Research of low-carbon policy to promote automotive parts remanufacturing in China: A case study of auto engine remanufacturing.

In order to explore the impact of governmental low-carbon environmental policy on manufacturing/remanufacturing technology choice and to promote resources recycling and reusing, an automotive parts manufacturing/ remanufacturing system dynamics model of technology choice with the consideration of government incenting low carbon policy like carbon tax and subsidies is built. Based on simulation analysis of carbon tax and subsidies scenarios, we find that it is necessary to strengthen the government environmental policy enforcement to guide and promote the auto parts companies to choose low-carbon remanufacturing technology and to promote the development of China's automobile manufacturing industry. Among them, the combination of carbon taxes and subsidies policy may be a good policy to lead enterprises to choose remanufacturing. But the remanufacturing industry in China is just at the preliminary stage, the government need to strengthen environment conservation education and to standardize the recycling market in order to speed up the healthy development of Chinese auto parts remanufacturing industry. [ABSTRACT FROM AUTHOR]