Abstract:Based on the provincial panel data from 2004 to 2019, this paper constructs a more comprehensive industrial structure upgrading indicator and empirically verifies the effect mechanism of OFDI’s reverse green innovation technology on industrial upgrading by using a moderated intermediary model. The results show that: Firstly, OFDI has a reverse effect of green technology innovation, which can positively promote China"s industrial upgrading; Secondly, From the moderated mediating effect, increased domestic R D to close the technology gap with developed countries, domestic environmental regulation’s enhancement also encourage foreign multinational enterprises implement a cooperation model for green technology, both of them strengthen OFDI’s reverse green innovation, which has a greater promoting effect on the industrial upgrading; Thirdly, the OFDI’s reverse green innovation mainly promotes the strategic green innovation of non-invention type, but the enhancement of R D ability and environmental regulation can strengthen the reverse substantive green innovation of OFDI. The results remained significant after endogeneity test and substitution of core explanatory variables.