This paper aims to investigate the configuration of sustainable water markets in China in so far as the findings could benefit the robustness of such markets in case of their nationwide development. Based on market environmentalism, an empirical framework including water right allocation, active demanders, competitive water price and storage capacity is built. The study of 11 representative cases of WRT in China by using crispset qualitative comparative analysis (csQCA) shows that the active demanders are the necessary condition for sustainable water markets, followed by three sufficient configurations. The findings allude to the plausibility that local water agencies should tailor the most adaptable plans for local water markets instead of following the unified blueprint. Moreover, mobilizing enough demanders, as well as improving water storage capacity should be listed on the top above the other incremental policy goals.