Purpose As one of largest energy consumers, the transport sector (TS) has significant impacts on the environment. Shenzhen, a developed megacity in South China, plays a leadership role in promoting the development of energy efficient vehicles in China. Methods This paper aims to assess the carbon footprint (CF) of the TS in Shenzhen via a Streamlined Life Cycle Assessment method. Consequently, the current environmental performance of the TS is evaluated and improvement potentials are examined. Results and discussion The results show that CF has gained rapid growth over the past decade at an annual rate of 15.3 %, closely corresponding with the growth of the Gross Domestic Product (18.9 %) in Shenzhen. The total CF in 2013 was estimated as 50.7 million tons (ranging from 41.7 to 59.9).Road based freight transport accounts for the largest share of the TS’ emissions. The most significant contributors in this sector are: light duty trucks, urban public transport bus service, and passenger air transport. Meanwhile, this study took new energy vehicles into consideration in order to explore the range of CF mitigation potential in Shenzhen. The potential carbon abatement is not significant in comparison with the impact growth derived from the increasing freight and passenger transport based on the assumption that the transport intensity and its annual growth rate maintain at the current levels. Conclusions This study offers a useful approach to evaluate the available options for sustainable transport system planning in Shenzhen. For carbon emissions reductions from the TS, policies and technological innovations are essential to facilitate the transition to a low carbon TS. In addition, the methodology developed in this study could be used for assessing CF in other sectors.