Concrete, a vital construction material, stands as the third largest contributor to greenhouse gasses globally. To mitigate the related environmental impact(s), different industrial wastes have been explored as alternatives to traditional concrete ingredients. Dolomite Powder (DP) is a by-product of the dolomite industry produced during the pulverization and processing of dolomite rock. Also, Recycled Concrete Aggregates (RCA) originated from Construction and Demolition waste (C&D) in the construction sector posing similar environmental threats contributing towards ecological imbalances. C&D wastes can be processed and graded to serve as a substitute for Natural Coarse Aggregate (NA) in concrete production. Carbonation shrinkage estimates the reduction in length/volume of the concrete during reaction of CO2 and the Ca(OH)2 in Ordinary Portland Cement (OPC). In the current study, an experimental investigation was performed to investigate the effect of the DP and RCA on carbonation shrinkage. The compressive strength of the concrete mixes were also studied for reference. The concrete mixes were prepared with DP varying from 0–10% while RCA varied from 0–50%. The results of carbonation shrinkage tests indicate that the rate of carbonation shrinkage decreases with time in different designed concrete. However, concrete prepared with 10% DP resulted in highest carbonation shrinkage corresponding to reference concrete. It can be inferred from the findings that 10% DP can be effectively used as replacement of OPC in concrete. Also, the resistance in terms of carbonation shrinkage of DP-RCA concrete can be improved with appropriate utilization of DP along with recycled aggregates.