Modeling and Balancing for Costs and CO2 Emissions in Global Supply Chain Network among Asian Countries

The amount of CO2 emissions in production and logistics has been increasing in not only developed countries but also emerging countries, especially Asian countries such as Malaysia and China which have been achieved remarkable economic growth. For global warming, these emerging countries also play an important role to reduce the CO2 volumes, therefore, it has been more important to design a low-carbon supply chain including the Asian countries by balancing not only costs but also the CO2 volumes. This study models and designs a global supply chain network including these Asian countries for balancing the costs and the CO2 volumes in production and logistics. The research defines a mixed integer programming (MIP) problem to satisfy not only the demand of the market for finished products but also the reduction ratio of the environmental impact by determining the supplier and factory location between developed and emerging countries. (C) 2015 The Authors. Published by Elsevier B.V.