A game-theoretic approach for analysing a competition between electric and hydrogen-based vehicles in a supply chain to reduce carbon emission under government strategies

Mahnaz Naghsh-Nilchi and Morteza Rasti-Barzoki

International Journal of Industrial and Systems Engineering, 2025, vol. 49, issue 2, 252-266

Abstract: In recent decades, climate change and air pollution have become major global challenges due to population growth and increased fossil fuel use. Electric and hydrogen vehicles have emerged as sustainable alternatives, reducing greenhouse gas emissions and improving air quality. Both offer co-benefits in reducing air pollutants from common emission sources. However, the study shows that despite higher demand for electric cars, hydrogen car manufacturers still yield greater profits. The preference for consumers and governments is more towards electric cars due to higher demand and better environmental impact. Nevertheless, the hydrogen car market remains profitable for manufacturers. Governments may play a role through tax and subsidy policies to incentivise consumers towards more sustainable choices, contributing to environmental protection and public health preservation.

Keywords: electric car; hydrogen car; government policy; pollution pricing; sustainability; game theory. (search for similar items in EconPapers)
Date: 2025
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