[Objective]The objective of this study is to investigate the reason why Lindera obtusiloba Bl. Mus. Bot. in Baotianman Mountain showed dieback based on the perspective of water and carbon. [Method]Three rainfall-intercepted plots were established at the forest in Baotianman Mountain in April 2013. The hydraulic characteristics and nonstructural carbohydrate of L. obtusiloba were measured during the drought period of August,2014. [Result ](1) The rainfall reduction caused a lot of shoot dieback of L. obtusiloba. The maximum vessel length of L. obtusiloba was about 60 cm and the water potential causing 50% loss of hydraulic conductivity (P50) was - 1.43 MPa,and thus,the xylem vulnerability to cavitation was very large. After being treated with the interception of rainfall for more than one year,in comparison with the control,the net photosynthetic rate,pre-dawn water potential and midday water potential significantly decreased,the percentage loss of hydraulic conductivity significantly increased in the dry period,and terribly its hydraulic safety margin was negative. (2) In addition,the stomatal conductance,transpiration rate,leaf area,vessel diameter,sapwood specific conductivity and leaf specific hydraulic conductivity significantly decreased,the Huber value and the vessel density significantly increased compared with the control. However,there were no significant differences in the soluble sugar,starch and total nonstructural carbohydrate of leaf,phloem and xylem between the rainfall-intercepted trees and the control. [Conclusion]The results indicate that L. obtusiloba dieback in the rainfall-intercepted plots is attributed to hydraulic failure rather than carbon starvation,and the variation of transpiration area and hydraulic conduction system after treated with rainfall interception indicate that L. obtusiloba has to some degree drought acclimation performances in drought circumstance, but the adaptive adjustment is not enough to prevent L. obtusiloba from dieback.