Island ecosystems are characterized by resource specificity and ecosystem vulnerability, thus, the scientific assessment of the impact of land use change on the carbon sequestration and other ecosystem service functions of island ecosystems is of great significance to the sustainability management of islands. The Dongtou Islands in Zhejiang Province represents a typical island ecosystem that has undergone developmental utilization such as land reclamation and conservation-restoration initiatives like the Blue Bay Project. It serves as an ideal case study for establishing assessment methods of how land use changes affecting the carbon sequestration service function of island coastal ecosystems and others, and for exploring the effectiveness of management measures. In this study, a land classification model based on XGBoost algorithm was used to obtain land use classification data of the Dongtou Islands in 12 phases (3 years as a phase)from 1988 to 2023 (with accuracy of 91.52%). On this basis, the changes in carbon sequestration amounts of major ecosystems, including woodland, salt marshes, and tidal flats, in the Dongtou Islands were calculated. A coupling coordination degree model of “economic development-land use-carbon sequestration function” was constructed by combining the socio-economic statistical data, and the degree of coupling coordination between the economy and ecosystem of the Dongtou Islands for more than 30 years was explored. The study found that from 1988 to 2023, the total land area of the Dongtou Islands increased by 34.97% due to natural silt deposition and sea reclamation efforts. The cumulative total of ecosystem carbon sequestration amount and net carbon sequestration amount for the main ecosystems amounted to 49.45×10⁴ t and 46.13×10⁴ t, respectively, basically showing an oscillating upward trend. Carbon sequestration mainly resulted from woodland and coastal wetlands (including tidal flats and salt marshes), with cumulative carbon sequestration amount of 25.44×10⁴ t and 24.01×10⁴ t, respectively. The “economic development-land use-carbon sequestration function” coupling coordination degrees of the Dongtou Islands were in a coordinated state from 2006 to 2023. Overall, the coupling coordination degree is greatly affected by the land use changes. Ecological restoration projects can enhance the comprehensive evaluation index of the land use and carbon sequestration function system, and then improve the coupling coordination degree. This study can provide a scientific theories and data foundation for the socio-economic development and ecological environmental protection planning of the Dongtou Islands.