Exploring reverse supply chain configurations of high voltage Li-ion batteries for heavy e-vehicles under different structural and operational conditions

Electrification of transportation is widely recognized as an enabler of sustainable development thanks to its potential to mitigate current global warming crisis. So far, industry has been focusing on technology deployment and scaling up, paying limited attention to the end-of-life of new vehicles and their components. However, if this emerging technology is to be truly sustainable in the long range, proactive planning and development of product and material recovery solutions is crucial from many perspectives. Reverse supply chain design is subject to deep uncertainties and simulation has been already used in literature as a suitable tool for examining alternative configurations and the key drivers of optimal design. This study aims to investigate the implications of different structural (centralized vs decentralized) and operational (in-house and outsourcing) configurations of the reverse supply chain configuration of high voltage li-ion batteries for heavy e-vehicles. All the stages in the reverse supply chain, i.e. acquisition of returned batteries, inspection, reconditioning (remanufacturing or recycling), warehousing and transportation, repurposing for second-life applications are considered. A Mixed Integer Linear Programming (MILP) model is finally proposed to support strategic and tactical decisions of an OEM (original equipment manufacturer) according to efficiency and circularity objectives. Results provide valuable ground for decision-making regarding the development of reverse supply chain systems of high voltage batteries and demonstrate that such systems can offer economic benefits for vehicle manufacturers.