ESG Performance and Continuous Green Innovation: A Perspective from Export-Oriented Enterprises

Against the backdrop of increasingly stringent green governance in global supply chains, this study examines whether environmental, social, and governance (ESG) performance enhances continuous green innovation (CGI) among export-oriented firms. Using data on Chinese A-share listed firms from 2010 to 2024, we define export-oriented firms as those whose overseas business revenue accounts for at least 5% of total operating revenue and construct a CGI measure. The results show that ESG performance significantly improves CGI, and the conclusion survives endogeneity and robustness tests. Mechanism analyses indicate that ESG operates by increasing overseas business revenue, strengthening export stability, and promoting outward foreign direct investment (OFDI). The effect is stronger among state-owned and politically connected firms, whereas it does not strengthen with auditor size. This study extends research on the economic consequences of ESG from contemporaneous green innovation to intertemporal innovation persistence and clarifies the roles of export operations and international resource allocation.