This paper explores the sustainable development of rural tourism in China through the lens of tourism empowerment and community participation. The study uses a structural equation model to investigate the interactions among system construction, tourism empowerment, community participation, and participation ability in the Wuzhen scenic area. Key findings include: 1. **System Construction and Tourism Empowerment**: System construction significantly and positively influences tourism empowerment, enhancing individual-level empowerment. 2. **Tourism Empowerment and Community Participation**: Tourism empowerment has a significant positive impact on community participation, fostering a sense of agency and support among residents. 3. **System Construction and Community Participation**: System construction also positively impacts community participation, contributing to the sustainable development of rural tourism. 4. **Mediating Role of Tourism Empowerment**: Tourism empowerment partially mediates the relationship between system construction and community participation. 5. **Moderating Role of Participation Ability**: Participation ability indirectly mediates the effect of system construction on tourism empowerment, amplifying the positive influence of system construction on community participation. The study recommends several strategies to ensure the sustainable development of rural tourism, including: - Establishing an interest linkage mechanism based on property rights of tourism attractions. - Implementing oversight mechanisms for rural tourism enterprises. - Strengthening community participation through educational and informational support. These recommendations aim to balance community interests, enhance tourism empowerment, and promote sustainable rural tourism development.This paper explores the sustainable development of rural tourism in China through the lens of tourism empowerment and community participation. The study uses a structural equation model to investigate the interactions among system construction, tourism empowerment, community participation, and participation ability in the Wuzhen scenic area. Key findings include: 1. **System Construction and Tourism Empowerment**: System construction significantly and positively influences tourism empowerment, enhancing individual-level empowerment. 2. **Tourism Empowerment and Community Participation**: Tourism empowerment has a significant positive impact on community participation, fostering a sense of agency and support among residents. 3. **System Construction and Community Participation**: System construction also positively impacts community participation, contributing to the sustainable development of rural tourism. 4. **Mediating Role of Tourism Empowerment**: Tourism empowerment partially mediates the relationship between system construction and community participation. 5. **Moderating Role of Participation Ability**: Participation ability indirectly mediates the effect of system construction on tourism empowerment, amplifying the positive influence of system construction on community participation. The study recommends several strategies to ensure the sustainable development of rural tourism, including: - Establishing an interest linkage mechanism based on property rights of tourism attractions. - Implementing oversight mechanisms for rural tourism enterprises. - Strengthening community participation through educational and informational support. These recommendations aim to balance community interests, enhance tourism empowerment, and promote sustainable rural tourism development.