Can the Replacement of Fixed Assets in the New Era Really Promote Economic Development

Since the reform and opening up, China has carried out four large-scale equipment renewal campaigns, and the fifth equipment renewal campaign was officially launched in March 2024. Although each renewal considers that the national economy has been boosted and the expected goal has been achieved, it is demonstrated from the macro level. Whether it can really significantly promote the growth of the major enterprises in economic development remains to be studied. This paper empirically studies the role of fixed assets in corporate growth by taking the listed manufacturing industry in Guangzhou, the holy land of reform and opening up in China, as a sample from 2012 to 2022. The results show that: TEC investment has no significant impact on corporate growth in Guangzhou and there is no heterogeneity among industries. This provides an important reference for the accurate implementation of national economic governance and corporate micro-governance.