Abstract: CO₂ methanation has attracted wide attention because it can convert CO₂ into clean energy (CH₄). This review summarized research progress of mechanism and thermodynamics of CO₂ methanation reaction. The effects of active site, particle size and support on the performances of CO₂ methanation catalysts were discussed, and the application of new catalysts such as high entropy alloy and dissolved metal in CO₂ methanation was introduced. Moreover, two main factors affecting reaction stability of Ni-based CO₂ methanation catalysts (particle sintering and sulfur poisoning) and the methods for improving anti-sintering and sulfur tolerance of Ni-basedcatalysts (e.g. the utilization of confinement effect, the addition of CeO₂, et al.) were summarized, which provides theoretical basis for studying new CO₂ methanation catalysts. Finally, the development of CO₂ methanation catalysts is prospected.