Small-scale fisheries (SSF) are a vital component of the global fisheries sector, significantly contributing to food security, livelihoods, and cultural heritage. In China, the SSF sub-sector is substantial, yet it is often overshadowed by large-scale fisheries (LSF), resulting in limited understanding and targeted management measures for SSF. This study uses the Sustainable Livelihoods Framework (SLF) to compare the livelihoods of SSF and LSF in China's Bohai Region, aiming to identify the sustainability challenges faced by SSF and explore potential improvement pathways. The results indicate that the overall livelihood assets of SSF are significantly lower than those of LSF. The failure to differentiate between these two sub-sectors in fisheries management may exacerbate this disparity, further marginalizing SSF. We recommend that China undertake immediate fisheries reforms and outreach efforts aimed at promoting the sustainability of SSF communities. Key strategies include strengthening property rights governance, establishing inclusive decision-making processes for SSF fishers, providing preferential policies and financial support for the most vulnerable SSF actors, and incorporating considerations of SSF's role within the broader socio-ecological system and its interactions with other components into management. Additionally, we suggest the development of a separate management plan for SSF to address their unique needs. This study enhances the understanding of China's SSFs, supports the implementation of SSF Guidelines in China, and offers insights into global SSF management.