Sprinkle pork chops with salt and pepper; place in a greased 13- x 9- x 2-inch baking dish, and set aside.
Combine water, vinegar, chili sauce, sugar, and mustard; mix well. Pour sauce over pork chops. Cover and bake at 400° for 1 hour. Uncover and continue baking 30 minutes.
Remove chops to a serving platter. Pour remaining sauce over chops.