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Industrial Intelligence and Carbon Emission Reduction: Evidence from China’s Manufacturing Industry

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  • Tale Mi

    (College of Business, Shanghai University of Finance and Economics, Shanghai 200433, China)

  • Tiao Li

    (College of Business, Shanghai University of Finance and Economics, Shanghai 200433, China)

Abstract

This study delves into the impact of industrial intelligence on corporate carbon performance using micro-level data from 1072 listed manufacturing companies in China’s A-share market from 2012 to 2021. Industrial intelligence, through the integration of advanced technologies such as AI, IoT, and big data analytics applied to industrial robots, significantly improves the corporate carbon performance, measured by the carbon intensity and total emissions. Although the total carbon emissions increase due to the output effect, the efficiency optimization effect of industrial intelligence has a greater impact, reducing carbon intensity and emissions. The reduction effect from increased production efficiency outweighs the increase from the output effect. Heterogeneity tests show significant carbon reduction effects of industrial intelligence in industries with heavy and moderate carbon emissions, but an increase in carbon emissions in industries with light carbon emissions. Regional differences also emerge, with more effective carbon reduction in the Yangtze River Delta and Pearl River Delta regions compared to the Beijing-Tianjin-Hebei region. These findings highlight the carbon reduction potential of industrial intelligence across different industries and regions, offering valuable insights for targeted environmental policies and corporate strategies.

Suggested Citation

  • Tale Mi & Tiao Li, 2024. "Industrial Intelligence and Carbon Emission Reduction: Evidence from China’s Manufacturing Industry," Sustainability, MDPI, vol. 16(15), pages 1-21, July.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:15:p:6573-:d:1447355
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    References listed on IDEAS

    as
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