Research On The Impact Path Of Environmental Regulation On The Upgrading Of Manufacturing Industry Structure

Manufacturing,as an important part of the real economy,is not only an important supporting force for China’s rise in modern times,but also a symbol of national strength.The rapid development of manufacturing will also bring a series of environmental problems,and therefore environmental regulation policies have gradually strengthened,affecting the development of manufacturing.The problem of balancing environmental regulation and the development of manufacturing industry structure has gradually emerged.Exploring the relationship between environmental regulation and the upgrading of China’s manufacturing industry structure and the path based on which it affects is the direction for solving the problem.At the same time,it provides reference opinions for the transformation from a "manufacturing power" to a "manufacturing strong country".First,based on domestic and foreign research on environmental regulation,manufacturing industry structure,and the relationship between the two,this paper provides reference for the research direction and method.Secondly,after defining the concepts of environmental regulation and the upgrading of manufacturing industry structure,this paper determines the intermediate variables of technological innovation and FDI based on hypotheses such as Porter’s hypothesis and pollution haven hypothesis.Then,through analysis of the development trends of environmental regulation and the upgrading of manufacturing industry structure in China,and the characteristics of regional development,it was found that there are significant regional differences between the two.Finally,based on the data of 30 provinces and cities in China(excluding Tibet and Hong Kong,Macao,and Taiwan)from 2012 to 2020,we construct a panel model,an intermediary panel model,an intermediary panel model with regulatory effects,and a subregional panel model to explore the impact path of environmental regulation on the structural upgrading of the manufacturing industry.The results show that formal and informal environmental regulations can promote the rationalization and high-level upgrading of China’s manufacturing industry structure.An increase in the level of asset-liability ratio will have a restraining effect on the upgrading of the manufacturing industry structure,while the impact of urbanization shows differences.Environmental regulation can indirectly affect the upgrading of manufacturing industry structure through technological innovation and FDI.The intermediary effects of formal and informal technological innovation paths on the advanced upgrading of manufacturing industry account for 25.74% and 21.01% of the total effect respectively.Formal environmental regulation has indirect effects of 12.39% and 8.58% on the rationalization and high-level upgrading of the manufacturing industry through the FDI path respectively.Labor and capital mismatch will reduce the positive intermediary effect of technological innovation.The impact of environmental regulation on the upgrading of manufacturing industry structure has significant regional differences,which are most significant in the eastern and western regions,and is influenced by the level of economic development.Based on the empirical results,the following countermeasures are proposed: promoting the coordinated development of formal and informal environmental regulations;Accelerate the technological upgrading of enterprises and improve the marginal profit;Regional differentiation implementation of environmental regulation standards;Establish and improve the financing market and labor market development mechanism.