IDEAS home Printed from https://ideas.repec.org/a/eee/streco/v73y2025icp392-406.html
   My bibliography  Save this article

The impact of supply chain digitization on the carbon emissions of listed companies—A quasi-natural experiment in China

Author

Listed:
  • Meng, Chenyu
  • Lin, Yongsheng

Abstract

Integrating digital technology into supply chain development strengthens supply chain digitization, improving technical communication and transparency at various nodes. This study examines the effect of supply chain digitization on the carbon emissions of listed companies and their transmission mechanisms, leveraging the quasi-natural experiment of China's 2018 Supply Chain Innovation and Application pilot policy. The findings reveal that implementing supply chain digitization led to a 5.4% reduction in carbon emissions in pilot companies compared with nonpilot counterparts, according to 2012–2022 data on 2,828 listed companies. Mechanism analysis indicates that supply chain digitization achieves emission reductions mainly by facilitating green technological innovation and alleviating information asymmetry. Heterogeneity analysis reveals more potent effects in central regions, resource-rich areas, firms with concentrated supply chains, long inventory turnover, and high-tech or heavily polluting industries. This study offers valuable insights for optimizing policies to strengthen supply chain digitization and assist companies in reducing their carbon emissions.

Suggested Citation

  • Meng, Chenyu & Lin, Yongsheng, 2025. "The impact of supply chain digitization on the carbon emissions of listed companies—A quasi-natural experiment in China," Structural Change and Economic Dynamics, Elsevier, vol. 73(C), pages 392-406.
  • Handle: RePEc:eee:streco:v:73:y:2025:i:c:p:392-406
    DOI: 10.1016/j.strueco.2025.02.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0954349X25000177
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.strueco.2025.02.007?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Mai, Yirui & Yu, Kaidong & Zhang, Xuan, 2024. "Enhancing corporate carbon performance through green innovation and digital transformation: Evidence from China," International Review of Economics & Finance, Elsevier, vol. 96(PB).
    2. Daron Acemoglu & Ufuk Akcigit & Douglas Hanley & William Kerr, 2016. "Transition to Clean Technology," Journal of Political Economy, University of Chicago Press, vol. 124(1), pages 52-104.
    3. Thorsten Beck & Ross Levine & Alexey Levkov, 2010. "Big Bad Banks? The Winners and Losers from Bank Deregulation in the United States," Journal of Finance, American Finance Association, vol. 65(5), pages 1637-1667, October.
    4. Culot, Giovanna & Nassimbeni, Guido & Orzes, Guido & Sartor, Marco, 2020. "Behind the definition of Industry 4.0: Analysis and open questions," International Journal of Production Economics, Elsevier, vol. 226(C).
    5. Pastor, Lubos & Stambaugh, Robert F., 2003. "Liquidity Risk and Expected Stock Returns," Journal of Political Economy, University of Chicago Press, vol. 111(3), pages 642-685, June.
    6. Teng, Yuqiang & Du, Anna Min & Lin, Boqiang, 2024. "The mechanism of supply chain efficiency in enterprise digital transformation and total factor productivity," International Review of Financial Analysis, Elsevier, vol. 96(PA).
    7. Dong Ding & Bin Liu & Millicent Chang, 2023. "Carbon Emissions and TCFD Aligned Climate-Related Information Disclosures," Journal of Business Ethics, Springer, vol. 182(4), pages 967-1001, February.
    8. Ma, Dan & Zhu, Qing, 2022. "Innovation in emerging economies: Research on the digital economy driving high-quality green development," Journal of Business Research, Elsevier, vol. 145(C), pages 801-813.
    9. Shang, Yuping & Raza, Syed Ali & Huo, Zhe & Shahzad, Umer & Zhao, Xin, 2023. "Does enterprise digital transformation contribute to the carbon emission reduction? Micro-level evidence from China," International Review of Economics & Finance, Elsevier, vol. 86(C), pages 1-13.
    10. Xuan Chang & Jinye Li, 2022. "Effects of the Digital Economy on Carbon Emissions in China: A Spatial Durbin Econometric Analysis," Sustainability, MDPI, vol. 14(24), pages 1-20, December.
    11. ManMohan S. Sodhi & Christopher S. Tang, 2019. "Research Opportunities in Supply Chain Transparency," Production and Operations Management, Production and Operations Management Society, vol. 28(12), pages 2946-2959, December.
    12. Amihud, Yakov, 2002. "Illiquidity and stock returns: cross-section and time-series effects," Journal of Financial Markets, Elsevier, vol. 5(1), pages 31-56, January.
    13. Zhao, Ziyi & Zhao, Yuhuan & Shi, Xunpeng & Zheng, Lu & Fan, Shunan & Zuo, Sumin, 2024. "Green innovation and carbon emission performance: The role of digital economy," Energy Policy, Elsevier, vol. 195(C).
    14. Kirner, Eva & Kinkel, Steffen & Jaeger, Angela, 2009. "Innovation paths and the innovation performance of low-technology firms--An empirical analysis of German industry," Research Policy, Elsevier, vol. 38(3), pages 447-458, April.
    15. Tang, Maogang & Liu, Yinlin & Hu, Fengxia & Wu, Baijun, 2023. "Effect of digital transformation on enterprises' green innovation: Empirical evidence from listed companies in China," Energy Economics, Elsevier, vol. 128(C).
    16. Yi, Ming & Liu, Yafen & Sheng, Mingyue Selena & Wen, Le, 2022. "Effects of digital economy on carbon emission reduction: New evidence from China," Energy Policy, Elsevier, vol. 171(C).
    17. Ramelli, Stefano & Ossola, Elisa & Rancan, Michela, 2021. "Stock price effects of climate activism: Evidence from the first Global Climate Strike," Journal of Corporate Finance, Elsevier, vol. 69(C).
    18. Yang, Xiangyang & Li, Zijun & Qiu, Zhaoxuan & Wang, Jinmin & Liu, Bei, 2024. "ESG performance and corporate technology innovation: Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 206(C).
    19. Dai, Shufen & Qian, Yawen & He, Weijun & Wang, Chen & Shi, Tianyu, 2022. "The spatial spillover effect of China's carbon emissions trading policy on industrial carbon intensity: Evidence from a spatial difference-in-difference method," Structural Change and Economic Dynamics, Elsevier, vol. 63(C), pages 139-149.
    20. Liu, Yajun & Zhang, Xiuwu & Shen, Yang, 2024. "Technology-driven carbon reduction: Analyzing the impact of digital technology on China's carbon emission and its mechanism," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    21. Cui, Xinghua & Xu, Ning & Yan, Xiangwu & Zhang, Wenjie, 2023. "How does social credit system constructions affect corporate carbon emissions? Empirical evidence from Chinese listed companies," Economics Letters, Elsevier, vol. 231(C).
    22. Zhao, Shuang & Zhang, Liqun & Peng, Lin & Zhou, Haiyan & Hu, Feng, 2024. "Enterprise pollution reduction through digital transformation? Evidence from Chinese manufacturing enterprises," Technology in Society, Elsevier, vol. 77(C).
    23. Zhu, Yan & Zhang, Zhuyun, 2024. "Supply chain digitalization and corporate ESG performance: Evidence from supply chain innovation and application pilot policy," Finance Research Letters, Elsevier, vol. 67(PA).
    24. Yang, Gangqiang & Nie, Yiming & Li, Honggui & Wang, Haisen, 2023. "Digital transformation and low-carbon technology innovation in manufacturing firms: The mediating role of dynamic capabilities," International Journal of Production Economics, Elsevier, vol. 263(C).
    25. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    26. Hou, Xiang & Hu, Qianlin & Liang, Xin & Xu, Jingxuan, 2023. "How do low-carbon city pilots affect carbon emissions? Staggered difference in difference evidence from Chinese firms," Economic Analysis and Policy, Elsevier, vol. 79(C), pages 664-686.
    27. Xin Zhao & Ramzi Benkraiem & Mohammad Zoynul Abedin & Silu Zhou, 2024. "The charm of green finance: Can green finance reduce corporate carbon emissions?," Post-Print hal-04925274, HAL.
    28. Ma, Jing & Li, Qing & Zhao, Qiuyun & Liou, Jennhae & Li, Chen, 2024. "From bytes to green: The impact of supply chain digitization on corporate green innovation," Energy Economics, Elsevier, vol. 139(C).
    29. Sanjith Gopalakrishnan & Daniel Granot & Frieda Granot & Greys Sošić & Hailong Cui, 2021. "Incentives and Emission Responsibility Allocation in Supply Chains," Management Science, INFORMS, vol. 67(7), pages 4172-4190, July.
    30. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    31. Zhang, Qiming & Zhao, Xuan, 2024. "Can the digital economy facilitate the optimization of industrial structure in resource-based cities?," Structural Change and Economic Dynamics, Elsevier, vol. 71(C), pages 405-416.
    32. Yang, Miying & Fu, Mingtao & Zhang, Zihan, 2021. "The adoption of digital technologies in supply chains: Drivers, process and impact," Technological Forecasting and Social Change, Elsevier, vol. 169(C).
    33. Yu, Zhipeng & Cao, Xiaonan & Tang, Lu & Yan, Taihua & Wang, Zeyu, 2024. "Does digitalization improve supply chain efficiency?," Finance Research Letters, Elsevier, vol. 67(PA).
    34. Du, Yifei & Li, Wen & Tang, Xuesong, 2024. "Supply chain digitization and corporate maturity mismatch: Evidence from a quasi-natural experiment," Pacific-Basin Finance Journal, Elsevier, vol. 87(C).
    35. Luo, Shuangcheng & Xiong, Zhiqiao & Liu, Jianjiang, 2024. "How does supply chain digitization affect green innovation? Evidence from a quasi-natural experiment in China," Energy Economics, Elsevier, vol. 136(C).
    36. Li Wang & Hongyu Yang, 2024. "Digital technology innovation and corporate ESG performance: evidence from China," Economic Change and Restructuring, Springer, vol. 57(6), pages 1-32, December.
    37. Zhichuan Zhu & Bo Liu & Zhuoxi Yu & Jianhong Cao, 2022. "Effects of the Digital Economy on Carbon Emissions: Evidence from China," IJERPH, MDPI, vol. 19(15), pages 1-21, August.
    38. Lin, Boqiang & Jia, Zhijie, 2019. "How does tax system on energy industries affect energy demand, CO2 emissions, and economy in China?," Energy Economics, Elsevier, vol. 84(C).
    39. An, Suxia & Gu, Yu & Pan, Lu & Yu, Ying, 2024. "Supply chain digitalization and firms' green innovation: Evidence from a pilot program," Economic Analysis and Policy, Elsevier, vol. 84(C), pages 828-846.
    40. Liu, Yang Stephanie & Zhou, Xiaoyan & Yang, Jessica Hong & Hoepner, Andreas G.F. & Kakabadse, Nada, 2023. "Carbon emissions, carbon disclosure and organizational performance," International Review of Financial Analysis, Elsevier, vol. 90(C).
    41. Barbieri, Nicolò & Marzucchi, Alberto & Rizzo, Ugo, 2023. "Green technologies, interdependencies, and policy," Journal of Environmental Economics and Management, Elsevier, vol. 118(C).
    42. Hao, Xiaoli & Miao, Erxiang & Sun, Qingyu & Li, Ke & Wen, Shufang & Xue, Yan, 2024. "The impact of digital government on corporate green innovation: Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 206(C).
    43. Zhao, Xin & Benkraiem, Ramzi & Abedin, Mohammad Zoynul & Zhou, Silu, 2024. "The charm of green finance: Can green finance reduce corporate carbon emissions?," Energy Economics, Elsevier, vol. 134(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Li, Longda, 2024. "The environmental spillovers of buyers' digital transformation: Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 209(C).
    2. Feng, Lingbing & Qi, Jiajun & Zheng, Yuhao, 2025. "How can AI reduce carbon emissions? Insights from a quasi-natural experiment using generalized random forest," Energy Economics, Elsevier, vol. 141(C).
    3. Zheng, Mingbo & Zhang, Xinyu, 2025. "Digitalization and renewable energy development: Analysis based on cross-country panel data," Energy, Elsevier, vol. 319(C).
    4. Ruizhi Liu & Jiajia Li & Mark Wu, 2025. "The Impact of Climate Change Risk on Corporate Debt Financing Capacity: A Moderating Perspective Based on Carbon Emissions," Sustainability, MDPI, vol. 17(14), pages 1-37, July.
    5. Zhu, Huayou & Bao, Weiping & Yu, Guojun, 2024. "How can intelligent manufacturing lead enterprise low-carbon transformation? Based on China's intelligent manufacturing demonstration projects," Energy, Elsevier, vol. 313(C).
    6. Liu, Yue & Liu, Nengyu & Huo, Yijia, 2025. "Impact of digital technology innovation on carbon emission reduction and energy rebound: Evidence from the Chinese firm level," Energy, Elsevier, vol. 320(C).
    7. Yang, Ping & Lv, Yanqin & Chen, Jing & Shen, Hebin & Xu, Yang, 2025. "Can the digitization of supply chains promote the low-carbon transformation of enterprises? A case study of listed companies in China," Energy Economics, Elsevier, vol. 143(C).
    8. Gu, Jiafeng, 2025. "Did supply chain digitization contribute to corporate green energy innovation? The mediating role of asset receivable management and policy spillovers," Energy Economics, Elsevier, vol. 143(C).
    9. Zhou, Ling & Li, Yang, 2025. "Commercial credit supply in the digital economy era: Impact mechanisms and differences in property rights," International Review of Financial Analysis, Elsevier, vol. 99(C).
    10. Zhao, Nanyang & Hong, Jiangtao & Lau, Kwok Hung, 2023. "Impact of supply chain digitalization on supply chain resilience and performance: A multi-mediation model," International Journal of Production Economics, Elsevier, vol. 259(C).
    11. Li, Shan & Xing, Kai & Meng, Jixian & Yang, Xiaoguang, 2025. "How does the innovation of digital and green technology integration promote corporate environmental performance," International Review of Economics & Finance, Elsevier, vol. 99(C).
    12. Tianchu Feng & Andrea Appolloni & Jiayu Chen, 2024. "How does corporate digital transformation affect carbon productivity? Evidence from Chinese listed companies," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(12), pages 31425-31445, December.
    13. Senhua Huang & Lingming Chen, 2023. "The Impact of the Digital Economy on the Urban Total-Factor Energy Efficiency: Evidence from 275 Cities in China," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    14. Sainan Cheng & Guohua Qu, 2023. "Research on the Effect of Digital Economy on Carbon Emissions under the Background of “Double Carbon”," IJERPH, MDPI, vol. 20(6), pages 1-27, March.
    15. Zheng, Deyuan & Song, Hang & Zhao, Chunguang & Liu, Yujiao & Zhao, Wenhao, 2024. "Is it possible for semiconductor companies to reduce carbon emissions through digital transformation? Evidence from China," International Journal of Production Economics, Elsevier, vol. 272(C).
    16. Lyu, Hengyu & Ma, Chunai & Arash, Farnoosh, 2024. "Central environmental protection inspection, green technology innovation and carbon intensity of industrial enterprises – Empirical research based on multi-period differences-in-differences model," Energy, Elsevier, vol. 307(C).
    17. Chen, Rongda & Mao, Weidao & Wang, Shengnan & Jin, Chenglu, 2024. "Can companies' input of data factor eliminate investors' home biases?," International Review of Financial Analysis, Elsevier, vol. 96(PB).
    18. Roy, Sanjit K. & Tehrani, Ali N. & Pandit, Ameet & Apostolidis, Chrysostomos & Ray, Subhasis, 2025. "AI-capable relationship marketing: Shaping the future of customer relationships," Journal of Business Research, Elsevier, vol. 192(C).
    19. Ching‐Hsun Chang, 2018. "How to Enhance Green Service and Green Product Innovation Performance? The Roles of Inward and Outward Capabilities," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 25(4), pages 411-425, July.
    20. Tao, Miaomiao & Wu, Sihong, 2025. "From polluter pays to polluter reborn: Exploring the economic and green implications of corporate carbon risk exposure," Energy Economics, Elsevier, vol. 144(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:streco:v:73:y:2025:i:c:p:392-406. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/525148 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.