A quantitative assessment of policy-driven impacts on circular economy of electric vehicle batteries in the United States

Guannan Ren () and Timothy Eveleigh ()
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Guannan Ren: The George Washington University
Timothy Eveleigh: The George Washington University

Environment Systems and Decisions, 2025, vol. 45, issue 1, 1-21

Abstract: Abstract Electric vehicle battery recycling has emerged as a critical process in transitioning to sustainable transportation. As the demand for electric vehicles continues to rise, so does the need to address the end-of-life management of their batteries. Current battery recycling rates need to be increased to meet the growing demands for raw materials. This work incorporates system dynamics to model crucial factors, such as regulatory frameworks, economic incentives, and technological processes that influence the cost-effectiveness and efficiency of battery recycling systems. A composite model that integrates stock-and-flow structures with delays to capture the interconnectedness of variables such as battery production rates, demand and price fluctuations, recycling infrastructure capacity, and the effectiveness of recycling processes is developed to study the overall supply chain efficiency. By simulating scenarios like stricter regulations on battery disposal, incentives for recycling, or investments in research and development for battery designs and advanced recycling technologies, the aggregate model offers policymakers, industry stakeholders, and researchers insights into the effects of policies or process updates on electric vehicle battery recycling rates.

Keywords: Circular economy; Closed-loop supply chain; Electric vehicle; Policy; Recycling; Sustainability (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s10669-024-09995-6

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