Abstract

Abstract. This study provides an insight into the impact of China's international trade of goods and services on its water resources and uses. Virtual water flows associated with China's international trade are quantified in an input-output framework. The analysis is scaled down to the sectoral and provincial levels to trace the origins and destinations of virtual water flows associated with the international trade. The results show that China is a net virtual water exporter of 4.8 × 1010 m3 yr−1, accounting for 2.1% of its renewable water resources and 8.6% of the total water use. Water scarce regions tend to have higher percentages of virtual water export relative to their water resources and water uses. In the water scarce Huang-Huai-Hai region, the net virtual water export accounts for 8.0% of the region's water resources and 11.3% of its water uses. For individual sectors, major net virtual water exporters are those where agriculture provides raw materials in the initial process of the production chain. The results suggest that China's economic gains from being a world "manufacture factory" have come at a high cost to its water resources.

Highlights

  • International trade between countries entails flows of virtual water, i.e. the water used for the production of traded products (Allan, 1993; Hoekstra and Hung, 2005; Yang et al, 2006; Hoekstra, et al, 2009)

  • The analysis is scaled down to the provincial level to specify the impact of virtual water trade of individual economic sectors on water resources and uses across regions

  • total water use coefficient (TWUC) is higher than direct water use coefficient (DWUC) in all the sectors

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Summary

Introduction

International trade between countries entails flows of virtual water, i.e. the water used for the production of traded products (Allan, 1993; Hoekstra and Hung, 2005; Yang et al, 2006; Hoekstra, et al, 2009). Yang and Zehnder (2002) estimated the volume of virtual water embedded in food imports into the countries in the southern Mediterranean region. They highlighted that food imports were imperative for compensating water resources deficiency in these countries. The major components of the virtual water flows were investigated at the global level by Zimmer and Renault (2003) This analysis was further refined by Hoekstra and Hung (2005). The results showed that worldwide, about 16 % of the water use is for the production of goods and services that are for export

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