<p>This study proposes a low carbon supply chain management model for electric vehicle (EV) battery production, addressing deteriorating items and imperfect manufacturing under carbon emission regulations. The model considers a three-echelon supply chain with a manufacturer, supplier, and retailer, optimizing a demand function dependent on selling price and carbon reduction investment. It accounts for constant deterioration, imperfect quality, and three carbon strategies: tax, cap-and-trade, and offset. The manufacturer minimizes total costs while the retailer optimizes pricing to maximize revenue. Numerical and sensitivity analyses show that demand significantly influences cost-emission trade-offs, with cap-and-trade being the most cost-effective strategy, depending on emission caps and demand sensitivity. This research provides actionable insights for sustainable EV battery supply chain management.</p>

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Optimizing supply chain strategies for deteriorating items and imperfect manufacturing under carbon emission regulations with price and carbon reduction investment-dependent demand

  • Pratibha Rajawat,
  • Mandeep Mittal,
  • Biswajit Sarkar,
  • Anil Dhanda

摘要

This study proposes a low carbon supply chain management model for electric vehicle (EV) battery production, addressing deteriorating items and imperfect manufacturing under carbon emission regulations. The model considers a three-echelon supply chain with a manufacturer, supplier, and retailer, optimizing a demand function dependent on selling price and carbon reduction investment. It accounts for constant deterioration, imperfect quality, and three carbon strategies: tax, cap-and-trade, and offset. The manufacturer minimizes total costs while the retailer optimizes pricing to maximize revenue. Numerical and sensitivity analyses show that demand significantly influences cost-emission trade-offs, with cap-and-trade being the most cost-effective strategy, depending on emission caps and demand sensitivity. This research provides actionable insights for sustainable EV battery supply chain management.