Reducing the carbon intensity of well-being (CIWB) is essential for advancing environmental sustainability and socio-economic development. The expansion of digital service trade has emerged as a novel engine of global economic growth and a promising pathway for pollution reduction and carbon mitigation. This study investigates the nonlinear impact of digital service trade on CIWB, identifying an inverted U-shaped relationship—initially increasing CIWB, then reducing it beyond a certain threshold. In the financial digital service trade sector, this effect is mediated by energy structure transition, whereas in the technology-intensive sector, it is driven by green technological innovation. In contrast, digital service trade in the insurance, pension, and audiovisual sectors directly suppresses CIWB. Moreover, rising public environmental awareness helps leverage and strengthen the inhibitory effect of digital service trade on CIWB. Regionally, except for North America (which displays a consistently inhibitory effect), Asia, Africa, Europe, and Oceania reflect patterns similar to the overall sample. In regions with higher economic and internet development levels, the inverted U-shaped curve is steeper, and its turning point is located further to the left. Temporally, the relationship mirrors the full-sample patterns prior to the enforcement of the Paris Agreement, while an inhibitory effect emerges afterward. These findings offer policy implications for achieving the United Nations’ 2030 Sustainable Development Goals.

With the increase in greenwashing, corporate greenwashing governance has become a crucial component of urban environmental management. Industrial clusters are a key form of urban economic organization, yet the mechanisms through which they affect corporate greenwashing remain unclear. This study examines how different types of industrial agglomeration influence corporate greenwashing using a sample of Chinese A-share listed companies. The key findings include the following: (1) Specialized agglomeration inhibits corporate greenwashing through a “supervision” effect generated by intra-industry competition, while diversified agglomeration exacerbates greenwashing via a “collusion” effect arising from inter-industry cooperation. (2) The inhibitory role of specialized agglomeration is amplified under conditions of low public and strong government environmental concern, while the promotional effect of diversified agglomeration becomes more pronounced in contexts of high public and weak government environmental concern. Government environmental concern can be categorized into “general” and “specific” types, with the former being more effective in governing corporate greenwashing. (3) Specialized agglomeration demonstrates superior efficacy in curbing greenwashing among firms with green innovations related to energy-saving, alternative energy production, waste management, and transportation, while diversified agglomeration intensifies greenwashing tendencies in firms without green innovations. (4) Collusive greenwashing under diversified agglomeration yields short-term firm value gains but incurs hidden costs, including elevated operational risks and declining profit margins. This research provides critical insights for promoting corporate green transition and fostering zero-carbon industrial clusters.