The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries
This study investigates the impact of China's Environmental Protection Tax on corporate investment in artificial intelligence (AI), with a particular focus on listed firms in the agri-food and food processing industries. Using the 2018 implementation of the Environmental Protection Tax Law as a...
Saved in:
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Frontiers Media S.A.
2025-07-01
|
| Series: | Frontiers in Sustainable Food Systems |
| Subjects: | |
| Online Access: | https://www.frontiersin.org/articles/10.3389/fsufs.2025.1618551/full |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1850087491380445184 |
|---|---|
| author | Guangxing Hu Bin Li Juhao Lai |
| author_facet | Guangxing Hu Bin Li Juhao Lai |
| author_sort | Guangxing Hu |
| collection | DOAJ |
| description | This study investigates the impact of China's Environmental Protection Tax on corporate investment in artificial intelligence (AI), with a particular focus on listed firms in the agri-food and food processing industries. Using the 2018 implementation of the Environmental Protection Tax Law as a quasi-natural experiment, the analysis employs a difference-in-differences (DID) approach based on panel data from 2010 to 2022. The findings demonstrate that the tax reform significantly promotes AI investment, especially among state-owned enterprises, manufacturing firms, and those located in resource-based regions. The study further reveals that the mechanism underlying this effect lies in the alleviation of financing constraints and increased research and development input. These results highlight the important role of environmental regulation in driving digital transformation and green innovation, providing both empirical evidence and practical guidance for policymakers and industry stakeholders seeking to align environmental governance with technological progress. |
| format | Article |
| id | doaj-art-a620252071e34516afbc01f16167ca3d |
| institution | DOAJ |
| issn | 2571-581X |
| language | English |
| publishDate | 2025-07-01 |
| publisher | Frontiers Media S.A. |
| record_format | Article |
| series | Frontiers in Sustainable Food Systems |
| spelling | doaj-art-a620252071e34516afbc01f16167ca3d2025-08-20T02:43:12ZengFrontiers Media S.A.Frontiers in Sustainable Food Systems2571-581X2025-07-01910.3389/fsufs.2025.16185511618551The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industriesGuangxing HuBin LiJuhao LaiThis study investigates the impact of China's Environmental Protection Tax on corporate investment in artificial intelligence (AI), with a particular focus on listed firms in the agri-food and food processing industries. Using the 2018 implementation of the Environmental Protection Tax Law as a quasi-natural experiment, the analysis employs a difference-in-differences (DID) approach based on panel data from 2010 to 2022. The findings demonstrate that the tax reform significantly promotes AI investment, especially among state-owned enterprises, manufacturing firms, and those located in resource-based regions. The study further reveals that the mechanism underlying this effect lies in the alleviation of financing constraints and increased research and development input. These results highlight the important role of environmental regulation in driving digital transformation and green innovation, providing both empirical evidence and practical guidance for policymakers and industry stakeholders seeking to align environmental governance with technological progress.https://www.frontiersin.org/articles/10.3389/fsufs.2025.1618551/fullfood industry systems intelligencefood industry supply chain managementDID methodfood industry sustainable developmentEnvironmental Protection Taxartificial intelligence investment |
| spellingShingle | Guangxing Hu Bin Li Juhao Lai The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries Frontiers in Sustainable Food Systems food industry systems intelligence food industry supply chain management DID method food industry sustainable development Environmental Protection Tax artificial intelligence investment |
| title | The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries |
| title_full | The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries |
| title_fullStr | The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries |
| title_full_unstemmed | The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries |
| title_short | The impact of environmental tax policies on artificial intelligence investment: evidence from agri-food, food processing, and other industries |
| title_sort | impact of environmental tax policies on artificial intelligence investment evidence from agri food food processing and other industries |
| topic | food industry systems intelligence food industry supply chain management DID method food industry sustainable development Environmental Protection Tax artificial intelligence investment |
| url | https://www.frontiersin.org/articles/10.3389/fsufs.2025.1618551/full |
| work_keys_str_mv | AT guangxinghu theimpactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries AT binli theimpactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries AT juhaolai theimpactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries AT guangxinghu impactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries AT binli impactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries AT juhaolai impactofenvironmentaltaxpoliciesonartificialintelligenceinvestmentevidencefromagrifoodfoodprocessingandotherindustries |