Resources Conservation and Recycling · 2023 · 27 citations · 17 references
ManagementRisk ManagementSupply Chain ManagementRisk AnalysisSupply Chain Risk ManagementSupply Chain StrategyMaterial Flow AnalysisRisk MitigationSupply Chain ResponsibilitySupply Chain RiskSupply Chain Vulnerability AnalysisSupply ChainsMaterial Flow RiskPolitical Agenda SettingResponsible Supply ChainsRisk-based Due DiligenceSupply Chain Risk AnalysisSupply Chain Risk GovernanceSupply Risk AssessmentTrade Flow Analysis
Supply concentration and environmental, social, governance (ESG) issues constitute important supply risks. With strategic autonomy and responsible sourcing high on the political agenda these risks are especially relevant for the EU. This paper proposes an approach to conduct risk-based due diligence. Using a trade-linked material flow analysis, ESG and dependency hotspots along supply chains can be identified. Silver supply chains for photovoltaics (PV) are taken as case-study. The model traces silver from mining to PV module manufacturing, from 1995 to 2021. The supply of silver powder, paste, PV cells, and modules is found to be highly concentrated. These supply chains are linked to substantial ESG risks, mostly nested in fabrication and manufacturing, some of which have worsened over time. Over 87% of the silver used in PV transits through at least one country with a very high risk factor. Reshoring the PV industry to the EU can partially de-risk supply.
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Yuchao Zhang, Moonyong Kim, Li Wang et al. · Energy & Environmental Science · 2021 · 256 citations · Full text