Digital technological innovation and the green development of manufacturing enterprises: empirical evidence from Chinese A-share listed companies

Purpose Under the dual background of the rapid development of digital technology innovation and the green transformation of manufacturing industry, this study aims to explore the impact and mechanism of digital technology innovation on the green development of manufacturing enterprises from the perspective of production processes, in order to provide theoretical references to address the paradox between economic growth and environmental protection. Design/methodology/approach This study constructs an econometric model using data from Chinese A-share listed manufacturing enterprises from 2009 to 2022, specifically employing a multi-way fixed effects panel regression model that controls for firm and year fixed effects, and reports robust standard errors clustered at the firm level. Digital technology patents are identified using four-digit industry codes corresponding to the International Patent Classification and are matched at the firm level. The patent data is sourced from CNIPA. Findings Digital technology innovation effectively promotes green development efficiency, particularly among state-owned enterprises, less competitive enterprises, and those in non-eastern regions of China. The mechanism analysis shows that this effect is achieved through the effects of production technology enhancement and the specialization and division of labor. Originality/value (1) This study enriches the measurement of digital technology innovation in manufacturing enterprises and improves the reliability of empirical results. (2) This study expands the theory of the impact of digitalization on green development at the micro-level and provides empirical support for manufacturing green transformation. (3) This study offers fresh theoretical insights into resolving the “Solow Paradox” in sustainable manufacturing practices.