Abstract: By comprehensively analyzing the current classification scheme of shale oil at home and abroad, and comparing the exploration and development history, shale oil reserves and output status, and production performance of horizontal wells in China and the United States, the differences in geological conditions, resource quality, recoverability, economy and scale of shale oil between the two countries are analyzed. It is proposed to define the continental shale oil zones in China by using the nomenclature of “geographical location + shale oil” or “geographical location + stratigraphic unit + shale oil”. Furthermore, the shale oil types are classified according to two levels: Firstly, the shale oil is divided into three types based on the sandstone-to-formation ratio (the ratio of source rock to reservoir) or sedimentary facies zones, namely tight oil type shale oil, transitional type shale oil, and pure shale oil; Then the pure shale oil is further subdivided into medium-high mature shale oil and medium-low mature shale oil, or in another way, it is subdivided into light oil, thin oil, heavy oil, and viscous oil zones based on the maturity or oil properties. For the medium-high mature continental shale oil targets, efforts should be focused on the evaluation of enrichment zones/intervals in high-pressure zones, as well as trial production, and research on optimal production technology before 2025, so as to reduce costs to the maximum extent and improve initial single-well production and cumulative output. It is estimated that the annual shale oil output in China will be 600×104t to 1000×10⁴t. During the 2025-2035, technology will be further upgraded and optimized to reduce costs, and the annual shale oil output is expected to be 1200×10⁴t to 1500×10⁴t, growing to be a major supplement to crude oil production with an annual capacity of 2×10⁸t/a. As for medium-low mature shale oil, pilot test on the in-situ conversion of shale oil in Chang 7₃ sub-member in Ordos Basin is focused at present; At around 2030, the critical equipment and core technologies will be localized hopefully, and the large-scale and commercial development of shale oil will be achieved, with an annual shale oil output of ten millions of tons.