Abstract: Using statistical data from local authorities, the paper comparatively and quantitatively analysed the change process of urbanization and total water use in counties of Bayingolin Mongol Autonomous Prefecture, water use efficiency, water use structure, and industrial structure in Tarim River from 2000 to 2008. The paper established the mathematical relationship between the level of urbanization and water use efficiency, as well as the level of urbanization and the amount of total water use. Based on linear regression and logarithmic regression models, the results showed as follows: water efficiency of cities and counties is improved constantly, and the water use efficiency is higher where the level of urbanization is high. Urbanization level and water use efficiency show a linear growth relationship. Uplifting the whole level of urbanization in this region has a great impact on the improvement of the water use efficiency. Water use efficiency will have a 2.62 Yuan /m3 increase with an one percentage point rising of the urbanization level. The development of urbanization in this region is constrained by the water resources, the urbanization level and water use efficiency have no obvious logarithmic growth relationship. The industrial structure of this region is a proportion of “Two Three One”, in which the city of Korla has a more prominent contribution in the share of the secondary industry. The percentage composition of the water use structure is a model of “ agriculture > urban and rural residents living > industry”, the total using amount of water resources is constantly increased with an increasing primary industry proportion. The change of total water use amount in the second industry and the tertiary industry is not significant. The process of urbanization and industrialization in the arid areas in Northwest China is restricted by the frail ecoenvironments and scarce water resources, but even so, the arid areas need more water resources transferred from rural area to urban region. However, the food security in the arid areas should be guaranteed, and the rural and urban areas should have a sustainable development with a rational water resources reallocation. Consequently, it is urgent to find a way to resolve this problem. Nonagricultural sectors should take certain remedial measures to make the water resources transfer from low water use efficiency agricultural sectors to high water use efficiency nonagricultural sectors and gradually increase the income of farmers, and protect the sustainable development of agriculture. In the near future，measures should taken to improve the water use efficiency and optimize the industrial structure in order to promote and coordinate the relationship between the development of urbanization and the use of water resources.

Key words: urbanization, water resources, Bayingolin Mongol Autonomous Prefecture