Research on the Impact of Green Policies on the Transformation of Manufacturing Enterprises from the Perspective of Central-Local Collaboration

Green policies serve as a crucial instrument for the state to incentivize enterprises toward green transformation. Utilizing panel data from manufacturing firms listed on the Shanghai and Shenzhen A-share markets between 2011 and 2022, this study employs a dual fixed-effects model to analyze the impact of central green policies on the green transformation of manufacturing enterprises. It further explores the role of central-local policy synergy and applies the WSR (Wuli–Shili–Renli) methodology to investigate the boundary effects of local manufacturing comparative advantages (Wuli dimension), local assessment pressures (Shili dimension), and local green awareness (Renli dimension) on the effectiveness of central green policies in promoting enterprise green transformation. The empirical analysis delves into the mechanisms through which central policies influence enterprise green transformation under the context of central-local decentralization. The results show that the central green policies are beneficial for the green transformation of enterprises, and the coordination of central and local green policies has a promoting effect on the green transformation of enterprises. The boundary effect analyses show that in the Wuli dimension, the comparative advantage of the local manufacturing industry has no significant boundary effect. In the Shili dimension, local assessment pressure has a nonlinear boundary effect on the positive relationship between the central green policy and enterprises’ green transformation. In the Renli dimension, local governments’ attention to green can significantly enhance the positive effect of central green policies on enterprises’ green transformation. The conclusions provide empirical insights for promoting enterprise green transformation and exploring the effective boundaries of green policies, offering policy implications for green development in developing countries: (1) improve the central green policy supply system and enhance support for enterprise green transformation through supply-side and environmental policies. (2) Strengthen central-local coordination mechanisms during the implementation of green policies. (3) Local governments should base their implementation plans on practical considerations, engaging in green governance with a clear understanding of Shili and Renli principles.