Research on China's Domestic Trade of Virtual Water from the Perspective of Value-Added Trade

From the perspective of value-added trade, this paper divides the virtual water consumption and trade in different provinces of China into five major paths according to the input-output relationship. In 2012 and 2015, most provinces' water resources were implicitly used in the final products to meet the local demand. In addition, the volume of virtual water trade in the complex domestic value chain is greater than that in the traditional domestic trade value chain and the simple domestic trade value chain. In both years, judging from the sum of virtual water trade volumes in the three major value chains, there is virtual water net inflow in Beijing-Tianjin and the northern, eastern and southern coastal areas, and virtual water net outflow in the northeast, central and northwest areas. In the course of this research, the virtual water net outflow turned into net inflow in the southwestern area.