Green Bond Financing for New Energy Power Cell Companies

Abstract

Purpose – As the global environmental pollution and energy crisis become increasingly serious, green finance has emerged as a crucial instrument for achieving sustainable development. The combination of the new energy industry and green bonds provides low-cost, long-term financial support for green and low-carbon projects, helping new energy companies develop and achieve China’s dual carbon goals. Design/Methodology/Approach – This study analyzes the issuance, financing drivers, and effects of the green bonds of Chinese new energy power battery companies using the event study method and financial analysis method, taking the issuance of green bonds by Findings – The main motivation for CATL to issue green bonds is to attract stakeholders, optimize the financing structure, and achieve sustainable development goals. The company has shown good market, financial, and environmental effects after issuing green bonds. Research Implications – This study combines green bonds with new energy industry financing, further enriching the concept of green finance and environmental governance theory. Further, it proposes four insights from information disclosure, investment group, regulatory mechanism, and enterprise level. The results of this study provide reference for new energy battery enterprises to carry out green bond financing, which is of certain significance to promote the healthy development of China’s green bond market.