This paper, based on a summary of land utilization division worldwide, analyzes the major issues with regard to land utilization division in land management in China, including a poor theoretical study on land utilization division, a nonstandard classification, incomplete system, and a lagging technical method. As land management policy varies in regions, land utilization division becomes increasingly important, which necessitates a thorough study. This paper discusses the contents and principles of land utilization division, and presents some suggestions for the future land utilization, offering assistance in land utilization division adaptable for China’s situation.