As a high-energy-consumption industry, China's garment industry is of great significance to promote the innovation and upgrading of traditional enterprises with the help of the Internet of Things, big data and artificial intelligence in the era of digital economy, so as to achieve sustainable development. Based on this, this paper takes textile and garment enterprises as the research object, collects relevant data of 62 textile and garment listed companies in China from 2017 to 2020, and conducts empirical analysis with the help of static panel model. The results show that digital transformation, as the core explanatory variable of the model, has a significant role in promoting the sustainable development of enterprises. In addition, the improvement of the profitability of the control variable and the enhancement of the performance of corporate social responsibility have a positive role in promoting the sustainable development of enterprises. Based on the above research results, in order to achieve sustainable business development, textile and garment enterprises should strengthen industrial integration with emerging digital industries, realize industrial restructuring with the help of digital transformation, and continue to move towards highend technology-intensive production methods. At the same time, they should pay attention to profitability. To improve the level of production and operation, while obtaining high profits in production and operation, we should also pay attention to social needs and actively perform our responsibilities and obligations to the public.