Optimizing reverse logistics network for lithium ion battery recycling under uncertainties of price and feedstock volume

Graphical abstract of the proposed study on lithium ion battery reverse logistics supply chain network design
Graphical abstract of the proposed study on lithium ion battery reverse logistics supply chain network design

CMI researchers from University of Arizona conducted the activity for this highlight

Innovation 
Used a two-stage stochastic optimization model, with the objective of maximizing profit in the United States, to optimize the reverse logistics network under price and feedstock volume uncertainties. 

Significance and Impact

  • Without government incentives,   the recycling industry may expect $3.5 to $3.7 billion profit over the next 10 years by recycling 57% of the available feedstock.
  • Mandating 90% spent battery collection would result in a negative profit and increased feedstock collection of 93%.

Hub Target Addressed 

  • Developing criticality assessments and supply chain analysis tools
  • Assessing economic impacts