The Impact Mechanisms of the Carbon Emissions Trading Pilot Policy on Corporate ESG Performance: A Moderated Mediation Analysis

As a key market-based policy instrument for promoting the low-carbon transition, the carbon emissions trading pilot policy is expected to encourage enterprises to strengthen environmental protection, fulfill social responsibilities, and improve their environmental, social, and governance (ESG) performance. Using data on Chinese A-share listed firms from 2009 to 2021, this study employs a multi-period difference-in-differences (DID) model to examine the impact of the carbon emissions trading pilot policy on corporate ESG performance and its underlying mechanisms. Corporate green technological innovation is introduced as the mediating variable, while media attention and the strength of intellectual property protection are incorporated as moderating variables. The results show that: (1) The carbon emissions trading pilot policy significantly improves corporate ESG performance, and this effect is more pronounced among non-heavily polluting firms, firms in non-high-tech industries, and firms located in regions with lower levels of fiscal revenue; (2) The policy promotes corporate green technological innovation, which in turn improves corporate ESG performance; and (3) Media attention and the strength of intellectual property protection positively moderate the relationship between the carbon emissions trading pilot policy and corporate green technological innovation, thereby strengthening the mediating effect of green technological innovation.