Research On The Impact Of Environmental Regulation On The Climbing Of Enterprises’ Global Value Chains

This thesis takes environmental regulation and the global value chain of manufacturing enterprises as the research objects,and attempts to analyze the impact of environmental regulation on the rise of the global value chain of enterprises from the perspective of the domestic value-added rate of exports based on the database of Chinese industrial enterprises and the customs database.In terms of research methods,the basic regression of this thesis adopts the generalized least squares method,and uses the mediation effect method to analyze the influence channels of environmental regulation on the global value chain of enterprises.In order to overcome the possible endogeneity problem as much as possible,this thesis further adopts instrumental variables to estimate,and the results are still valid and robust,thus confirming the robustness of the conclusions of this thesis.The findings of the study: First,environmental regulations have a "U-shaped" impact on the global value chain of manufacturing enterprises,which first declines and then rises.The analysis found that the reason for the "U-shaped" effect is that under the role of environmental regulation,enterprises will hinder their technological upgrading due to "following the cost effect".After a certain period of time,due to the reverse incentives of external environmental pressure,enterprises will be prompted to carry out technological innovation,which will produce a significant "innovation compensation effect" to make up,promote enterprises to optimize the structure of export products,and thus increase the domestic value-added rate of enterprises’ exports.Second,the analysis of influence channels found that the total factor productivity of manufacturing enterprises and foreign direct investment played a negative mediating effect.On the one hand,in order to comply with environmental regulation policies,enterprises have increased investment in product pollution control,squeezing out R&D investment that can be used to improve production technology,and indirectly inhibiting the rise of the global value chain of enterprises.On the other hand,the environmental regulation implemented by the host country increases the production cost of multinational enterprises,reduces the scale of foreign investment to a certain extent,is not conducive to the improvement of the productivity of local enterprises,and thus inhibits the export upgrade of domestic enterprises.Third,environmental regulation has a significant negative impact on firm size,firm age,and profit margins.The reason is that the longer the enterprise exists,the larger the enterprise scale and the higher the profit margin,under the influence of environmental regulations,the higher the ability to allocate resources,which will allocate more resources to foreign markets where the added value of products is relatively high.,prompting enterprises to reduce investment in domestic intermediate products,increase investment in foreign intermediate products,and reduce the added value of domestic exports to a certain extent.Fourth,environmental regulation has a positive impact on the type of enterprise patent R&D and registration.High-intensity environmental regulations have largely prompted increased investment and R&D in green production technologies or equipment,and promoted the improvement of the global value chain of enterprises in the long run.In a word,the impact of environmental regulation on export enterprises is complex and does not work through a single channel.On the one hand,environmental regulation directly increases the production cost of pollution control and prevention and control of enterprises,and on the other hand,environmental regulation encourages enterprises to carry out technological innovation and increase exports.The production quality and added value rate of the enterprise’s products.Therefore,environmental regulation policy is a cost burden for enterprises in the short term,but in the long run,it improves the competitiveness of export enterprises,and finally achieves a "win-win" result of environmental governance and enterprise development.Therefore,on the road of green development,China not only needs to improve the quality of export products through environmental regulation,but also needs to abandon the traditional extensive policy orientation of "emphasizing growth and ignoring development".Pay equal attention to "rewards and punishments",so as to cultivate the endogenous driving force for the improvement of enterprises’ green production technology.