-fired power plants, as one of the primary sources of carbon emissions, are crucial targets for carbon reduction. Chemical absorption is the most mature among various carbon capture technologies and has been implemented in numerous demonstration projects in China. This paper aims to systematically review the development of carbon capture technologies in coal-fired power plants, focusing on two major technical pathways: the chemical side and the thermal side. Optimizations on the chemical side cover the evolutionary development from first-generation benchmark absorbents to second-generation mixed amine absorbents, and further to third-generation phase-change absorbents and ionic liquids, highlighting the mechanisms and potential of novel absorbents in reducing regeneration energy consumption. It also summarizes how innovations in industrial equipment and optimizations in absorption/desorption processes enhance system energy efficiency. On the thermal side, optimizations aim to mitigate the coupling conflicts between carbon capture systems and coal-fired units, with a focus on thermal integration technologies. These include optimizing steam extraction schemes for the water-steam system, integrating feedwater regenerative heating, employing absorption heat pumps, and incorporating renewable energy sources such as solar, geothermal, and biomass to provide auxiliary energy—thereby fundamentally reducing the system’s “energy penalty”. The study further indicates that by implementing flexible operational strategies such as solvent storage and flue gas bypass, carbon capture power plants can achieve both carbon reduction and deep peak-shaving capabilities. On this basis, this paper points out future development directions for chemical absorption-based carbon capture technology from multiple perspectives including economy, stability, and flexibility.