Research On Reverse Logistics Network Construction Of End-of-Life Vehicles Based On Circular Economy

According to the released data from the Ministry of Public Security Transportation Bureau, it shows that the number of China’s motor vehicle reaches219million by the end of August2011, China has initially entered into the "Auto Society". The high output and the high sales of motor vehicle must result in high scrap amount, it would be not only a huge waste but also a heavy burden to the environment if the end-of-life vehicles can not be recycled and reused effectively. On the other hand, some terms about scrap cars recycling have be added to the certification system of imported car in many countries of the world, which virtually makes China face with a big challenge that improves the requirements for Chinese cars exporting. The new subject of Chinese end-of-life vehicles reverse logistics study has been provided by all of the above, a set of scientific and perfect the end-of-life vehicles reverse logistics management system needs to be established. The main content of this article includes the following parts:(1) Expounds the theory about recycling economy, reverse logistics and reverse logistics network, including the recycling economic theory and reverse logistics theory, and describes the characteristics, types, essential factors and modeling method of reverse logistics network.(2) Illustrates some existing problems in end-of-life vehicles recycling industry of our country through the analysis and comparison between domestic and international end-of-life vehicles actuality;(3) Establish a logistics network from the view of the third party reverse logistics company, in fact it is a problem about logistics facility location including storage center and disassembly center of the end-of-life vehicles. A MILP model whose objective function is minimum cost is proposed to optimize network design;(4) An example with four storage alternatives and three disassembly alternatives is brought in to prove the effectiveness of MILP mode;The author hope to provide useful theory instruction for the similar research and valuable reference for end-of-Life vehicles recycle industry through this paper.