Reverse logistics network design for the collection of End-of-Life Vehicles in Mexico

This paper seeks to describe several features of establishing a closed-loop supply chain for the collection of End-of-Life Vehicles in Mexico. To address this task, the problem is handled through Reverse Logistics and is modelled through an Uncapacitated Facility Location Problem. The solution of this model is obtained using software SITATION©. Furthermore, this work also presents a brief description of the current Mexican ELV management system and the future trends in ELV generation in Mexico. The main result is the configuration of three collection networks within Mexico, which correspond to three possible scenarios that consider 100%, 90% and 75%, respectively, of collection coverage. Regions with high ELV generation are identified as well as relevant factors affecting total costs in the reverse supply chain.