The risk-mitigating effect of industrial robot application by non-financial firms: a perspective of risk decomposition

Industrial robots are central to intelligent manufacturing, yet their implications for systemic risk remain unclear. From a risk decomposition perspective, this study used panel data on Chinese A-share-listed manufacturing firms from 2011 to 2019 to examine the effect of industrial robot application on corporate systemic risk and its underlying mechanisms. The results showed that industrial robot application reduced corporate systemic risk and that this risk-mitigating effect was primarily driven by a decline in corporate tail risk. Specifically, industrial robots reduced tail risk by improving profitability but strengthened systemic linkage by increasing supply chain concentration. The risk-mitigating effect was more pronounced among firms with higher investment in AI technologies, higher labor costs, and greater availability of high-quality human capital. Structural monetary policy strengthened the risk-mitigating effect of industrial robots and effectively contained systemic risk at the firm level. Moreover, the reduction in systemic risk induced by industrial robot application shifted income distribution toward capital, indicating that the gains from risk mitigation entailed a distributional cost. This study is of great significance for promoting intelligent manufacturing and enhancing corporate risk management.