Drawing on the dynamic capability theory, the “Special Action for Intelligent Manufacturing Pilot Demonstration” issued by the Ministry of Industry and Information technology is regarded as a quasi-natural experiment. The research sample consists of A-share listed manufacturing companies from 2011 to 2023. A multi-period difference-in-differences (DID) model is adopted to evaluate the causal effect and mechanisms of the pilot policy on enterprise digital technology innovation. The research finds that the intelligent manufacturing pilot policy significantly enhances the quantity and quality of digital technology innovation, and this conclusion remains valid after a series of robustness tests. Mechanism analysis indicates that the pilot policy strengthens the enterprises’ dynamic capabilities through a “sensing—integrating—reconfiguring” pathway, which manifests concretely as policy incentives and guidance, synergy of innovation elements, and integration of industrial and supply chains. Heterogeneity analysis shows that the positive effects of the pilot policy are more pronounced in non-state-owned enterprises, highly competitive industries, and regions with higher levels of intellectual property protection . Furthermore, the analysis also reveals a differentiated path of “quantity catch-up” versus “quality upgrading” across regions with varying levels of digital economy development.