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Government procurement as a catalyst for carbon transparency: Evidence from China’s A-share market

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  • Qiu, Xiaoyue
  • Zhang, Xinhe
  • Peng, Yan
  • Zhuang, Yaming

Abstract

Corporate carbon disclosure is a key strategy for addressing climate change, enhancing firm value, and achieving a green competitive advantage. Using a panel dataset of Chinese A-share listed companies from 2015 to 2022, this study examines the effect of government procurement on corporate carbon disclosure and the underlying mechanisms. The results show that firms awarded government procurement contracts exhibit an approximately 5.12 % increase in their carbon disclosure. Further analysis reveals that this effect operates through two key channels: green innovation and media attention. Heterogeneity analyses show that non-heavily polluting firms and firms facing high financial constraints respond more strongly to government procurement incentives. Furthermore, non-local government procurement exerts a stronger promoting effect on corporate carbon disclosure than local government procurement, while greater regulatory distance weakens the positive influence of government procurement. From a demand-side policy perspective, this study provides empirical evidence and actionable insights into how government procurement can serve as an incentive for corporate carbon disclosure.

Suggested Citation

  • Qiu, Xiaoyue & Zhang, Xinhe & Peng, Yan & Zhuang, Yaming, 2026. "Government procurement as a catalyst for carbon transparency: Evidence from China’s A-share market," Economic Analysis and Policy, Elsevier, vol. 91(C), pages 336-354.
    • Handle: RePEc:eee:ecanpo:v:91:y:2026:i:c:p:336-354
    DOI: 10.1016/j.eap.2026.03.019
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