Research on the impact of environmental protection tax on the new quality productivity of manufacturing industry

FANG Guochang; SONG Chang

Abstract：This paper investigates the impact of environmental protection tax on the new quality productivity of manufacturing industry.By constructing a double-difference(DID)model,1936 Chinese A-share listed companies in the manufacturing industry from 2013 to 2021 are taken as the research sample to investigate the microeconomic effects of the environmental protection tax policy marked by"environmental protection fee to tax".The study finds that,after the environmental protection tax is introduced,the new quality productivity level of enterprises in the provinces where the tax burden is raised is significantly higher than that of enterprises in the provinces where the tax burden is levelled off.Heterogeneity analysis reveals that,the environmental protection tax policy promotes the new productivity of enterprises more obviously in the manufacturing industries with heavy pollution and high competitiveness,as well as in the asset-intensive and large-scale manufacturing enterprises.Mechanism analyses show that,environmental protection tax policy can affect the level of mind productivity of enterprises by influencing their resource allocation and innovation.The environmental protection tax policy still needs to be improved and continuously promoted by the relevant departments of China,and the individual differences of enterprises should be taken into account while the regional tax rate is reasonably and steadily increased,so as to promote the level of new productivity of the manufacturing industry and realize green development.