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China's economy is in an important transition period of rapid development and high-quality development. The contradiction between water resources allocation and regional economic development needs has become a major strategic problem faced by the national economy and the people's livelihood. In this paper, the industrial structure effect that affects the change of regional water use intensity is decomposed into industrialization effect, industrial structure upgrading effect, tertiary industry water-saving technology effect, and domestic water extraction effect from the spatial dimension. The LMDI decomposition expansion model of regional water use intensity is constructed. Taking the Yangtze River Economic Belt as an example, the influence mechanism of industrial structure upgrading on the spatial dimension difference of water use intensity is deeply explored. The study shows that since 2016, the improvement of the level of industrial structure upgrading in each province and city can inhibit its increase in water consumption intensity compared with that in Shanghai. Jiangxi, Hunan, Yunnan, and Sichuan need to optimize the allocation of water resources among industries, especially between the primary and secondary industries. Anhui, Jiangxi, Chongqing, Yunnan, and Sichuan need to improve the service level of the tertiary industry.
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