Unpacking the green potential: How does supply chain digitalization affect corporate carbon emissions? - Evidence from supply chain innovation and application pilots in China

The impact of supply chain digitalization (SCD) on carbon dioxide emissions is an emerging area of research, particularly in China, which is the world's largest carbon emitter. This study uses micro-level data on listed companies from 2010 to 2021 to systematically verify the impact and mechanism of SCD on corporate carbon emissions (CCE) through the difference-in-differences model. We determined that SCD can significantly reduce CCE and its implementation path involves three aspects: promoting technological innovation, reducing financing constraints, and increasing market attention. Moreover, the effect of reducing CCE through SCD varies depending on factors such as the location of the corporates and suppliers, the amount of pollution produced by their industries, and the level of development of the regions. This study not only offers a novel analytical perspective on SCD's role in emissions reduction but also provides valuable policy insights for advancing SCD adoption and supporting global carbon reduction efforts.