A convenient one-pot terpolymerization of CO2, propylene oxide (PO), and L-lactide (L-LA) in short polymerization time (10 h or shorter) to afford poly(propylene carbonate-lactide) with excellent mechanical property and thermal stability using Y(CCl3COO)3-ZnEt2-glycerin rare-earth ternary catalyst is reported. The yield of the copolymerization was between 69.7 and 111.7 g/(g Zn), corresponding to L-LA/PO molar feed ratio varying from 0 to 0.1, and the number average molecular weight was between 5.5×104 and 11.9×104. The L-LA content in the terpolymer increased from 1.1% to 34.7% when L-LA/PO molar feed ratio changed from 0.01 to 0.1. Introducing L-LA as the third comonomer could significantly improve the mechanical strength and thermal stability of PPC. For the terpolymer obtained from L-LA/PO molar feed ratio of 1:50, the elongation at break reached 40.5%, which is 3 times of that of pure PPC, and the thermal decomposition temperature increased by 32°C compared with pure PPC.