Synergistic effect of air pollutant abatement on CO2 reduction in the industrial sector: evidence from China

The synergistic abatement of air pollutants and CO2 emission in the industrial sector is crucial for China to achieve its energy conservation and emission reduction goals. However, none of the literature has conducted a systematic and in-depth research on assessing the synergistic abatement effect and identification of its driving factors for the industrial sector in China. Therefore, based on 36 industrial sub-sectors in China, we assess the synergistic effect of air pollutants on CO2 and examine the expansion mechanism of the synergistic effect. Furthermore, we explore how three driving factors, namely environmental regulation, technological progress and energy structure, affect the synergistic effect of abatement. The results indicate that, for the whole industrial sector, the synergistic effect of air pollutant abatement on CO2 reduction is significant, positively moderated by the enhancement of R&D investment, fixed asset investment and market openness. Strengthening environmental regulation, improving technological progress and optimizing energy structure could effectively promote the synergistic abatement effect. For three industrial subdivisions, the synergistic effect exists in three industrial categories, increasing R&D investment and fixed asset investment could positively moderate the synergistic effect. The three driving factors, environmental regulation, technological progress, and energy structure, could boost synergistic abatement for capital-intensive industries, but hardly for resource- and labor-intensive industries. In technology-intensive industries, only environmental regulation and technological progress could promote synergistic abatement. The findings could offer scientific support for the policymaking of the synergistic control of air pollutants emission and CO2 emission in China’s industrial sector.