An Analysis of the Logical Mechanisms Through Which ESG Supports Supply
Chain Resilience
-With a Concurrent Discussion on the Construction of a Resilience Assessment
Method for Chinese Central State-Owned Enterprises' Supply Chains from the
Perspective of China - Australia Bilateral Relations
Shi Yanlun1 Ma Zhijia2
(1. Business School, Monash University, Australia 999088;
2.Faculty of Social Sciences, University of Macau, Macao Special Administrative Region 999078)
Abstract: Geopolitical frictions, extreme climate events, public health shocks and trade barriers,together with stricter green regulation, have moved supply chain resilience beyond a narrow operational issue. It now relates to industrial security, long-term corporate value and the adjustment of global value chains. Prior studies suggest that ESG performance affects supply chain resiliencethrough reputation, financing conditions, green innovation, market signalling and upstream-downstream transmission. Yet the literature remains fragmented and gives insufficient attention tofirm-level materials and cross-border institutional differences. Drawing on dynamic capability theory,stakeholder theory, resource dependence theory, institutional theory and the triple bottom line, thispaper revisits how ESG enters risk identification, resource arrangement, recovery and adaptiveupgrading. It uses China-Australia resource trade, climate disclosure rules, and the responsibility ofcentral state-owned enterprises as the analytical setting, and incorporates public data from DFAT andABS as well as low-carbon steel cooperation materials from China Baowu, BHP and Rio Tinto. Thepaper proposes a six-part, twenty-four-indicator evaluation tool for cross-border resource supplychains. It argues that ESG should not be treated as an additional compliance cost, but as a set ofoperational rules linking carbon data, community trust, contract governance and disclosure assurance.
Keywords: ESG; supply chain resilience; China-Australia relations; central state-owned enterprises;sustainable supply chain; evaluation tool
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