Digital Trade and Corporate Greenwashing: Evidence from China’s Cross-Border E-Commerce Comprehensive Pilot Zones

The rapid development and widespread application of digital technologies have fundamentally transformed the structure and operation of international trade, establishing digital trade as a core engine of the new round of globalization. Effectively channeling this digital dividend toward substantive rather than superficial ESG performance is essential for capturing new trade opportunities and advancing firms’ green transition. This study exploits the staggered rollout of China’s Cross-Border E-Commerce Comprehensive Pilot Zones (CECPZ) since 2016 as an exogenous policy experiment and employs a multi-period difference-in-differences (DID) approach to assess the causal effect of digital trade on corporate ESG greenwashing and its underlying mechanisms. Based on panel data of Chinese A-share listed companies spanning 2010–2023, the empirical evidence indicates that CECPZ produces a robust and statistically significant restraining effect on greenwashing. Mechanism tests further confirm that this governance outcome is primarily realized through accelerated enterprise digitalization and tangible improvements in environmental outcomes. Additional heterogeneity examinations demonstrate that the effect is particularly salient in subsamples characterized by higher proportions of female directors on the board, external audits conducted by Big Four accounting firms, and operations within pollution-intensive industries. These findings provide robust evidence that digital trade policy enhances the credibility of firms’ ESG practices and offers useful insights for regulators and managers seeking to align digital economic development with long-term environmental and social objectives.