Cutting emissions through intelligent production in Chinese manufacturing firms: an empirical analysis

Emerging technologies, like industrial robotics and so forth, are profoundly changing the ways of working and producing. However, their impact on the environment is debated. This research examines whether and how intelligent production represented by industrial robot applications impacts Chinese manufacturing firms' carbon emission behaviors. We further estimate the forward (with upstream suppliers) and backward (with downstream buyers) vertical linkages effects. The findings reveal that intelligent production has significantly reduced carbon emission intensity. Carbon reduction is achieved by reducing energy intensity, improving firm production, and enhancing innovation. The effects are more pronounced on small and medium-sized firms, firms with lower energy consumption levels, and firms with higher intelligence levels. In addition, the forward vertical linkages have significantly unfavorable effects on reducing carbon emission intensity, while the backward vertical linkage effects are not significant. Our work helps to understand the environmental impact of intelligent production and its spillover effects along the supply chain.