The Impact of Carbon Trading Price Volatility on the Financial Risk of Manufacturing Enterprises--A Study Based on Listed Companies in China

In the context of the global active response to climate change and the continuous development and improvement of the carbon trading market, the manufacturing industry is increasingly linked to financial risk. Theoretically, the fluctuation of the carbon trading price affects the cost of enterprises and the competitive situation in the market, which in turn affects the financial risk. The empirical evidence is based on the sample of 1107 listed companies in the manufacturing industry from 2014 to 2021, and the regression model is constructed, and the results show that carbon trading price volatility is significantly positively correlated with the financial risk of manufacturing enterprises. The heterogeneity test finds that state-owned enterprises and large-scale enterprises are more affected by carbon price volatility on financial risk, and the difference in this effect among enterprises with different R&D investment intensity is not significant. After replacing the regression model and the robustness test of the reduced-tail treatment, the results are reliable.