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Carbunup River is a small town in the South West region of Western Australia. It is situated between Dunsborough and Margaret River on the banks of the Carbunup River.
The townsite was declared in 1926 as Carbunup but the name was changed in 1958 to Carbunup River to prevent confusion with the town of Carbarup which is a town located near Mount Barker.
The town is named after the Carbunup River, the word Carbunup is Aboriginal in origin and is thought to mean place of the cormorants or place of a kindly stram or place of the Stinkwood thicket.