How Does E-Clusters Affect Carbon Emissions in Border Regions?

Carbon emissions in border regions have long posed a challenge for environmental governance due to the externalities of pollution and unclear responsibilities for emission control. This paper examines how E-Clusters influences interprovincial carbon emissions through novel digital technologies, within a decentralised institutional framework and under the interaction of virtual and geographical agglomeration. It first outlines the mechanism by which virtual agglomeration affects inter-provincial emissions, followed by empirical analysis. Empirical findings indicate that virtual agglomeration reduces total carbon emissions in border regions while enhancing emission efficiency. Mechanism tests reveal that virtual agglomeration primarily influences border region emissions through market integration effects, knowledge and technology spillovers, digital upgrading of industrial chains, and market potential. Further analysis demonstrates that the interaction between virtual and physical agglomeration alters spatial structures, with such changes subsequently affecting border region emissions. The impact of virtual agglomeration on carbon emissions in border regions varies due to differences in regional policies, resource endowments, and geographical locations. Policy recommendations are consequently proposed.