New-type urbanization and corporate carbon performance: Evidence from double machine learning model

Enterprises are the primary source of carbon emissions, and enhancing corporate carbon performance is crucial for achieving sustainable development. With the coordinated development of economy, society, and environment as the primary goal, new-type urbanization provides a significant impetus for improving corporate carbon performance. This study first delineates the policy background of new-type urbanization, and then theoretically analyzes its impact and mechanisms on corporate carbon performance based on the essential characteristics of new-type urbanization and the driving factors of corporate carbon performance. Finally, using data from Chinese A-share listed companies from 2011 to 2022 and a double machine learning model to empirically investigate the impact, mechanism, and heterogeneous effect of new-type urbanization on corporate carbon performance. The results indicate that new-type urbanization significantly improves corporate carbon performance, which is attributed to strengthened environmental regulation, enhanced public environmental concern, and the promotion of corporate digital transformation and green technology innovation. Heterogeneity analysis reveals that the positive effect of new-type urbanization on corporate carbon performance is more pronounced in enterprises located in cities with higher economic development levels and non-resource-based cities, for enterprises facing fierce market competition, state-owned enterprises, heavily polluting enterprises, high-tech enterprises, and enterprises with low financing constraints. This study provides micro-level evidence of the carbon reduction effect of new-type urbanization and offers important policy implications for improving corporate carbon performance.