During the depositional period of the Permian Shihezi Formation, the southern margin of the Ordos Basin was a key location for studying the tectonic movement of the North China Craton (NCC) and South China Blocks. The sedimentary environment was the first period of complete transition from marine to continental. However, the distribution of sediments controlled by a multi–provenance supply and the response of deposition to tectonics remain ambiguous, and the restoration of paleogeography remains in the qualitative stage, restricting the study of larger-scale tectono–sedimentary patterns. Based on field profiles and core observations, the paleocurrent direction, lithic fragments, heavy mineral assemblages, rare earth element distribution patterns, 11 detrital zircon U–Pb age datasets, and discrimination diagram of major and trace elements, the provenance signature and tectono–sedimentary setting were revealed. The results indicated that there are three main provenances in the southern margin of the Ordos Basin: North Qilian and western and eastern sections of the North Qinling Orogenic Belt. The tectonic setting of the North Qilian was a continental island arc, and the North Qinling was transformed from a passive to an active continental margin. Owing to the continued intense tectonic activities of the North Qilian, a braided river delta with a large sedimentary range developed in the west, and it was mixed with detrital sediments from the western section of the North Qinling with weak tectonic activity in the central. Affected by the uplift of the southern North China Craton, the sedimentary environment in the eastern range was unstable, and the thickness distribution of sandy sediments in the braided river delta was uneven. Refinement of provenance and deposition has important implications for the study of basin–mountain coupling relationships and paleogeographic reconstruction in the southern Ordos Basin and provides a basis for the study of collision evolution of the North and South China Blocks in the Permian.