This report presents information on land use changes and carbon stocks and fluxes resulting from land use-change in the subtropical dry forest of the State of Morelos, Mexico. Biomass components of standing vegetation were estimated from 40 quadrats (400 m² each) distributed across this ecosystem. Regional land use changes using forest cover for two different periods (1976 and 1993) and present forest cover, as well as measurements of soil organic matter and soil organic carbon were used to predict carbon stocks and fluxes in this ecosystem. The results showed for the period of 1976-1993 that the annual deforestation rate is 0.87% indicating that approximately 20,000 ha of subtropical dry forest were lost during this period and that 57% of the original ecosystem has been lost since 1950. On the other side, intensive agriculture, including induced grasslands increased (22 000 ha) 15% of the total studied area largely at the expense of the tropical dry forest. Land use changes from the subtropical dry forest to agriculture contributed to carbon emissions of 6.49 Tg, of which standing biomass averaged 2.79 (± 0.28) Tg, root biomass averaged 1.75 (± 0.18) Tg, and soil organic carbon averaged 1.95 ( ± 0.2) Tg. Projected land-use changes will likely contribute to an additional carbon flux of 2.88 (± 0.14) Tg by the year 2050. Practices to conserve, sequester, and transfer carbon stocks in this ecosystem are discussed as a means to reduce carbon flux by deforestation practices.