No, citrus zest does not reduce acid intensity. It adds citrus flavor and aroma, which can complement acidic dishes, but it doesn't neutralize or lower the pH.
Citrus zest is the colorful outer layer of citrus fruit peels, containing aromatic oils and flavor compounds. While it contributes a bright, citrusy flavor that can enhance a dish, it doesn't chemically interact with acids to neutralize them. Acid intensity is determined by the pH level of a substance. To reduce acidity, you need to introduce alkaline ingredients, such as baking soda, or dilute the acid with water or other neutral liquids. Zest, being derived from a citrus fruit, is itself slightly acidic and won't counteract the existing acidity in a dish. The perception of reduced acidity might occur because the bright citrus flavor balances the overall taste profile, making the acidity less prominent, but the actual acid level remains unchanged.
If you want to reduce the actual acidity of a tomato-based sauce, add a tiny pinch of baking soda. Be careful, as too much can create an unpleasant soapy taste. Start with a very small amount and taste as you go.