Sustainable water use in tourism: Decomposition of water footprint socioeconomic drivers in Chinese administrative units

Abstract

Water scarcity is a critical challenge to sustainable growth in rapidly urbanizing economies like China, where the tourism sector—particularly the restaurant and hotel industry—drives substantial indirect water consumption through extensive supply chains. Despite its significance, research on the sector's water footprint at the urban level and the socioeconomic drivers influencing its changes remains limited and underexplored. This study addresses these gaps by employing structural decomposition analysis and a multi-regional input-output model to analyze the water footprint of China's restaurant and hotel sector across 313 administrative units from 2012 to 2017. Key drivers, including water use efficiency, trade structure, production efficiency, and regional affluence, are identified. Results reveal a national decline in the sector's water footprint, with stark regional disparities. Between 2012 and 2015, structural improvements drove reductions, while rising wealth offset gains. From 2015 to 2017, efficiency gains dominated reductions but were partially counterbalanced by economic growth. This study highlights the importance of addressing direct and indirect water use, providing valuable insights into the socioeconomic factors shaping water use and offering a foundation for targeted, region-specific water resource policies.