The mechanical properties and durability of concrete incorporating ceramic tile-polished powder (CPP) were systematically investigated. The findings indicate that CPP undergoes a pozzolanic reaction in the concrete, coupled with a notable filler effect. These mechanisms contribute to the refinement of the pore structure, which is manifested in the enhancement of mechanical properties at later stages. The strength activity index of mortar at 90 days reached 117.34% and 114.01% with the inclusion of 10% and 20% CPP, respectively. Correspondingly, the relative strength of concrete at 90 days was 100.31% and 97.80% for the same respective dosages. Additionally, the incorporation of CPP significantly improved the resistance of concrete to chloride ion penetration. At 90 days, while pure cement concrete exhibited high permeability, the permeability level of concrete was markedly reduced following the addition of CPP. Optimal mechanical properties and enhanced durability were achieved with 10–20% incorporation of CPP in the concrete mix.