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How Does Digital Intelligence Empower Green Transformation in Manufacturing Companies? A Case Study Based on FAW-Volkswagen

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  • Chaohui Zhang

    (School of Business and Management, Jilin University, Changchun 130012, China)

  • Yuhong Xu

    (School of Business and Management, Jilin University, Changchun 130012, China)

Abstract

Despite the immense potential of digital intelligence technologies to enhance corporate profitability, manufacturing enterprises often face the “digital–green paradox”, which indicates that while companies invest in digital and intelligent transformation, their energy consumption increases rather than promoting green transition. To provide reasonable transformation solutions for manufacturers still caught in this paradox, this paper adopts a single-case study approach from a product lifecycle perspective. Focusing on FAW-Volkswagen—a manufacturing enterprise demonstrating outstanding performance in digital-intelligent green transformation—this study conducts an in-depth investigation into the stage characteristics and underlying mechanisms. The results show that the following: (1) The digital-intelligent green transformation of manufacturing enterprises is an iterative process evolving from “green design, low-carbon production, intelligent service to enterprise spiral value-added”, with distinct digital-intelligent empowerment models at each stage. (2) By leveraging digital-intelligent technologies, manufacturing enterprises can build a multi-tiered “internal-external dual circulation” green development system encompassing the “enterprise—industrial chain—full ecosystem,” driving comprehensive green upgrades across the entire industry and ecosystem. This paper reveals the intrinsic mechanisms through which digital-intelligent technologies facilitate manufacturing enterprises’ green transformation. It expands and enriches the research context and theoretical implications of product lifecycle management, offering management insights and strategic references for other enterprises pursuing green transformation and upgrading pathways in the digital-intelligent economy era.

Suggested Citation

  • Chaohui Zhang & Yuhong Xu, 2026. "How Does Digital Intelligence Empower Green Transformation in Manufacturing Companies? A Case Study Based on FAW-Volkswagen," Sustainability, MDPI, vol. 18(2), pages 1-25, January.
  • Handle: RePEc:gam:jsusta:v:18:y:2026:i:2:p:1045-:d:1844569
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