Abstract With the continuous expansion of the scale of two-way FDI, it not only plays an important role in China's economy, but also profoundly affects the regional environment. Therefore, based on data from 30 provinces and regions in China from 2003 to 2019, this article calculates the coordinated development level of bidirectional FDI, and uses the construction of NDDF non radial directional distance function to measure energy performance, studying the relationship between coordinated development of bidirectional FDI and energy performance. Research has found that continuously improving the coordinated development level of two-way FDI can significantly improve the energy performance index, thereby suppressing environmental pollution and promoting regional sustainable development. Bidirectional FDI has a positive regulatory effect on energy performance through two paths: research and development investment and promoting industrial upgrading. The energy-saving and emission reduction effects of bidirectional FDI have regional heterogeneity, and are more significant in the eastern and central regions than in the western regions, while the effect in the northern regions is more significant than in the southern regions. Therefore, adjusting measures to local conditions to improve the scale and quality of two-way FDI, continuously improving the coordinated development level of two-way FDI, plays an important role in achieving the "dual carbon" goal.
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Wang et al. (2024) studied this question.
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