1. Introduction
Amid the global wave of technological innovation and the green low-carbon transition, the deep integration of digitalization and greening is profoundly reshaping industrial structures and development paradigms worldwide [
1]. This dual transformation has emerged as a vital pathway for countries to achieve their sustainable development goals [
2]. In the era of the digital economy, technologies such as big data, artificial intelligence, cloud computing, and the Internet of Things are advancing rapidly, fundamentally transforming production organization, industrial systems, and social operation models, thereby injecting new momentum into economic growth [
3]. Meanwhile, as China’s economy continues to expand, the resource and environmental constraints of traditional extensive development models have become increasingly pronounced. Confronted with a complex international environment and stringent ecological requirements, China has resolutely implemented innovation-driven and sustainable development strategies. It seeks to integrate the national visions of “Digital China,” “Green China,” and high-quality development, explicitly emphasizing the acceleration of coordinated progress between digitalization and greening. In recent years, China has continuously promoted the “dual transformation coordination”. In April 2024, the Cyberspace Administration of China, together with the National Development and Reform Commission and eight other ministries, issued the Implementation Guidelines for Coordinated Digitalization and Greening, outlining a comprehensive plan for the dual transformation. In April 2025, the Cyberspace Administration and nine additional departments jointly released the Key Tasks for Coordinated Digitalization and Greening Development in 2025, specifying twenty-two key tasks across four areas: low-carbon digital industries, digital technologies empowering greening, green initiatives driving digital industry growth, and integrated policy coordination. These actions mark a new stage in the systematic implementation of China’s “dual transformation coordination”. Globally, many countries have also introduced policy frameworks and moved into substantive implementation to promote the synergistic advancement of digitalization and greening. Over a decade ago, the European Union launched its European Industrial Digital Transformation strategy, advocating the application of next-generation information technologies to empower industries and accelerate the transition from traditional manufacturing to digital and green production models [
4]. Concurrently, the European Green Deal and the European Circular Economy Action Plan were launched to further decouple resource use from economic growth. Similarly, the United Kingdom’s Modern Industrial Strategy emphasized investment in R&D and innovation to drive industrial digitalization and green upgrading [
5]. Japan has likewise prioritized leveraging digital technologies to connect equipment, personnel, and departments, thereby strengthening the foundations for industrial digitalization and greening [
6].
Nevertheless, the coordinated advancement of digitalization and greening still faces multiple challenges, including industrial inertia, technological gaps, and imbalances in key enabling factors. These challenges contradict the strategic objective of “digitizing green industries and greening digital industries.” On one hand, some sectors remain locked in traditional high-energy and high-emission development paths, where digitalization focuses mainly on improving efficiency while neglecting environmental sustainability. On the other hand, greening efforts are often limited to end-of-pipe solutions, overlooking the potential of digital technologies to drive systemic transformation. Such unilateral approaches constrain the effectiveness of synergistic development. Given the interdependence of digitalization and greening, their integration may produce a “1 + 1 > 2” effect. Therefore, deepening research on their combined impacts holds important theoretical and practical value for avoiding one-sided transition paths and maximizing synergistic benefits.
Existing studies primarily focus on the individual effects of digitalization and greening on industrial structure upgrading. However, few have examined their synergistic effects, and even fewer have analyzed how this synergy influences industrial structure optimization. To fill this research gap, this study employs panel data from 30 Chinese provinces between 2012 and 2022 to construct digitalization evaluation indicators from the perspective of data value transformation. It further investigates the spatiotemporal evolution of their synergistic development and explores the mechanisms through which this synergy promotes industrial structure optimization.
2. Literature Review
Previous research on the effects of synergistic digitalization and greening on China’s industrial structure has focused on three aspects: the relationship between digitalization and industrial structure, the link between greening and industrial structure, and the interaction of digitalization and greening.
First, research on digitalization and industrial structure indicates that digitalization benefits the development of cutting-edge technology industries and propels knowledge-intensive and technology-intensive sectors to become the subjects of industrial departments. It promotes efficient resource utilization and effective allocation [
7] and propels the upgrading and transformation of the industrial structure [
8]. Simultaneously, with the wide applications of digitalization, new modes and industries keep emerging, fostering the growth of environmentally friendly industries and further promoting industrial structures to higher levels [
9]. Digitalization is fundamentally the path of sustainable transformation under a technology-driven production paradigm. Its development relies on the foundational support of data elements, the fundamental driving force of digital technologies, and the overall coordinated development embodied by the digital economy. Consequently, most researchers focus on the impact of data elements, digital technologies, and the digital economy on industrial structure. Regarding the impact of data elements on industrial structure, studies note that data elements exert a significant positive effect on industrial upgrading [
10,
11], with characteristics such as non-rivalry and positive externalities, and significantly influence shifts in production methods and economic restructuring. Changes in factor structures can promote substitution between industries or between factors, thereby affecting the transformation of industrial structure [
12]. Simultaneously, data elements facilitate the deepening of the labor division system and the optimizing of capital and labor allocation, ultimately facilitating industrial upgrading [
13]. Regarding the effects of digital technology on industrial structure, previous researchers note that, as a defining characteristic of the information age, the rapid iteration of digital technologies has profoundly reshaped the environment for corporate survival and operational development [
14], bringing unprecedented opportunities for economic growth and industrial transformation [
15]. Leveraging digital technologies, digital factories enable intelligent monitoring, self-analysis, and decision-making across production line processes, transforming traditional methods of industrial knowledge accumulation [
16]. Huang et al. [
17] found that digital technologies significantly expand the e-commerce scope, enable innovative applications, and substantially reduce trade barriers across industries. Some researchers have also explored the digital economy’s effects on industrial structure, with a relatively consistent consensus that it promotes industrial restructuring and upgrading [
18,
19]. By leveraging information technologies, the integration of data and information is enhanced by the digital economy. Through digital technologies, it continuously spawns new industries, business models, and formats, generating new commercial value for traditional industries and fostering novel economic activities [
20]. Oloyede et al. [
21] found that the digital economy leverages economies of scale and scope to improve resource allocation efficiency and also triggers structural transformation, promotes industrial development, and drives industrial upgrading. Additionally, researchers have extensively discussed how the digital economy drives industrial structure optimization through pathways such as taxation [
22], factor substitution [
23], and innovation and entrepreneurship [
24]. In summary, driven by the integration of digital elements and advancement of digital technologies, traditional industries have achieved digitalization by improving production processes, refining traditional production factors, innovating management mechanisms and integrating digital services. This transformation not only boosts production and resource utilization efficiency but also cuts unnecessary waste. Furthermore, it reshapes traditional industrial value chains and ultimately drives the optimization and upgrading of industrial structures [
25,
26].
Secondly, the study of the association of greening as well as industrial structure indicates that greening has transformed the traditional industrial mode. It is characterized by an excessive reliance on factor inputs, disregard for environmental costs, and a single pursuit of economic growth [
27]. High-pollution and high-energy-consuming industries are forcibly eliminated through stringent environmental standards by greening. As the core driver of industrial structure optimization, greening frees up space and resources for emerging green industries. Simultaneously, greening has given rise to a series of new industries and propelled traditional industries toward low-carbon advanced upgrades. It is also reshaping industrial value chains and driving the optimization and transformation of industrial structures. Additionally, some researchers have discussed the impact of green finance, environmental regulations, and green technological innovation on industrial structures. For instance, Yang [
28] empirically demonstrated that green finance provides robust support for industrial upgrading through services such as green credit and green insurance. Wang et al. [
29] indicate that environmental regulations can promote industrial optimization, with green innovation serving as an intermediary mechanism. Zhao et al. further explored the synergistic co-evolution between greening and industrial structure optimization [
27]. However, the transition toward green industries has by no means been easy, as it confronts numerous challenges and obstacles [
30]. In this context, Jakobsen et al. [
31] proposed the concept of green industrial resilience in their study and conducted an in-depth analysis of the paths and efficacy through which industries respond to external shocks to sustain or even enhance their green initiatives.
A mutually reinforcing bidirectionally promoting relationship between digitalization and greening has been indicated by previous research. Essentially, digitalization empowers greening, while greening drives digitalization [
32]. On the one hand, digitalization provides critical technological support and implementation pathways for industrial greening. On the other hand, greening—as an imperative for sustainable development—charted the course for the application and deepening of digital technologies, propelling the digital industry toward greater energy efficiency and lower carbon emissions [
33]. While leveraging the digital economy to drive industrial quality and efficiency improvements, it is also essential to guide continuous innovation in digital technologies, based on an increasingly refined green standards system. This promotes deep integration between digital technologies and green manufacturing and strengthens synergistic linkages between traditional industries and emerging strategic sectors, thereby stimulating a virtuous cycle and resonance effect between the “dual transformations” [
34]. However, most studies have only examined the one-sided influence between digitalization and greening, with only a few researchers noting their synergistic, bidirectional, and interactive relationship [
30,
34,
35]. For instance, at the micro level, some researchers utilize listed company data to examine how digitalization drives industrial greening [
36]. Ferreira et al. [
37] drew on data from 938 Portuguese enterprises, showing that digitalization markedly enhances corporate innovation performance. Goldfarb and Tucker [
38] noted that digital technology application not only drastically reduces costs across diverse sectors but also efficiently drives production process innovation. At the macro level, existing research predominantly focuses on digitalization’s empowerment role in greening. Digital technologies mitigate the information asymmetry caused by spatiotemporal mismatches in traditional economic modes, thereby effectively promoting optimal resource allocation and industrial structure upgrading, which in turn accelerates greening and low-carbon transformation [
39].
In summary, the existing research findings provide valuable insights and a theoretical foundation for this study’s exploration of how the synergistic advancement of both digitalization and greening affects China’s industrial structure optimization. While there are many studies on the one-sided effects of digitalization and greening on industrial structure optimization, research examining their interactive synergies and the resulting synergistic effects on industrial structure remains relatively scarce. Based on previous discussions, this study’s marginal contributions are as follows: Firstly, from an integrated perspective of data empowerment and technological efficiency enhancement, this study constructs an index system for the synergistic development of digitalization and greening. Secondly, based on the coupling coordination degree model, this study quantifies the synergy degree of digitalization as well as greening across 30 Chinese provinces from 2012 to 2022, while simultaneously examining the evolution trends and divergence characteristics of their synergistic effects from both temporal and spatial dimensions. Thirdly, building upon the exploration of digitalization and greening synergy, this study incorporates industrial structure optimization into the analytical framework to investigate its direct and indirect effects. This broadens the research perspective, offering novel insights and policy references for global sustainable development. Consequently, it assists global enterprises—particularly those in developing countries—in better addressing the multifaceted challenges arising from the synergistic development of digitalization and greening.
4. Research Design
This study explores the intrinsic logic of synergistic digitalization and greening in optimizing industrial structures, with the primary objective of advancing industries toward high-end, intelligent, and sustainable development. It begins with a systematic literature review covering digitalization, greening, and industrial structures. Building upon the existing literature and identifying gaps, a theoretical framework is constructed to explain how digitalization–greening synergy drives industrial structure optimization. Corresponding research hypotheses are proposed to provide a sound basis for empirical analysis. Building upon this foundation, this study constructs evaluation metrics for digitalization and greening alongside measures of their synergistic development from the perspectives of data elements and technology. It analyzes their spatiotemporal evolution characteristics. Furthermore, employing two-way fixed-effects and mediation analysis, the study performs quantitative examinations to validate the hypotheses, thereby providing robust support for formulating targeted policy recommendations.
4.1. Development of the Indicator System
4.1.1. Digitalization Level Measurement
As in previous discussions, digitalization relies on data as its core driver and value enabler. Data factor allocation, leveraging its intelligent and digital characteristics, efficiently distributes advanced technologies and innovative resources across regions. This approach stimulates innovation and entrepreneurship within traditional productive forces, giving rise to more emerging and future industries. Simultaneously, through continuous integration with the conventional economy, it effectively propels the evolution and progress of conventional industries. Consequently, this research references Li and Wang [
49] as well as Fu [
50] to develop an assessment metric framework for digitalization levels from the perspective of data value transformation. Furthermore, it employs the entropy weight method for measurement. Specifically, the provincial digitalization level is comprehensively measured across three dimensions—data development and application, data infrastructure, and data configuration scale—using 14 secondary indicators.
Table 1 provides the detailed metrics.
4.1.2. Greening Level Measurement
As in previous discussions, green innovation serves as the core engine and fundamental pathway for greening. Its significance lies in providing indispensable technological support, driving forces, and institutional frameworks for the greening of the economy and society. It propels the eco-friendly transformation of conventional industries while fostering the rise of sustainable enterprises. It also optimizes industrial structures, cultivates new economic growth points, and transforms environmental constraints into development opportunities. Based on this, this research references Su and Li [
51] and Li [
52] to construct a measurement index for greening levels from the perspective of technological empowerment, calculating using the entropy weight method. Specifically, the measurement of greening incorporates a comprehensive evaluation framework comprising three primary indicators and eight secondary indicators. For specific indicators, refer to
Table 2.
The entropy weight technique is an entirely objective method for determining weights. Its weight calculations are based solely on the dispersion of indicator data, assigning weights directly to each raw indicator individually without altering the indicator dimensions. This approach fully preserves the independent significance of each indicator. The core computation steps are as follows:
Step 1: Since different indicators vary in terms of units of measurement and value ranges, the raw data must undergo standardization to ensure the subsequent calculations are scientifically sound, reasonable, and comparable. For positive indicators,
(here,
yij denotes the
jth metric for year
ith,
xmin represents the minimum value of the
jth indicator across all years,
xmax denotes the maximum value of the
jth indicator across all years, year is denoted by
n, and the indicator count is represented by
m)
For negative indicators, we perform the following calculation:
Step 2: We calculate the indicator weighting values. First, we normalize the indicators by calculating the
jth indicator’s share for the
ith year:
Next, we calculate the entropy for the
jth indicator:
Step 3: We calculate the difference coefficient
Dj:
Step 4: We calculate the weight
Wj for each indicator:
Step 5: We calculate the composite evaluation value
S for the digitalization level/greening level:
4.2. Measuring the Synergistic Development of Digitalization and Greening
4.2.1. Coupling Coordination
This study utilizes a coupling coordination model to assess the synergy. The computation approach is detailed below:
Among these,
Udigital and
Ugreen represent the levels of digitalization and greening,
C denotes the coupling degree between digitalization and greening,
T represents the comprehensive coordination index, and
D signifies the coupling coordination degree between digitalization and greening. Since both play equally important roles in this study, the weights
α and
β are both assigned a value of 0.5 [
53].
D ranges between 0 and 1, with numbers near 1 signifying increased coupling and coordination between digitalization and greening. This study further references the research by Zhang and Jiang [
54] to classify the coupling coordination types. For the specific classification criteria, see
Table 3.
4.2.2. Three-Dimensional Kernel Density Model
This section employs kernel density estimation for in-depth analysis of the evolving characteristics. Kernel density estimation serves as an effective tool for measuring spatial non-equilibrium states by constructing kernel density functions and utilizing kernel density curves. This method can reflect spatial–temporal trends in quantitative indicators and polarization phenomena. The detailed equation appears below:
where
N represents the quantity of observations,
yi denotes the synergy index for the i-th area,
y indicates the average value of this metric, and
h specifies the bandwidth. The Gaussian kernel density function is
4.2.3. Dagum Gini Coefficient Method
The research utilizes the Dagum Gini coefficient to assess disparities in the harmonious progression of digitalization and greening across and among regions. The overall disparity is primarily composed of contributions from intra-regional differences, inter-regional differences, and super-variability density [
55]. Equations (6)–(12) detail the specific computational formulas:
where a higher overall Gini coefficient
G indicates greater overall disparity;
Gw represents intra-regional disparity contribution;
Gnb represents inter-regional disparity contribution;
Gt represents hyper-variability density’s contribution, G = Gw + Gnb + Gt. Equation (6) defines the overall Gini coefficient. Equations (7) and (8) denote the Gini coefficient (
Gii) for region
i and the variation contribution (
Gw) within region
i, respectively. Equations (9) and (11) express the Gini coefficient (
Gij) between regions
i and
j and the net variation contribution (
Gnb) between regions
i and
j, respectively. The super-variation density contribution (
Gt) is given by Equation (12). Equation (10) delineates the comparative impact of the coupling synergy. Here,
yih(
yjr) denotes the coupling coordination of province
h(
r) within region
i(
j),
represents the average coupling coordination across provinces,
n represents the province count, and
k represents the region count.
ni(
nj) denotes provinces in region
i(
j), while
(
) represents the mean coupling coordination degree across provinces within region
i(
j).
4.3. Baseline Regression Model
To investigate the impact of synergistic digitalization and greening on industrial structure optimization, this study constructs the following model:
Here, the subscript
i denotes the region,
t denotes the time, and
cyjg represents the industrial structure optimization, while
D represents the degree of coupling coordination. Citing the study of Zhou et al. [
13], the study applies the industrial structure level coefficient, a figure that encompasses the ratio of the total output value from the three industrial sectors compared to the GDP, to gauge the extent of regional industrial structure refinement. This calculation method is as follows:
Here, S represents the GDP share contributed by the three industrial sectors, where a greater cyjg value reflects an enhanced industrial structure optimization. Xit denotes control variables, encompassing other factors that may influence industrial structure optimization. Therefore, drawing on existing research, the research employs these control variables: economic advancement level (GDP), degree of government intervention (zfgy), degree of openness (dwkf), and financial development status (jr). Specifically: the economic development level is determined through the per capita GDP’s logarithmic calculation; the government intervention level is assessed as the ratio of regional public spending to the regional GDP; the degree of openness is assessed as the ratio of the combined total of imported and exported goods, adjusted by the USD-to-RMB exchange rate, to the regional GDP; the financial development status is measured by taking the logarithm of the ratio of the outstanding balance of loans from financial institutions to GDP. δi represents the time fixed effect, μt represents the individual fixed effect, and εit is the random error term.
4.4. Mediation Effect Model
To corroborate the mediating impact, environmental regulation is incorporated into the baseline regression analysis. Building upon the research by He and Qin [
56], the benchmark regression model is extended in Equations (15) and (16):
In the equation, hjgz represents environmental regulation, β1 and θ1 denote the impact coefficients of coupling coordination, θ2 represents the impact coefficient of environmental regulation, β2 and θ3 represent the control variable effects, and the other variables align with Equation (13). Equation (15) evaluates the coupling coordination’s effect on environmental regulation. Equation (16) integrates coupling coordination, environmental regulation, and industrial structure optimization into one regression model. Environmental regulation is quantified as the ratio of the government spending on ecological protection to the local GDP.
4.5. Data Source
Based on data availability, data from 30 Chinese provinces and districts (excluding Tibet, Hong Kong, Macao, and Taiwan) spanning 2012 to 2022 were chosen. The relevant data were sourced from the China Statistical Yearbook, China Science and Technology Statistical Yearbook, China High-Tech Industry Statistical Yearbook, China Environmental Statistical Yearbook, China Internet Network Information Center, and provincial statistical yearbooks. These data underwent rigorous statistical surveys and review processes, ensuring high credibility and authority. Missing values were partially imputed using linear interpolation.
Table 4 sets out the descriptive statistics. Among these, the mean value of D is 0.30169, with a minimum value of 0.13669 and a maximum value of 0.89913. This indicates that there are significant differences in the level of coordinated development between digitalization and greening across various regions within the sample.
7. Conclusions and Recommendations
This study employs provincial-level data from China from 2012 to 2022 and applies coupling coordination models, the Dagum Gini coefficient method, kernel density estimation, and econometric analysis to examine the spatiotemporal characteristics and evolutionary trends of the synergy between digitalization and greening. Fixed-effects and mediation-effect models are further used to assess how this synergy influences the optimization of China’s industrial structure. The main findings are as follows.
First, the spatiotemporal coupling analysis shows that the level of digitalization–greening coordination in China improved steadily from moderate imbalance to mild coordination between 2012 and 2022. Spatial correlation analysis reveals strong spatial dependence, significant spillover effects, and close interprovincial linkages. The spatial distribution pattern demonstrates pronounced regional disparities, with coordination levels ranked as eastern > central > western regions.
Second, the Dagum Gini coefficient results indicate that the eastern region exhibits the largest internal disparity in digitalization–greening coordination, followed by the western and central regions. Among inter-regional comparisons, disparities are greatest between the eastern and western regions and smallest between the central and western regions, confirming that inter-regional differences are the main driver of overall disparities.
Third, environmental regulation plays a crucial mediating role in how digitalization and greening jointly promote industrial structure optimization. The results are robust to endogeneity tests. Moreover, the synergistic impact on industrial restructuring varies significantly across regions, showing a gradient pattern of western > central > eastern regions.
Therefore, this study proposes the following policy measures:
First, it is important to strengthen digital infrastructure and implement green initiatives. One should continuously improve digital infrastructure development, accelerate comprehensive digitalization across industrial chains, and establish an open and orderly digital governance system. Simultaneously, it is important to advance green-oriented strategies by enhancing pollution source control, promoting low-carbon lifestyles, and systematically conducting ecological restoration and conservation efforts. Furthermore, we should improve technological support. By increasing research investment, optimizing the innovation ecosystem, and strengthening policy guidance, we will improve intellectual property protection and technology transfer systems to elevate regional technological innovation capabilities systematically. In cultivating multidisciplinary talent, we will leverage industry–academia–research collaboration platforms to develop a cross-disciplinary talent pipeline equipped with both technical application skills and sustainable development thinking.
Second, it is important to adopt differentiated development strategies tailored to local conditions. Given that the synergy in western regions most effectively promotes industrial restructuring, the government should increase support for these areas to establish them as key hubs for green innovation. Central regions should capitalize on their geographical advantage to strengthen cooperation and exchange with eastern regions, thereby elevating their overall development level. For the eastern areas, the government should guide accelerated industrial transformation and upgrading to advance high-quality development. Building on this foundation, eastern regions should be encouraged to transfer technologies and industries to central and western areas, thereby fostering coordinated regional development.
Finally, the government should advance digitalization–greening synergy by reforming policies and fostering regulatory innovation. First, it must continue to deepen market-oriented reforms of production factors, reduce institutional transaction costs, and focus on dismantling administrative monopolies and hidden market entry barriers to stimulate corporate vitality and innovation capabilities. While ensuring fair market competition, the government should appropriately reduce direct intervention in the dual transformation process to avoid distorting market mechanisms. Finally, a collaborative governance system involving government, market, and society should be established to ensure the market forces determine resource distribution.