Energy Technology Innovation and Industrial Spatial Layout

Energy technology innovation serves as a structural force reshaping industrial spatial layouts and driving regional transformation. This study takes China’s ultra-high voltage (UHV) transmission projects as a representative case to reveal how frontier energy infrastructure innovation restructures manufacturing agglomeration and regional economic trajectories. Using panel data for 282 prefecture-level cities from 2006 to 2020, we employ a multi-period difference-in-differences approach supplemented by synthetic DID and double machine learning methods. The findings indicate that UHV projects significantly enhance manufacturing agglomeration by improving power accessibility in input regions, unlocking latent resource advantages in output regions, and expanding market connectivity. These effects are strengthened by proactive government coordination and higher levels of regional infrastructure development. Moreover, UHV-induced agglomeration contributes to economic growth, green transition, and urban sustainability. Overall, this study enriches knowledge on how large-scale energy technology innovation shapes regional industrial transformation and provides guidance for leveraging technological innovation to address developmental and environmental challenges.