Abstract: Carotenoids possess various functions such as antioxidants, anticancer effects, and vision protection, however, their poor water solubility and instability to light, heat, and varying pH significantly limit their applications in the food industry. Dietary lipid co-ingestion enhances carotenoid absorption, with bioaccessibility increasing proportionally to lipid intake until saturation occurs. Aside from that, dietary lipids rich in monounsaturated fatty acids and long-chain triglycerides generally favor the digestion and absorption of carotenes, while lipids rich in saturated fatty acids and medium-chain saturated generally favor the bioavaolability of xanthophylls. Moreover, lipid-based delivery systems such as emulsions, liposomes, and micelles - that encapsulate carotenoids significantly enhance their stability and bioavailability, offering promising applications for carotenoids in the food industry. This paper systematically reviews the latest research progress on the effects of dietary lipids on the digestion and absorption of carotenoids, as well as on delivery systems. Altogether, future studies should devote themselves to the precise nutrition of carotenoids and the development of delivery vectors, to further elevate the bioavailability and functional activity of carotenoids.