Against the backdrop of China’s vigorous promotion of green and low-carbon development, this study empirically examines the impact of ESG greenwashing on corporate financial sustainable development performance, using a sample of Chinese A-share-listed companies from 2018 to 2023. Empirical results indicate that ESG greenwashing significantly undermines corporate financial sustainable development performance. Furthermore, accounting conservatism mediates the relationship between ESG greenwashing and corporate financial sustainable development performance, whereas negative external media coverage moderates it. This research provides robust theoretical and empirical support for standardizing corporate ESG practices and advancing the achievement of green sustainable development objectives.
Wang et al. (Sun,) studied this question.