Abstract

Cross-regional water allocation within the river basin, coupled with the development of specialized industries based on comparative advantages, can effectively mediate overall water use efficiency. The uneven distribution of water resources and structural contradictions in water usage hinder the sustainable development of water resources in the Yangtze River Economic Belt (YEB). This study aims to address these issues from the perspective of virtual water trade, to facilitate cross-regional water resource allocation and guide structural adjustments in industrial water use, ensuring water security. In this study, we developed a dynamic multi-regional input–output model (MRIO) to explore dynamic change of virtual water trade pattern in the YEB that evolves over time. This model sheds light on evolving virtual water transfer patterns and the nuances of water resource pressure transmission. Additionally, it quantifies sectoral water use variations, pinpointing the cornerstone industries across different regions. The findings are as follows: (1) The pattern of virtual water transfer predominantly towards the developed downstream regions remains unchanged, but regional disparities are gradually diminishing. (2) The upstream regions of the YEB transfer more water resource pressures externally, while the downstream regions do not experience excessive external transfers of water resource pressures. (3) The pattern of Agriculture-driven virtual water transfers is gradually being disrupted. While the upstream regions continue to rely on Agriculture as their pillar industries, the downstream regions are progressively shifting towards tertiary industries such as Service. These results indicate that economic development is the primary driver of changes in the the pattern of virtual water transfer, and economic disparities are a key factor in shaping the latest virtual water transfer. Based on existing policies, there is a need for comprehensive coordination of water resource allocation and strengthening of virtual water trade exchanges between regions to address the uneven distribution of water resources. Additionally, it is necessary to resolve structural water use conflicts by developing specialized economic strengths based on the main industries for virtual water in each region.

Full Text
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