The Impact Mechanism of ESG Performance on the Financial Performance of Listed New Energy Companies under the Dual-Carbon Goals

Nuo  Liu

doi:10.54097/467qp083

Authors

Nuo Liu School of Finance and Economics University, Xining 810016, China

DOI:

https://doi.org/10.54097/467qp083

Keywords:

new energy industry, ESG, financial performance.

Abstract

This study examines how ESG performance affects the financial performance of listed new energy firms in China under the “dual-carbon” goals. While the sector benefits from policy support and growing demand, it also faces cost volatility and fast technological change, making financial performance a key indicator of sustainability. Using a framework that links market forces, internal governance, and reputation, and drawing on cases such as CATL, BYD, and LONGi, the study shows that stronger ESG performance improves financial outcomes mainly by lowering financing costs, raising operating efficiency, and enhancing brand value. The findings provide practical guidance for firms and decision support for investors and policymakers.

Downloads

Download data is not yet available.

References

[1] Yang, J., & Liu, L. (2025). The impact of ESG performance on corporate green technological innovation. Economic Issues, (09), 63 – 70.

[2] Wen, C. (2025). The financial effects of ESG performance under the dual-carbon goals: Nonlinear mechanisms, policy moderation, and reconstruction of carbon accounting systems — Financial value shaping based on sustainable development philosophy. International Business Accounting, (07), 3 – 7.

[3] Huang, H., & Lai, K. (2025). Evaluation of green technological innovation performance of CATL under the dual-carbon background. Research on Financial Management, (04), 71 – 78.

[4] Yue, Z., & Liu, K. (2025). Specialized and innovative (“Little Giant”) policy and SME innovation: Evidence from GEM-listed companies. Soft Science, 39 (07), 79 – 88.

[5] Liu, H., Chen, J., & Zheng, S. (2025). Green finance and ESG performance: Differences between national and local pilot policies. Economic Review, (03), 97 – 115.

[6] Fan, D., & Luo, C. (2024). ESG performance, financing constraints, and corporate technological innovation: The moderating effect of supplier concentration. Financial Theory and Teaching, 42 (02), 76 – 83+90.

[7] Peng, B., Zhang, Y., & Wang, Z. (2024). The impact of ESG performance on green innovation efficiency. Statistics & Decision, 40 (05), 172 – 176.

[8] Elamer, A., & Boulhaga, M. (2024). ESG controversies and corporate performance: The moderating effect of governance mechanisms and ESG practices. Corporate Social Responsibility and Environmental Management, 31 (4), 3312 – 3327.

[9] Ming, J., Feng, Y., Xu, Z., et al. (2023). ESG performance and corporate green innovation performance: Mechanisms and empirical evidence. Communication of Finance and Accounting, (24), 28 – 32.

[10] Liu, C., & Xiang, J. (2025). Carbon emission trading, R&D investment, and corporate green technological innovation. Operation and Management, (06), 132 – 138.

[11] Mao, Q., & Wang, Y. (2023). The employment effects of ESG: Evidence from Chinese listed companies. Economic Research Journal, 58 (07), 86 – 103.

[12] Cai, W., Deng, L., & Liu, Y. (2023). ESG performance and corporate financial performance under the dual-carbon goals: The moderating role of external pressure. Financial Theory and Practice, (06), 69 – 81.

[13] Fang, X., & Hu, D. (2023). Corporate ESG performance and innovation: Evidence from A-share listed companies. Economic Research Journal, 58 (02), 91 – 106.

[14] Feng, Y., & Zhang, J. (2022). ESG governance and corporate competitive position: An empirical study based on the moderating effect of competitive strategy. Commercial Accounting, (18), 19 – 24.

[15] Nie, H., Li, G., & Li, C. (2022). Eight key issues concerning corporate subsidies: A review of current industrial policy research. Academic Monthly, 54 (06), 47 – 60.

[16] Zhang, H., Zhang, Y., Ma, Q., et al. (2022). Development trends of the new energy industry under the dual-carbon goals. Energy Storage Science and Technology, 11 (05), 1677 – 1678.

[17] Wang, S., Tian, Y., & Dang, L. (2022). ESG responsibility fulfillment, competitive strategy, and financial performance of industrial enterprises. Accounting Research, (03), 77 – 92.

[18] Busch, T., & Friede, G. (2018). The robustness of the corporate social and financial performance relation: A second-order meta-analysis. Corporate Social Responsibility and Environmental Management, 25 (4), 583 – 608.