Digitalisation for sustainable manufacturing: unravelling the synergistic effects on pollution and carbon mitigation in Chinese manufacturing companies

Purpose The evolution of digitalisation provides an opportunity for the synergistic effect of pollution control and carbon reduction (SEPCCR), accelerating green transformation. This study aims to investigate the evolution of SEPCCR in manufacturing, the impact of digital transformation on SEPCCR, and how green innovation and green investment can enhance the green benefits of digitalisation. Design/methodology/approach Based on data from all Chinese listed manufacturing companies between 2013 and 2022, this paper innovates the measurement framework for SEPCCR. Drawing upon Collaborative Governance Theory and an Integrated Environmental Management Framework, it examines the impact of digitalisation on SEPCCR by integrating cross-elasticity methods, a coupling coordination degree model, a two-way fixed effects model, and a moderation effects model. Findings Manufacturing SEPCCR has steadily improved. Digital transformation has a positive impact on SEPCCR, as validated by robustness/endogeneity tests. Heterogeneity analysis shows stronger effects in high-polluting, high-energy, and high-tech firms. Moreover, green innovation and green investment, serving as technological support and resource safeguards, significantly amplify the green benefits of digitisation when aligned with digital maturity levels. Research limitations/implications This study, based on data from Chinese A-share manufacturing companies from 2013 to 2022, proposes a novel measurement method for SEPCCR and validates the role of digitalisation in promoting it, along with its implementation pathways. However, the measurement of SEPCCR requires further exploration, particularly as micro-level evidence across countries and industries remains to be extensively collected. Additionally, other potential pathways and channels warrant in-depth investigation. Practical implications This study provides practical guidance for manufacturing enterprises advancing coordinated digital and green transformation. It explicitly proposes that green innovation and investment strategies aligned with a company's digital maturity level can effectively amplify the green benefits of digital transformation, guiding enterprises in precisely planning resource allocation. This research charts a clear path for formulating policies that synergise digitalisation and green development, as well as optimising factor allocation. Originality/value This study innovatively quantifies SEPCCR at the micro level. Based on theoretical frameworks, it reveals the intrinsic logic of digital technology driving SEPCCR and confirms the dual-regulation mechanism of green innovation and green investment. It highlights that the synergistic effect is maximised when innovation and investment levels are aligned with digitalisation levels. This contributes to policymakers implementing enhanced measures to strengthen the effectiveness.