The effects of water transport through membrane electrolyte assembly of a polymer exchange membrane fuel cell on cell performance has been studied by a one-dimensional, nonisothermal, steady-state model. Three forms of water are considered in the model: dissolved water in the electrolyte or membrane, and liquid water and water vapor in the void space. Phase changes among these three forms of water are included based on the corresponding local equilibriums between the two involved forms. Water transport and its effect on cell performance have been discussed under different operating conditions by using the value and the sign of the net water transport coefficient, which is defined by the net flux of water transported from the anode side to the cathode side per proton flux. Optimal cell performance can be obtained by adjusting the liquid water saturation at the interface of the cathode gas diffusion layer and flow channels.