Artificial intelligence and corporate ESG: Evidence from Chinese listed enterprises

With the accelerated development of the digital economy, artificial intelligence (AI) has emerged as an increasingly important catalyst for corporate sustainable development. Utilizing comprehensive data from Chinese A-share listed companies spanning 2008 to 2023, this study analyzes AI’s influence on corporate environmental, social, and governance (ESG) performance. The findings demonstrate that AI adoption substantially improves ESG performance, mainly through the enhancement of research and development capacity and green innovation potential, while digital transformation (DT) serves to strengthen these positive impacts. Heterogeneity analysis shows the beneficial effects of AI on ESG performance are particularly evident in state-owned enterprises, capital-intensive businesses, and firms located in eastern regions, with robustness tests confirming these conclusions. The study emphasizes AI’s pivotal position in promoting corporate sustainability within emerging economies and identifies its crucial boundary conditions concerning DT and green economic development. Thus, it provides both practical implications and theoretical contributions for corporate decision-making and policy formulation.