Carbon cloth modified by hydrothermal treatment in ammonia water is developed as the positive electrode with high electrochemical performance for vanadium redox flow batteries. The SEM shows that the treatment has no obvious influence on the morphology of carbon cloth. XPS measurements indicate that the nitrogenous functional groups can be introduced on the surface of carbon cloth successfully. The electrochemical performance of V(IV)/V(V) redox couple on the prepared electrode is evaluated with cyclic voltammetry and linear sweep voltammetry measurements. The N-doped carbon cloth exhibits outstanding electrochemical activity and reversibility toward V(IV)/V(V) redox couple. The rate constant of V(IV)/V(V) redox reaction on carbon cloth can increase to 2.27×10−4 cm/s from 1.47×10−4 cm/s after nitrogen doping. The cell using N-doped carbon cloth as positive electrode has larger discharge capacity and higher energy efficiency compared with the cell using pristine carbon cloth. The average energy efficiency of the cell using N-doped carbon cloth for 50 cycles at 30mA/cm2 is 87.8%, 4.3% larger than that of the cell using pristine carbon cloth. It indicates that the N-doped carbon cloth has a promise application prospect in vanadium redox flow batteries.