Nonlinear environmental impacts of digital transformation in China’s mega-urban agglomerations

Zehui Chen , Chuanglin Fang , Zhitao Liu , Lingyu Meng

Geography and Sustainability ›› 2026, Vol. 7 ›› Issue (2) : 100416

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Geography and Sustainability ›› 2026, Vol. 7 ›› Issue (2) :100416 DOI: 10.1016/j.geosus.2026.100416
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Nonlinear environmental impacts of digital transformation in China’s mega-urban agglomerations
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Abstract

Amidst rapid digitalization and pressing environmental challenges, understanding the environmental implications of digital transformation is crucial for sustainable urban development. Yet, the complex, potentially nonlinear digitalization-environment relationships remain underexplored. This study has two objectives: first, to quantify the nonlinear causal impacts of digital transformation on pollution mitigation and carbon reduction; and second, to unravel the mediating pathways that drive these outcomes. We employ Double Machine Learning (DML) on panel data from 2013 to 2022 across China’s four mega-urban agglomerations to identify the nonlinear environmental impacts of digital transformation. Mediation analysis is then used to examine the technology, structure, governance, and scale pathways. Despite overall progress in both digital transformation and environmental performance, significant regional variations persist. Our DML analysis reveals distinct nonlinearities: an S-shaped relationship between digital transformation and pollution mitigation, and a more complex N-shaped curve for the digital transformation-carbon reduction nexus. Mediation analysis further reveals complex mechanism: while the structure path consistently promotes environmental benefits, technology and scale factors show negative effects, and governance impacts diverge, promoting pollution mitigation but hindering carbon reduction. Translating digital transformation into environmental benefits necessitates a multi-pronged strategy. Key imperatives include prioritizing green technological innovation over sheer digital expansion to mitigate adverse scale effects, and restructuring energy systems towards renewable sources. Furthermore, digital governance must be wielded judiciously, with accountability to enhance specific environmental goals. This research reveals the intricate and context-dependent nature of digital transformation’s environmental effects, providing data-driven insights for regional policies aiming to leveraging digitalization for environmental sustainability, particularly in urban contexts.

Keywords

Digital transformation / Environmental sustainability / Pollution mitigation / Carbon reduction / Double machine learning

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Zehui Chen, Chuanglin Fang, Zhitao Liu, Lingyu Meng. Nonlinear environmental impacts of digital transformation in China’s mega-urban agglomerations. Geography and Sustainability, 2026, 7(2): 100416 DOI:10.1016/j.geosus.2026.100416

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Data availability statement

The data and code that supports the findings of this research is available from the corresponding author upon request.

CRediT authorship contribution statement

Zehui Chen: Writing - review & editing, Writing - original draft, Visualization, Validation, Software, Resources, Methodology, Investigation, Formal analysis, Data curation, Conceptualization. Chuanglin Fang: Writing - review & editing, Validation, Supervision, Funding acquisition, Conceptualization. Zhitao Liu: Writing - review & editing, Visualization, Conceptualization. Lingyu Meng: Writing - review & editing, Validation.

Declaration of competing interests

The authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper.

Acknowledgements

We thank the anonymous reviewers for their incisive comments and suggestions to earlier versions of the paper. This study is supported by the Innovative Research Group Project of the National Natural Science Foundation of China (Grant No. 42121001).

Supplementary materials

Supplementary material associated with this article can be found, in the online version, at doi:10.1016/j.geosus.2026.100416.

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