Abstract: Recently, the overall level of green development in China has been improved. However, the persistent issue of regional disparities in green development remains a pressing challenge. This paper employs the Non-Radial Directional Distance Function (NDDF) model and the interregional input-output tables to measure the level of green development and the rate of value added in domestic value chain trade respectively. Then it pairs the provincial regional data to empirically study the impact of domestic value chain trade on regional disparities in green development. The findings show that domestic value chain trade can significantly narrow the regional green development gap, primarily driven by the“green catching-up”effect in less developed regions. The convergence effect of domestic value chain trade on regional disparities in green development is more pronounced within the eastern and central-western regions, and it becomes stronger when the gaps in regional division of labor status and green development levels are larger. The mechanism analysis indicates that knowledge network spillovers, industrial structure optimization, and green technology innovation are key pathways through which domestic value chain trade reduces regional green development disparities. Further research reveals that new infrastructure construction can amplify the green convergence effect of domestic value chain trade. Under the new“dual circulation”development paradigm, it is essential to leverage domestic circulation channels to strengthen the cross-regional division of labor and the collaboration in industrial and supply chains. By fully harnessing the driving role of domestic value chain trade in regional green development, a new pattern of coordinated digital and green development can be established.

Key words: the trade of domestic value chain, regional green development gap, non-radial directional distance function, new infrastructure