Policy synergy and green transformation: evaluating the impact of smart and low-carbon city pilots on Chinese enterprises

Against the backdrop of China’s efforts to advance its “dual carbon” goals, smart city and low-carbon city pilots are often implemented simultaneously in the same regions. However, empirical evidence regarding the combined impact of these two policies on enterprises remains relatively limited. Utilizing data from Chinese A-share listed companies from 2008 to 2023 and implementing the difference-in-differences model, the current study investigates how a convergence of smart city and low-carbon city pilot policies fosters corporate green transformation. The findings reveal that: (1) The dual pilot policy effectively drives corporate green transformation, and its effect varies depending on the specific sequence in which the policies are implemented. (2) The impact is stronger in firms led by digitally oriented (non-green) executives, growth-stage firms, and regions with lower intellectual property protection. (3) Both resource allocation efficiency and green investment structure mediate the effect of the dual pilot policy on corporate green transformation, and industry competition moderates the policy effect. These insights provide critical guidance for local governments and enterprises striving for high-quality urbanization through integrated policy measures.