Green Synergy Between Financial Centers and Manufacturing Hubs: A Study Based on Capital Flows and Industrial Upgrading Pathways in Shanghai and Suzhou_Vol. 3 No. 3 (JSE 2026)_Journal of Statistics and Economics (ISSN: 3005-5733)

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Green Synergy Between Financial Centers and Manufacturing Hubs: A Study Based on Capital Flows and Industrial Upgrading Pathways in Shanghai and Suzhou

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DOI: https://doi.org/10.62517/jse.202611309

Author(s)

Zhixin Wu

Affiliation(s)

Department of Economics and Finance, Hong Kong Shue Yan University, Hong Kong, China *Corresponding Author

Abstract

This paper aims to explore the cross-regional coordination mechanism whereby capital flows from financial centers to manufacturing hubs to drive industrial upgrading, guided by green finance. Adopting a case study approach, the research selects Shanghai (a financial center) and Suzhou (a manufacturing hub) as a paired case, focusing on the period from 2019 to 2025. Through the analysis of four typical sub-cases-Heng tong Optoelectronics, GCL Technology, Bosch Suzhou, and a Suzhou-based private group that encountered obstacles-the study reveals the synergistic mechanism of two-way interaction between ‘capital and industry’. The research finds that the cross-regional flow of green capital follows diverse pathways, such as ‘leading enterprises + capital markets’, ‘technology enterprises + equity capital’, and ‘chain-leading enterprises + performance-based financing’, forming a two-way interactive relationship in which capital and industrial upgrading mutually shape one another. However, this process faces the combined constraints of institutional, market and capacity barriers, with institutional barriers being the critical determinant of financing success or failure. The core contribution of this study lies in opening the ‘process blackbox’ of green capital, from financial institution decision-making to the implementation of enterprise projects, constructing a ‘capital–industry’ synergy analysis framework, and providing operational policy pathways-such as ‘single-location certification, dual-location acceptance’-for high-quality green transformation in the Yangtze River Delta.

Keywords

Green Finance; Capital Flows; Industrial Upgrading; Regional Coordination; Yangtze River Delta; Case Study

References

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