<p>Extreme compound hot and dry events (CHDEs) frequently affect the Yangtze River Valley (YRV) and are commonly attributed to subsidence associated with an intensified subtropical high. Here we show that the pronounced interannual variability of YRV CHDEs is not directly controlled by the strength of the subtropical high, but instead is governed by a distinct circulation configuration: a quasi-barotropic anticyclonic anomaly to the north of the YRV coupled with a low-level cyclonic anomaly to its south. The specific configuration of the anomalous circulations drives strong low-level meridional wind divergence over the YRV. Governed by mass continuity, this low-level divergence, coupled with upper-level convergence linked to the northern anticyclone, forces profound anomalous subsidence. The resulting subsidence suppresses precipitation and enhances surface warming and drying through land–atmosphere feedbacks, favoring the development of CHDEs. The formation of this circulation pattern is driven by the synergistic influence of tropical convective heating over the western North Pacific (WNP) and the North Atlantic Oscillation (NAO). Specifically, WNP convective heating establishes the low-level cyclonic/anticyclonic pair via a northeastward-propagating Rossby wave train. Concurrently, the positive phase of the NAO stimulates a separate Rossby wave train emanating from the North Atlantic, reinforcing the anticyclonic anomaly north of the YRV. The superposition of these wave trains creates large-scale circulation conditions conducive to YRV CHDEs. Our findings highlight the distinct atmospheric configuration modulating regional compound extremes, providing essential insights for understanding and predicting these hazards in a warming climate.</p>