Sustainable agricultural development is challenged by the growing population and increasing instances of drought. Over multiple years, the continuous planting of potatoes can lead to a decrease in both potato yield and soil quality. Crop rotation proves to be a viable solution for enhancing soil productivity, especially in arid and semi-arid areas. A 5-year field experiment was conducted in northwestern China's semi-arid region to evaluate the impact of different potato rotation treatments (1-year rotation with maize, 3-year rotation with maize, oil flax and broad bean; 2-year continuous potato planting rotated with maize and 5-year continuous potato planting) and mulching techniques (unmulched and plastic film) on potato yield and soil fertility. The results showed that crop rotation (1-year and 3-year) improved plant height, dry matter accumulation, soil quality, and reduced water footprint. Under plastic film mulching mode, 1-year rotation resulted in an increase in number of potatoes per plant by 38.24%, economic benefits by 9.70%, water use efficiency by 41.86 and soil fertility in comparison to the 5-year continuous planting, the tuber yield significantly increased by 78.86%, and the green/grey/total water footprint reduced by 28.8%-46.4%. We recommend the 1-year rotational cropping system using plastic film mulch as an effective technique for addressing the challenges of continuous potato cultivation in arid and semi-arid regions.