Unveiling the environmental implications of China's industrial robots: Empirical investigation and mechanism discussion

Abstract

The recent decade has witnessed an increasing adoption of industrial robotic technologies in China, owing to the government's support for automation and innovation and the technological upgrading of firms in various sectors. Although the extant literature discusses the economic outcomes of using industrial robots, less is known about the environmental impacts of incorporating industrial robots. This study uses interprovincial panel data to explore the intrinsic link between industrial robot adoption and pollution emission intensity (i.e., sulfur dioxide) from 2010 to 2019. Our benchmark model underlines that industrial robot adoption reduces emission intensity. Our findings offer critical practical implications after tackling endogeneity concerns: 1) industrial robot adoption mitigates emission intensity by boosting energy efficiency, spurring green innovation, and attracting highly qualified labor; simultaneously, it introduces a pronounced energy rebound effect; 2) the link between industrial robot adoption and emissions intensity is nonlinear through market segmentation, green finance, and environmental regulation; 3) under different channels, industrial robot adoption exerts dramatic heterogeneous influences on emissions intensity. Overall, this study sheds light on a deeper understanding of the environmental effects of industrial robot adoption in China's current green transition phase. • The nexus between industrial robot adoption and emission intensity is investigated. • Industrial robot adoption helps reduce emission intensity. • The mechanism analysis is conducted from a mediating perspective. • There is a non-linear nexus between industrial robot adoption and emission intensity.