<p>Industrial air pollution threatens health and sustainable development. Environmental taxes are key policy tool to internalize pollution externalities to curb industrial pollution. However, existing research on how different industrial sectors adapt to such taxes is lacking. This study developing a theoretical framework based on supply and demand mechanisms and substitution effects. For empirical analysis, this study constructs a recursive dynamic computable general equilibrium model with two critical innovations. First, the substitution relationship between environmental factor and technology is incorporated into the production function. Second, a learning curve is introduced to reflect the endogenous technological progress. Simulation results reveal that High Abatement Capacity Sectors achieve the synergy of pollution reduction and output growth through technology substitution. However, Low Abatement Capacity Sectors tend to reduce output and rely on capital or labor factor substitution to mitigate economic losses. Consequently, environmental tax policies should be tailored to specific industrial production structures.</p>