The paper aims to clarify the regulation mechanism of sulfur migration and transformation in a low water-binder ratio system incorporating phosphogypsum aggregate (LWC-PG). Firstly, the combination of S-containing adhesive material and phosphate gypsum aggregate can reduce the migration of sulfate ions (SO42−) in the phosphate gypsum aggregate. The reaction mechanism and macro and micro properties of LWC-PG are characterized by universal testing machine, low field nuclear magnetic field, isothermal calorimeter, XRD diffractometer, scanning electron microscope and nano-indentation. The results show that the calcium sulfoaluminate cementitious system (CSA) is compatible with PG. The results show that CSA is compatible with PG, and the 28d strength of 80 % phosphogypsum is 83.4 MPa, which can maintain the required strength for high-performance concrete. Secondly, the sulfides in PG react with C4A6S in CSA, resulting in the formation of ettringite that coats the surface of the C–S–H gel, thereby retarding the hydration rate of the slurry. However, due to the presence of phosphate gypsum aggregate, the reaction continues, enhancing the hydration of sulfate cement. Moreover, the interfacial transition zone between the PG and matrix exhibits a strong bond and shows no significant signs of deterioration. Lastly, when using 80 % phosphogypsum aggregate instead of natural sand and gravel to produce 100 m3 of concrete, 42 t of phosphogypsum aggregate can be used, which reduces the consumption of natural sand and gravel by 61.4 t, decreases energy consumption by 3070 MJ, reduces CO2 emissions by 178.06 kg, SO2 emissions by 0.37 kg, NOX emissions by 0.25 kg, and dust emissions by 0.087 kg. Life cycle evaluation demonstrates that the production of LWC-PG is associated with low carbon emissions and environmental friendliness, which significantly reduces environmental burden. This is of significant research importance for solid waste management and energy-saving and carbon reduction efforts.