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Computers & Industrial Engineering 178 (2023) 109116

Contents lists available at ScienceDirect

Computers & Industrial Engineering


journal homepage: www.elsevier.com/locate/caie

Assessing transportation infrastructure impacts from supply chain


restructuring for increased domestic production of critical resources
Qiang Chen a, Elise Miller-Hooks a, *, Edward Huang a
a
George Mason University, Fairfax, VA 22030, USA

A R T I C L E I N F O A B S T R A C T

Keywords: Contrary to past sentiment for globalization in manufacturing and production, the United States (U.S.) and other
Supply chain restructuring nations have shown a strong desire for increased domestic manufacturing and production, especially of critical
Transportation infrastructure products. While the benefits are many and include increased national security, increased local jobs, greater
Reshoring
earnings and improved economies, the costs to support expanded local or regional production capacity may be
Onshoring
Manufacturing
nontrivial and extend beyond capital investments. That is, there are social costs for a region and nation that
Domestic production should also be considered. This paper proposes an analytical framework and related mathematical procedures for
assessing the impacts of supply chain restructuring and domestic capacity expansion needed for increased do­
mestic manufacturing and production on the operation and maintenance of a nation’s roadways. The impacts are
given in terms of added traffic congestion, roadway maintenance costs, fuel consumption, emissions and traffic
incidents as a function of estimated added domestic truck loads and truck miles required for expanding domestic
production capacity. The framework exploits concepts from the mathematical formulation of multi-commodity,
multi-echelon, fixed-charge facility location problems. It was applied in a case study involving increased N95
filtering facepiece respirator (FFR) domestic production within the U.S. This application predicts notable impacts
due to an increase in U.S.-based N95 FFR production, with sizable impacts stemming from local raw materials
and middle products transportation needed to support increased domestic production. Thus, the case study shows
the importance of considering the impacts of increased domestic manufacturing and production on infrastructure
and the need for the proposed framework and methodologies. The analytical framework has broad utility and can
also be used to compare facility siting proposals, as well as localization and regionalization strategies.

1. Introduction (The State Council of P.R.C., 2015) and is still in force.


Trends toward increased domestic production are contrary to earlier
With global demand for goods steadily increasing over past decades sentiments for globalization in manufacturing and production. In some
(Ramaswamy et al., 2017), coupled with increased concerns about cases, these trends even aim to lure manufacturing and production op­
supply chain (SC) security in the ongoing Covid-19 pandemic (Fox, erations to new locations, e.g., producing microchips by Samsung, a
2021; Furman & Powell, 2021), interest in increasing the availability of Korean company, in the U.S. (Sohn, 2021).
manufacturing jobs, and greater sentiment toward domestic-made Domestic-made products can improve a nation’s economy through
products (Shapiro, 2017), desire for increasing domestic production is job growth and increased gross domestic product (GDP), and can
growing. In fact, new policies favor increased domestic manufacturing improve national security through increased access to critical products
and production of traditionally imported products in many nations. For (The White House, 2021). Ramaswamy et al. (2017) estimated that
example, in the U.S., there is strong desire to bring the manufacturing of through increased manufacturing of products domestically, the U.S.
numerous products to within its borders, e.g., S.363 “Make It in America could add $300 billion and 1.4 million jobs annually to its economy for
Act” that is under consideration by the 117th U.S. Congress (Make It in the period between 2017 and 2025.
America Act, 2021). In China, to reduce China’s dependence on foreign While these goals are laudable, the costs of increasing domestic
technology and promote Chinese technology manufacturers globally, a manufacturing are nontrivial. Aside from the need for large capital in­
strategic plan named, “Made in China 2025,” was authorized in 2015 vestments in manufacturing and production facilities, as well as at

* Corresponding author.
E-mail addresses: qchen21@gmu.edu (Q. Chen), miller@gmu.edu (E. Miller-Hooks), chuang10@gmu.edu (E. Huang).

https://doi.org/10.1016/j.cie.2023.109116

Available online 25 February 2023


0360-8352/© 2023 Published by Elsevier Ltd.
Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Fig. 1. SC-RI analytical framework overview.

suppliers, there are potential considerable impacts on the existing civil transportation networks.
infrastructure that require consideration. This paper presents a broadly Also of relevance are works that consider the impacts of expansion in
useful methodology, the Supply Chain Restructuring and production the production of specific commodities on local roadways (Bai et al.,
growth Impact analysis (SC-RI) Framework, with embedded mathe­ 2010; Fried et al., 2018; Hajibabai et al., 2014). Bai et al. (2010)
matical procedures for estimating changes in domestically generated calculated the costs from roadway damage due to an increase in heavy
truck loads (TLs) and truck miles (TMs), traffic congestion along free­ truck traffic from expansion in meat production for a portion of Kansas
ways and major arterials via a Speed Reduction Index (SRI), added City. They estimated the total cost from damage along a studied highway
roadway maintenance costs, added truck-based fuel consumption, added section due to the activities of local meat processing related industries to
truck-based emissions of greenhouse gases (GHGs) and other air pol­ be $1,727 per mile per year. Fried et al. (2018) analyzed the effects from
lutants, and added truck-related incidents and incidents involving trucks expansion of the Minnesota cereal grain industry. They used dis­
carrying hazardous materials (hazmat) from expanding domestic pro­ aggregated commodity flow survey (CFS) data together with agriculture
duction capacity. crop production and cropland data to estimate changes in freight de­
In the next section, a review of relevant literature is provided. The mand for the area. They raised concerns that expanding dairy farm
review highlights the need for the proposed general analytical frame­ operations in southern Minnesota would increase truck traffic due to
work with its inclusion of the transportation of key materials and middle increased demand for grain feed and would, thereby, accelerate dete­
products needed at every production step and expanded sources of rioration of rural roads, bridges, and major highway connectors in the
negative externalities associated with increased truck traffic within the region.
impact analysis. This is followed by the introduction of the proposed Taking a SC design perspective, Hajibabai et al. (2014) developed a
impact analysis framework with detailed computational steps in Section bi-level program for minimizing the cost of expanding biofuel produc­
3. Section 4 applies the framework to estimate the impacts in terms of tion capacity through the addition of optimally chosen plants within
proposed metrics from increased N95 filtering facepiece respirator (FFR) Illinois. Their cost function accounts for added maintenance and
domestic production within the U.S. Application of the framework and increased travel delays resulting from increased truck traffic in the re­
embedded methodologies predicts an increase of 4.4 million TMs, $1.5 gion due to biofuel production expansion. They account for the move­
million in roadway maintenance costs, 1.4 million gallons of added fuel ment of corn needed for ethanol production in designing local logistical
consumption, and an increase by 0.02 million tons of emissions over a 2- routes and plant locations under a simplified representation of the bio­
year horizon, as well as a potential for increased truck-related accidents fuel SC.
and hazardous materials incidents, due to a 300% increase in N95 FFR Several works have presented mathematical models to represent the
production within the U.S. as would be required to serve the estimated SC and have applied their models to analyze the impact of SC changes on
U.S. hospital-based demand for such masks in the early stages of the freight demand and costs for the region. Nicholson et al. (2011) devel­
COVID-19 pandemic. The case study also reveals that the transport of oped a spatially-disaggregated transshipment model to minimize total
raw materials and middle products is a major contributor to the negative dairy SC costs in the U.S. given a series of localization scenarios. They
externalities of increased domestic production, leading to increases in reported that localization of U.S. dairy SCs increases processing and
both infrastructure burden and hazmat incident risk, and, thus, the need distribution costs. Atallah et al. (2014) used a similar approach for
to consider the impacts on infrastructure of increased domestic broccoli SC representation in the eastern U.S., and found that SC local­
manufacturing and production. The paper closes with a summary and ization may result in trivial impact on customer prices, reduced total
potential extensions in Section 5. system costs, and reduced ton miles. For the impact of changes in SC
structure, Ottemöller & Friedrich (2019) proposed an optimization-
2. Literature review based methodology to choose plant locations for the German poultry
industry with an aim of minimizing total transportation and facility
A direct result of increased domestic production is an increase in costs. They found that optimized poultry SC centralization could, in fact,
freight demand. For comprehensive reviews of regional freight fore­ reduce freight demand for this industry. Similarly, Park & Moon (2011)
casting and modeling with specific attention given to supply chains see used a systems dynamics-simulation approach to estimate freight de­
(Chow et al., 2010; De Jong et al., 2013). More closely related to this mand reduction resulting from the formation of an alliance of distribu­
paper are works that quantify the impacts of increasing production on tors for a conceptual SC design.
local freight demand. Using historical Freight Analysis Framework (FAF) While a few works have included some impacts of increased local
data, Sarder et al. (2016) predicted domestic freight flow changes within production on the transportation system (Bai et al., 2010; Hajibabai
the U.S. and at major U.S. ports, as well as changes in aggregate U.S. et al., 2014; Sarder et al., 2016), only Hajibabai et al. (2014) consider SC
economic output, jobs and earnings, under reshoring scenarios that restructuring and, implicitly, the impact to roadway maintenance.
would shift flows away from imports and towards regional Created for more focused purposes, their work is limited to the selection

2
Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Table 1 and demand flow balance as required to meet the needs of increased
Major input data for each module of the SC-RI framework. domestic production.
SC-Profiling SC-Structure and SC-Impact Analysis The framework is described in Fig. 1. It is comprised of three major
Commodity Flow modules: (1) SC-profiling, (2) SC-structure and commodity flow anal­
Analysis ysis, and (3) SC-impact analysis. In SC-profiling, existing and potential
Existing and Potential Holistic SC Freight demand in vehicle entities, transportation channels, supply and demand attributes, pa­
Entities:Name, location, configuration data miles (VM) and vehicle trips rameters for cost estimation, and bill of materials are identified.
input/out commodity from SC-Profiling (VT) generated from the SC- In SC-structure and commodity flow analysis, the existing domestic
name module: Structure and Commodity Flow
Analysis module
SC structure is studied through the solution of a multi-commodity, fixed-
Supply and demand All outputs of SC- charge facility location problem. This approach is used in many works to
attribute:Capacity for Profiling model a SC at the strategic level when details of the supply chain layout
output commodity and commodity flows are unavailable (e.g., Atallah et al., 2014; Haji­
End customer demand Peak hour traffic volume
babai et al., 2014; Nicholson et al., 2011; Ottemöller & Friedrich, 2019;
Maintenance cost per VM Smith et al., 2017;). The output of this model is a set of domestic com­
Parameter for cost modity flows across the SC network. These flows are used to estimate
estimation: TLs and truck TMs, which, along with cargo flows from ports of entry
Investment costs: fixed/ Fuel consumptionEmission rate needed to fulfill unmet demand via import, create a baseline on truck
variable opening costs for each pollutant and vehicle
Procurement costs: price type per VM
traffic volume associated with production under the current SC struc­
per unit of input ture. A second multi-commodity, fixed-charge facility location problem
commodity is formulated and solved. This second problem includes an expanded set
of potential raw-material and middle-product suppliers. It considers
Production cost: cost per Rate of vehicle accidents and
possible locations and added capacity for expanding manufacturing and
unit of output hazmat incidents per VM
commodity production capacity to meet increased demand for the studied product
with sufficient SC-wide capacity to eliminate the need for importing
Transportation cost: additional products. The use of a facility location optimization model to
network topology, approximate the structure and flows along the existing SC, and its
mode, and vehicle
structure as modified to meet self-sufficiency goals, presumes that
attributes, including
freight rate, capacity, existing and future operations are designed to be cost-efficient.
compatible The last module estimates the impact of increasing domestic pro­
commodities, and cargo duction for the studied product in terms of added domestic traffic
density
congestion (specifically, through a Speed Reduction Index (SRI) (Afrin &
Yodo, 2020)), roadway maintenance costs, fuel consumption, emissions
BOM: of GHGs and other air pollutants, and truck-related accidents. These
Amount of each input values are calculated before and after increasing domestic production
commodity needed to based on TLs and TMs needed to meet related domestic production
produce each unit of
targets, and are compared across SC structures and production goals. To
output commodity
provide a comprehensive overview of input data for the framework, a
list of major input data for each module is provided in Table 1.
of facility locations for processing corn into biofuel. The SC represen­ Detailed descriptions of these modules are given in the following
tation includes the processing plants, fixed corn supplier locations, and subsections.
fixed end consumer locations. Thus, they include only one raw material
type and no middle products in their model. Their key contribution is the 3.2. SC-Profiling
inclusion of added maintenance costs due to increased local traffic from
changing the processing plant locations in SC redesign (processing plant The SC-Profiling Module consists of four submodules as follows.
location). This paper differs from their work in its focus and expands the
analytical techniques for application on a much more detailed SC rep­ 3.2.1. Existing and potential entities and connections in a SC
resentation and possibilities for restructuring with the numerous, major In this sub-module, key potential SC entities and the transportation
raw material and middle product SC elements. This work also includes channels between these entities are identified and represented through a
the possibility of choosing to import these production inputs in SC directed graph. Physical entities include customers, raw material sup­
restructuring and offers a wider set of factors for inclusion in its impact pliers, factories, warehouses, distribution centers, and ports of entry.
analysis component. Finally, this paper proposes an analytical frame­ Each entity is represented by a node. The transportation channels, e.g., a
work with broad applicability. path between locations that makes use of transportation services, are
modelled by arcs that connect these entities. If more than one trans­
3. Analytical framework for assessing the impact of increasing portation channel exists between two entities, the one with minimum
domestic production on the transportation infrastructure unit transportation cost is used. Raw material suppliers are modeled by
source nodes and end consumers by sink nodes. While only truck traffic
3.1. Framework overview is considered herein, the framework can be readily expanded to incor­
porate multimodal considerations.
An overview of the SC-RI analytical framework is given in Fig. 1.
Details of its modules are presented in this section. The framework is 3.2.2. Supply and demand attributes
designed to enable analysis of the impacts that arise as a result of In this sub-module, key production capacity information and
changes in transportation requirements created from SC restructuring customer demand data are collected. The production capacity infor­
and/or increased production of a given product. Domestic capacity re­ mation includes type of raw materials or parts that the suppliers or
quirements and potential impacts of additional production-related ac­ manufacturers can provide and their production capacities for these
tivities within a country’s borders are quantified under estimates of materials and parts. Customer demand data include type of products and
changes in network structure, supplier selection, and long-term supply demand quantities.

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Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

3.2.3. Parameters for cost estimation the formulation of the existing SC design is given.
Investment, procurement, production and transportation costs are Indices and sets:
collected in this sub-module. Investment costs are estimated as a func­ i Index of facility
tion of fixed facility opening and capacity expansion costs (Simchi-Levi, m Index of commodity, index of 0 indicates final product
M Set of commodities in the SC
2005). Fixed opening costs include facility rental or construction, ma­
Mp Set of commodities supplied by ports
chinery procurement and installation costs. Capacity expansion costs Mt Set of commodities that use distributors for transshipment
depend on level of expansion. Procurement costs include costs of pur­ ICm Set of input commodities needed for producing commodity m
chasing raw materials and parts. Production costs are a function of labor, OCm Set of output commodities that use commodity m as input
machine, and utility costs of production. Finally, transportation costs OFm Set of candidate facilities that supply commodity m
DFm Set of candidate facilities that need commodity m
include commodity-based shipping costs between facilities.
For those raw materials or parts for which the price is not available,
the procurement cost can be estimated using public online databases. In
Parameters:
the case study of Section 4, it was presumed that the raw materials and
parts might be purchased either domestically or imported. If materials/ fi Fixed opening cost associated with facility i
parts are purchased domestically, the price of these goods can be found cijm Per unit transportation cost for commodity m transported from facility i to j
at public purchasing websites, such as https://www.globalsources.com. c’im Procurement and production cost of commodity m bought from facility i
The price of imported commodities can be calculated using the Landed c’’im LDP price for imported commodity m entering through port of entry i
di0 Demand of end customer i for final product
Duty Paid (LDP) price according to data available at the foreign trade
γm1 ,m2 Volume/weight conversion factor from input commodity m1 to output
data website: dataweb.usitc.gov. Production costs can be estimated from commodity m2
total production cost and volume of shipments shown in a company’s αi Capacity of facility i
quarterly and annual financial reports. Uijm Capacity of vehicle transporting commodity m from facility i to j
Actual transportation costs may not be known. In this case, they can δij Roadway distance between facilities i and j

be estimated using a proportion-based approach as a function of freight


rate, distance traveled and freight volume. The freight rates, including
Decision variables:
TLs or Less-Than-Loads (LTLs), are available online at ship.freightos.
com. The distance between each pair of entities can be calculated vijm Flow of commodity m from facility i to j
using the National Highway Planning Network (NHPN) (FHWA, 2017). yi =1 if facility i is opened
Freight volumes can be calculated based on the type of commodity and =0 otherwise
their packaging dimensions.

3.2.4. Bill of materials (BOM) The Multi-Commodity Fixed-Charge Existing Supply Chain Model can be
The BOM is a list of input materials and parts along with their formulated as follows,
quantities needed for the production of a specific quantity of a product. ∑∑ ∑ ∑( ) ∑ ∑
minimize fi yi + cijm + c’im vijm + c’’im vijm (1)
The BOM is used to model the balance between inflows and outflows of m∈M i∈OFm m∈M i∈OFm m∈Mp i∈OFm
each entity. j∈DFm j∈DFm

The outputs of the SC-Profiling module are the parameters and hi­
subject to
erarchical structure of the SC that are used to formulate a multi-

commodity fixed-charge facility location problem presented in the vij0 ≥ dj0 ∀j ∈ DF0 (2)
next section. i∈OF0


3.3. SC-Structure and commodity flow analysis vijm ≤ yi αi ∀i ∈ OFm , m ∈ M (3)
j∈DFm

In this module, the existing and restructured and/or expanded SC ∑ ∑ ∑


networks are formulated to enable the study and comparison of com­ vijm0 ≥ vjlm ∀j ∈ OFm , m ∈ Mt (4)
modity flows under future SC structures and scenarios.
m0 ∈ICm i∈OFm0 l∈DFm

∑ ∑ ∑
3.3.1. Existing SC formulation vijm1 ≥ vjlm2 /γm1 ,m2
(5)
The existing SC network is modeled as a multi-commodity, multi-
i∈OFm1 m2 ∈OCm1 l∈DFm2

∀j ∈ DFm1 , m1 ∈ M\Mt
echelon, fixed-charge facility location problem, an approach used in
prior works that have replicated SCs for strategic applications (e.g.,
yi ∈ {0, 1} ∀i ∈ OFm , m ∈ M (6)
Ottemöller & Friedrich, 2019; Smith et al., 2017) and design (Hajibabai
et al., 2014) efforts. The problem chooses a set of potential facilities, vijm ≥ 0 ∀i ∈ OFm , ∀j ∈ DFm , m ∈ M (7)
including suppliers, factories, and distribution facilities, to minimize
total costs. Hajibabai et al. (2014) and Ottemöller & Friedrich (2019) In the event that the existing SC structure is known, yi will be preset.
used this optimization-based approach to approximate a best SC Objective function (1) states that the total facility opening, trans­
restructuring scheme in relation to expansion of biofuel plants in Illinois portation, procurement, and import costs are to be minimized. Con­
within the U.S. and SC redesign for the poultry industry in Germany, straints (2) ensure that end customer demand is satisfied. Constraints (3)
respectively. are capacity constraints that restrict total output flows from each facility
Let G = (V, E), where V is the set of all candidate entities, indexed by i to meet capacity limits. Constraints (4) and (5) are standard flow bal­
i, and E is the set of all directed arcs. These facilities can be suppliers, ance constraints required at each facility. Constraints (4) ensure that the
warehouses, factories, ports and customers. The set of commodities, total out flow from distributor j is no larger than its total inflow. Con­
denoted by M, flows through G. Each facility, indexed by i, may need or straints (5) require that the total inflow of input material at facility j is no
supply commodities. Let OFm and DFm be the sets of all candidate fa­ less than the material required to produce the intended outflow.
cilities that supply or seek commodity m. Then, E = Outcome vijm , the commodity flows, can be used to compute the existing
{∀(i, j) : i ∈ OFm , j ∈ DFm , m ∈ M }. TLs of a commodity in a transportation channel, denoted Fijm and
With this network representation and the following nomenclature, computed as in equation (8).

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Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

/
Fijm = vijm Uijm ∀i ∈ OFm , j ∈ DFm , m ∈ M (8) zki ∈ {0, 1} ∀k = 0, 1, ⋯, Ki , i ∈ OFm , m ∈ M (16)
Total commodity flow in a transportation channel, denoted TLij , is Similar to objective function (3.1), objective function (11) of the
calculated as in equation (9). expanded SC model seeks to minimize total costs. This function, how­
TLij =

Fijm ∀i ∈ OFm , ∀j ∈ DFm , m ∈ M (9) ever, includes not only facility opening, transportation, procurement,
m∈M and import costs, but also fixed and variable facility expansion costs.
Similar to Constraints (3.3), Constraints (12) are capacity constraints
Freight demand (in TMs) between facilities i and j, denoted TMij , is
associated with existing facilities including any capacity increase, while
calculated as in equation (10).
Constraints (13) are capacity constraints of added facilities. Constraints
TMij = TLij δij ∀i ∈ OFM , ∀j ∈ DFm , m ∈ M (10) (14) ensure that only one expansion plan level is applied at an existing
facility i, while Constraints (15) restrict expansion to opened facilities.
3.3.2. Expanded SC formulation for increased domestic production The outputs of the expanded SC model include the selected facility
To increase domestic production, either new domestic plants will be addition and expansion plans, as well as commodity flows. As in the
established or the capacity of existing domestic plants will be expanded. existing SC model, these are used to estimate the TLs and TMs via
Decisions on the selection of new suppliers of raw materials and middle formulae (3.9) and (3.10).
products to add to the existing SC and how much each supplier will
expand its capacity must be taken. It is presumed that such decisions are 3.4. SC-Impact analysis
taken to minimize total costs, and the problem of determining the best
decisions can be considered as a SC network redesign optimization The Impact Analysis module quantifies the impacts of increasing
problem (Melachrinoudis & Min, 2007). If specific design information is domestic production on national roadways. These impacts include: (1)
available, these details can be used directly or embedded within the traffic congestion, (2) roadway maintenance costs, (3) domestic fuel
optimization if some decisions remain. Considering that some facilities consumption and related emissions, and (4) truck accidents and hazmat
already exist with pre-existing capacities, a similar multi-commodity, incidents. The impacts can be extended to additional transportation
fixed-charge facility location problem as that of the existing SC model modes employed along transportation channels.
in 3.3.1 is formulated. Additional parameters and decision variables
used in formulating this modified SC resulting from increased domestic 3.4.1. Congestion impacts from added truck traffic
production (shortened here forth as restructured and/or expanded SC Added TLs resulting from increased domestic production will in­
design) are given next. crease truck traffic on roadways both in the vicinity of manufacturing
Parameters and sets: and production sites and well outside, potentially inducing congestion
fi’ Fixed capacity expansion cost at facility i near and far. The SRI adopted herein to measure the congestion effects
gi Cost at facility i per unit capacity expansion caused by such action can be computed as in equation (17).
βi Defined unit of expansion capacity at facility i given in terms of number of
products SRI = 10 × (1 − S/S0 ) (17)
Ki Maximum possible level for capacity expansion at facility i
k Index of level of capacity expansion (k = 0, 1, ⋯, Ki for facility i)
where S0 is the average free flow speed (assumed to be 40 mph) and S
OFm ’ Set of opened facilities supplying commodity m in existing SC network is the average travel speed. To compute the average travel speed, S, an
empirically-derived formula that considers the impact of truck traffic in
(Yun et al., 2005) is used. Consistent with settings in (Yun et al., 2005),
Decision variables:
this formula implicitly assumes a class II rural arterial with two lanes
zki =1 if facility i is expanded by k units of capacity and lane capacity, C, of 910 vehicles/lane/hour in each direction. The
=0 otherwise average travel speed is calculated as in equation (18).
/[ ]
S = S0 1 + 0.073(1 + Ts )3.140 17.022Vs /C (18)
The Multi-Commodity Fixed-Charge Restructured Supply Chain Model
can be formulated as follows, where Vs is the volume of a single lane and Ts is the truck percentage
in traffic (with background truck percentage of 4.3% (FHWA, 2011). To
∑ ∑ ∑∑ ∑Ki ∑∑
Ki ∑
minimize fi yi + f ’i zk + kgi zki calculate the updated traffic volume, Vs , a background V/C ratio of 0.5
m∈M i∈OFm \OFm
’ m∈M i∈OFm
k=0 i
m∈M k=0 i∈OFm consistent with free-flow conditions is assumed. The impact of added
truck traffic would be greater, in general, if facilities are considered to
∑ ∑
+ (11) operate under congested conditions. Additionally, significant increases
m∈M

(cijm +c’im )vijm + m∈M’
∑ in SRI could require greater truck background percentage of traffic.
i∈OFm j∈DFm
i∈OFm j∈DFm
c’’ vijm
ijm The SRI under the existing SC design and expanded SC are calculated
and compared. Congestion occurs when the SRI exceeds 4 or 5, and a
subject to constraints (2), (4)-(7) and the following (12)-(16). value less than 4 indicates non-congestion conditions (Afrin & Yodo,
2020).
∑ ∑
Ki
vijm ≤ αi + βi zki k ∀i ∈ OF’m , m ∈ M (12)
j∈DFm k=0 3.4.2. Added roadway maintenance cost
The total added roadway maintenance cost (TC) can be calculated by
∑ ∑
Ki equation (19).
vijm ≤ yi αi + βi zki k ∀i ∈ OFm \OF’m , m ∈ M (13) ∑∑
j∈DFm k=0 TC = 0.35 × TMij (19)
m∈M i∈OFm
j∈DFm

Ki
zki = 1 ∀i ∈ OFm , m ∈ M (14)
k=0 A combined bridge and pavement maintenance cost for selected
standard freight trailer (63.5 − 65kip, 4-axle, single unit) is implicitly

Ki
assumed to be $0.35 per truck-mile (Dey et al., 2014).
zki ≤ yi ∀i ∈ OFm \OF’m , m ∈ M (15)
k=1

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Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Table 2 including hazmat TMs, and historical incident rates as in the FMCSA
Air pollutant emissions rates used in this study. Analysis Division (2019). Materials or middle products identified as
Emission type Emission rate (g/mile) hazmat according to Hazardous Materials Regulations (2021) were
aggregated for hazmat TMs calculation.
CO 7.3
CO2 3667.0
VOC 2.1 4. A case study of N95 FFRs
NOx 48.5
PM10 1.6
The methodologies of the proposed analytical framework were
SOx 1.2
applied to assess the impacts of expanded U.S.-based domestic produc­
tion of N95 FFRs, key components of Personal Protective Equipment
3.4.3. Fuel consumption and emissions (PPE) (U.S. CDC, 2021). At the start of the COVID-19 pandemic, when
Added TMs resulting from SC restructuring and/or expansion will demand for N95 FFRs by health care workers surged, a sufficient number
result in increased fuel consumption and emissions. CO, CO2, VOC, NOx, of this product could not be obtained. These shortages arose in part due
PM10 and SOx emissions can be estimated as a function of TMs. A fuel to a near halting in global SCs and as products were held up at inter­
consumption rate of 0.33 gallon/mile is presumed (U.S. EPA, 2011). national borders (Tabah et al., 2020). Increasing domestic production of
Emission rates of CO2 and SOx were calculated from equations used for the N95 FFR by expanding the SC would ensure access by the U.S. to this
the development of the ORSEEM (On-Road Simulation Emissions Esti­ product as needed (U.S. DOD, 2020) and increased national security.
mation Model) model developed in Miller-Hooks et al. (2012) and built In this case study, TLs and TMs created by the increase in U.S.-based
based on earlier models from the U.S. EPA (2009) and Barth et al. production were estimated for a two-year period under a target pro­
(2000). Emission rates of other considered pollutants, for example CO, duction capacity set to eliminate the need for additional product import.
VOC, NOx, and PM10, are calculated following a procedure proposed by These estimates of TLs and TMs are based on only the movements within
Hickman & Hassel (1999). The vehicle used in emissions estimation is the U.S., beginning from the import ports, oil terminals and warehouses
presumed to have a gross vehicle weight rating of 32 metric tons, use of raw materials and middle products required to manufacture these
diesel fuel, have a 15-cylinder engine and operate at an average speed of products, as well as the transport of the final products to distributors or
66 km per hour as delineated in Hickman & Hassel (1999). The truck is end customers. Estimated total domestic TLs and TMs were compared
assumed to have a capacity of 15 metric tons, operating on the roadways against similar assessments under an approximation of current produc­
with an average gradient of 1%. Improvements in engine technologies tion and import levels. The differences in TLs and TMs between current
could lead to reduced fuel consumption and emissions rates that can be and expanded SC provide an indication of the burden that such added
incorporated within the analytical framework. production would place on the U.S. infrastructure. Details of these es­
The emissions rates of selected pollutants for a standard truck timates are given in the following subsections, which are organized
calculated by this method are listed in Table 2. The total added fuel around the modules of the SC-RI analytical framework of Section 3.
consumption or total emissions of an emission class, TEt , can be
computed from a fuel consumption rate or emission rate, rt , and TMs as 4.1. General product information
in equation (20), where t indicates the type of rate computed, whether
fuel consumption or a specified emission class. There are a large number of domestic suppliers who are capable of
TEt = rt
∑ ∑
TMij (20) supporting raw materials and middle products needed to manufacture
m∈M i=OFm the N95 FFRs and, when available, domestic suppliers are preferred.
j∈DFm
This contributes to increased reliance on domestic capabilities and can
lead to reduced logistical costs (Ellram et al., 2013). The specific inputs
3.4.4. Truck accidents and hazmat incidents are based on publicly available information on both existing SC com­
With TMs calculated in the SC-Structure and Commodity Flow ponents and news media that discuss possible production expansion
Analysis Module, expected total added truck accident and hazmat inci­ plans.
dent counts can be estimated from the product of total added TMs, This incorporation of candidate suppliers follows an ABC inventory
control rule, and, as such, only the suppliers of class A and B items are

Fig. 2. Existing entity types and material flows in the N95 FFR SC.

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Fig. 3. Major material flows and BOM in N95 FFR production.

included (Teunter et al., 2009; Wild, 2018). For the N95 FFR transported to distributors and then on to health care facilities. Here,
manufacturing plants, these items include: (1) spunbond nonwoven hospitals are assumed as the end consumers of N95 FFRs. The entity
fabric layers, (2) meltblown nonwoven fabric layers, and (3) ear strips types and material flow as described are depicted in Fig. 2.
and nose clip (Yam & Ng, 2020). To model the existing N95 FFR SC, the The data sources for the candidate entities of the existing (baseline)
total capacity for domestic N95 FFR manufacturing plants is set to 42 N95 FFR SC are provided in Table A1. These entities are connected to a
million pieces per month (500 million per year). This capacity is representation of the roadway network constructed using tools from the
equivalent to the domestic capacity at the end of 2019 (Mendoza et al., U.S. Federal Highway Administration (FHWA) (FHWA, 2017) in which
2020). The total national demand for N95 FFR masks is set at 2.1 billion the shortest path between each origin and destination (O-D) pair is
per year (173 million per month). This demand is based on estimates by modeled as a single arc.
Carias et al. (2015) and sources in Lovelace (2020) for N95 FFR needs, (2) Supply and Demand Attributes.
where between 1.5 and 3.5 billion FFR per year would be needed in a full In the existing SC, with the exception of the N95 FFR plants, all raw
pandemic scenario with 20 to 30% of the population ill. Domestic ca­ materials and middle products are presumed to be abundant and readily
pacity is expanded to satisfy this demand under the expanded SC available at domestic suppliers and manufacturers (e.g. nose clips) or
scenario. through import (i.e. crude oil). The capacity of the seven N95 FFR plants
The inputs and outputs for each module of the SC-RI analytical owned by top five domestic N95 FFR producers are 42 million per month
framework are given in the following subsections. and are listed in Table A2. In the case of expanded SC, raw materials and
middle products may be obtained through selection of new, domestic
suppliers or expanded capacity at domestic plants that already serve the
4.2. Framework module 1: SC-Profiling existing SC.
Consistent with pleas from the U.S. Center for Disease Control and
(1) Existing and Potential Entities and Connections. Preventions (CDC) at the onset of the COVID-19 pandemic, it is pre­
Flow from the major components needed in N95 FFR SC production sumed that all N95 FFRs are reserved for health care personnel (U.S.
begins with crude oil, which is assumed to arrive through the ports or CDC, 2020). As a proxy, the 4,365 NAICS-designated general medical
inland crude oil terminals, and is then directed to domestic refineries for and surgical hospitals as identified by the U.S. Department of Homeland
conversion into propylene. The propylene is then converted into poly­ Security’s Homeland Infrastructure Foundation-Level Data (HIFLD) (U.
propylene (PP) resin (PPRE) at PPRE plants. The PPRE is then converted S. DHS, 2020) serve as the product’s end customers in this study. This set
into spunbond polypropylene nonwoven fabric (SBPP) and meltblown of hospitals excludes, for example, rehabilitation, psychiatric and sub­
polypropylene nonwoven fabric (MBPP) in SBPP plants and MBPP stance abuse hospitals from the larger HIFLD U.S. hospital database. The
plants, respectively. Finally, the SBPP and MBPP fabrics are shipped to demand for each hospital is calculated in proportion to its number of
N95 FFR manufacturing plants and are cut into mask shapes that are beds.
then assembled with accessories (rubber ear strips and aluminum (AL) (3) Parameters for Cost Estimation.
nose clips), which are also shipped to the N95 FFR manufacturing plant, Parameters used in N95 FFR SC cost estimates are listed in Table A3.
to produce the final N95 FFRs. (4) BOM.
Each ear strip of the N95 FFR is made from a rubber sheet, which is The conversion ratio from crude oil to propene is presumed to be
imported through container-handling ports. The rubber sheets are cut 12% by weight (Corma et al., 2017) and 100% in other steps of the N95
into ear strips at rubber strip plants. AL nose clip production begins with FFR manufacturing process (Gahleitner & Paulik, 2014; Yam & Ng,
bauxite, a raw mineral material, that is received through bulk cargo 2020). Major material flows and materials needed in N95 FFR produc­
ports. The bauxite is smelted into an AL sheet in AL smelters. The AL tion are given in Fig. 3. For example, to make 1 m3 of ready-for-shipping
sheet is cut into small AL nose clips in AL clip plants. Both domestically N95 FFRs (containing 5,723 pieces of N95 FFRs and weighing 85.9 kg),
produced N95 FFRs (FFR_DPs) and imported N95 FFRs (FFR_IPs) are

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Fig. 4. Top 10 O-D flow increases in expanded SC vs. existing SC.

Fig. 5. Top 10 inflow (left) and outflow (right) increases in expanded SC vs. existing SC.

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Table 3 N95 FFR SCs can be found in Fig. A3 and Fig. A4, respectively.
Major impacts of expanded SC. By comparing Fig. A1 and Fig. A2, large increases in inflows and
Scenario N95 FFR outflows in the expanded SC were found at N95 FFR plants at the
following locations: Smithfield, RI; Valley, NE; Fort Worth, TX; and
Impact Existing SC Expanded SC Addition
Culver City, CA. As N95 FFR production increases in the expanded SC,
TMs (millions) 4.48 8.62 4.14 the crude oil flow out of the Port of Houston also increased. The top 10
TLs (thousands) 26.07 33.63 7.56
Traffic congestion (SRI) 2.56 2.59 0.03
O-D commodity flow increases (labeled with origin and destination city
Added maintenance cost 1.57 3.02 1.45 names with flow values given in TLs) and top 10 inflow and outflow
($ millions) increases for the 2-year study period are presented in Fig. 4 and Fig. 5,
Fuel consumption (million gallons) 1.48 2.9852 1.37 respectively.
Pollutant (thousand tons) CO 0.03 0.06 0.03
Outcomes of the impact analysis show that under the expanded SC,
CO2 16.44 31.62 15.18
VOC 0.01 0.02 0.01 the added TLs on the most affected routes from increased domestic
NOx 0.22 0.42 0.20 production is trivial. The maximum TL increase is found along the route
PM10 0.01 0.01 0.01 between the Port of Houston, TX and the refinery of Houston, TX
SOx 0.01 0.01 0.01 (Fig. 4), with a total TL increase of 3,470 (from 1,112 to 4,582 (only 1
truck per hour)). As a result, the SRI increases from 2.56 to 2.59
29.6 kg of SBPP and 12.3 kg of MBPP are needed. It is further estimated (Table 3), inferring that little to no traffic congestion is induced by
that 350.5 kg of crude oil, 31 kg of rubber sheet, and 13.5 kg of bauxide increased production in the N95 FFR SC. Similarly, relatively large in­
are needed to produce 1 m3 of ready-for-shipping N95 FFRs. creases in total inflow and outflow were noted at some entities (Fig. 5).
However, the maximum increase in absolute outflow and inflow in TLs
was also small at approximately 4,000 added TLs or 1 TL per hour. If the
4.3. Framework module 2: SC-Structure and commodity flow analysis
assumption that existing traffic conditions are uncongested with speeds
consistent with free flow conditions were relaxed, the impact on
Replication of the existing SC and optimal redesign for the expanded
congestion may have been notable, as even small increases in TLs can
SC are obtained from solution of their corresponding multi-commodity,
have impact when a roadway is operating near or at capacity limits.
multi-echelon, fixed-charge facility location problem formulations. The
entities and commodity flows were obtained using the Gurobi Optimizer
run to 99.95% of optimality (Gurobi Optimization, LLC, 2022). A typical 4.4. Framework module 3: SC-Impact analysis
run required less than 3 min on a laptop computer with an Intel Core i9-
12900 h CPU 5.00 GHz PC processor running with Windows 11. While the added truck traffic from increased production is expected
Resulting SC designs (selected entities and commodity flows) created for to have little impact on congestion, it is expected to cause significant
the existing and expanded SC are presented in Fig. A1 and Fig. A2, added roadway maintenance costs, fuel consumption, and emissions
respectively. (Table 3). Compared with the existing SC, a total added 4.1 million TMs
Outcomes of the analysis of existing and expanded N95 FFR SCs give is estimated to occur from the increased domestic production (Table 3)
insights into the potential impacts of reshoring. In the existing SC, (a 0.001% increase to the 300 billion overall national total TMs esti­
generally, customers in the Midwest and Great Lakes region are served mated in 2019 (National Center for Statistics and Analysis, 2021)). This
by five existing N95 FFR plants, while customers from coastal locations amounts to a 1.5 million increase of nationwide roadway maintenance
are served through imports directed into the nation at the seaports. costs (a 0.001% increase to the 83 billion U.S. roadway operational and
Middle products of SBPP and MBPP used in production of N95 FFRs and maintenance costs in 2017 (Congressional Budget Office, 2018), 1.4
the manufacturing plants are also assumed to be sourced similarly. million in added fuel consumed, and 16,000 additional tons of CO2
Crude oil is provided through the seaports in the Gulf of Mexico. Thus, emissions alone (a 0.0005% increase to the 1,478 million tons of U.S.
PPRE and PP that require crude oil as raw material are also produced in transportation CO2 emissions in 2017 (Office of Transportation and Air
the same region. The abundance of refineries and crude oil suppliers in Quality, 2021), assuming 80% of all GHG emissions in CO2 (U.S. EPA,
the Gulf of Mexico region, coupled with the high set-up costs for con­ 2015)). If increasing production of products from various industries
structing new refineries or having new crude oil suppliers make use of were to take place, including bulkier products, such as food, petroleum
existing facilities in this region economically advantageous. and coal products, and nonmetallic mineral products, total added TMs
In the expanded SC, customers in East Coast cities are primarily and related impacts on the transportation system could be significant.
served by an expanded N95 FFR plant in Rhode Island. Such expansion There are added safety concerns for other roadway users and sur­
enables replacement of N95 FFR imports through the seaports and is rounding communities associated with increased TMs and TLs. These
profitable due to the high demand in the region. Customers in West include incidents involving hazardous materials (hazmat). Considering
Coast cities are served by a newly set up plant in California, as there are only hazmat involved in the production of the N95 FFRs, specifically,
no existing plants in the region and transportation costs from the Mid­ petroleum crude oil and plastic fibers (MBPP and SBPP fibers), the first
west or East Coast would be too high. Some customers in the Midwest of which is classified as a flammable liquid and the second as sponta­
and Great Lakes area are served by expanded N95 FFR plants in the neously combustible according to Hazardous Materials Regulations
region. A new SBPP and MBPP plant is set up to supplement middle (2021), increased domestic production of this product would lead to an
product requirements needed to supply the expanded N95 FFR plant in added roughly one million TMs of hazmat transport per year (Table A4).
Rhode Island, while an increase in output from existing SBPP and MBPP According to data obtained from FMCSA Analysis Division (2019), there
plants in the Midwest and Great Lakes area supplement requirements at were 150 heavy trucks involved in crashes per 100 million vehicle miles
other N95 FFR plants. The increase in demand for these middle products traveled in 2017. Thus, one additional hazmat incident per year can be
is significant enough to justify expanded local production and the expected as a result of increased N95 FFR production in this case study.
opening of domestic plants. No new PPRE, PP or crude oil suppliers are Five nonhazmat truck-related incidents per year can also be expected.
set up. Instead, output from existing plants is increased. Details of flow This is based on 450,000 police-reported crashes involving heavy trucks
volumes in TLs between selected facilities in the existing and expanded in 2017 for 298 billion total heavy truck vehicle miles traveled in the

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Fig. 6. Sensitivity of total TL with N95 FFR (a) demand and (b) plant capacity.

Fig. 7. Sensitivity of total TM with N95 FFR (a) demand and (b) plant capacity.

same year in the U.S. (FMCSA Analysis Division, 2019). For the expanded SC in this study, N95 FFR production increased by
The case study also revealed that raw material or middle product more than 3 times the existing output. However, total TL and TM in­
transportation increases as a consequence of increased N95 FFR pro­ creases were estimated to be only 30% and 90%, respectively. That is,
duction were key contributors to increased domestic TLs and TMs. In the through efficiencies in SC expansion and/or restructuring as presumed
expanded SC, the raw material or middle product TLs are almost four in the application of optimization techniques within the analytical
times of that of the existing SC (Table A4). Similarly, the raw material or framework, domestic logistical capacity requirements and related im­
middle product TMs are almost three times of that needed in the existing pacts can be reduced. That is, they need not grow even linearly with
SC design (Table A4). To increase domestic production of a final prod­ increased production output.
uct, more bulky raw material and middle products will be transported to
the manufacturing plants for such increased domestic production. In 4.5. Sensitivity analysis
fact, raw material and middle product related TM and TL increases ac­
count for 40% and 100%, respectively, of total increases. While omitted Parameters, including customer demand, capacity of existing N95
in prior studies (e.g. Sarder et al., 2016), this localized raw material or FFR plants, freight rate, import price for N95 FFRs, investment costs, and
middle product freight demand increase was found to be a main cause of domestic labor prices, are scaled by a multiplier to create values
increased domestic freight demand and resulting burden to the trans­ consistent with a range of of 75% to 125% in conducting a sensitivity
portation system due to the increased domestic N95 FFR production. analysis of the methodology. Results of the sensitivity analysis show that
Additionally, the added hazmat incident risk from expanding domestic total TLs and TMs increase roughly linearly with increased total N95 FFR
production is revealed only by modeling raw material and middle demand ((a) in Fig. 6 and (a) in Fig. 7). With increase demand for N95
product movements within the SC model. FFRs, imported products, domestic production and TLs and TMs increase

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Fig. 8. Heatmap of TMs varying with freight rates and investment costs in (a) existing and (b) expanded SCs.

Fig. 9. Heatmap of TMs varying with import price and labor prices in (a) existing and (b) expanded SCs.

accordingly. Total TLs and TMs were not found to be sensitive to the costs did not affect the total TLs (i.e., total volume of commodities
capacity of existing N95 FFR plants ((b) in Fig. 6 and (b) in Fig. 7). transported).
Increasing domestic N95 FFR capacity led to increased domestic pro­
duction and related reduction in the import of these products. 5. Conclusions and extensions
The joint effects on total TMs from varying freight rates, investment
costs, import prices and labor prices are presented through heatmaps in This paper proposes an analytical framework and related techniques
Fig. 8 and Fig. 9. Total TMs in both existing and expanded SCs increase for assessing the impacts of expansion in domestic manufacturing and
with facility investment costs but decrease with increasing freight rates production and related SC restructuring and/or expansion on the oper­
(Fig. 8). When freight rates are high, it would be expected that the SC ation and maintenance of our roadways. Application of the proposed
would be designed to reduce total TMs to save in costs, while when fa­ framework on a case study involving increased domestic production of
cility investment costs are high, costs can be reduced by building fewer N95 FFRs, a critical product, was used in investigating the importance of
facilities at the cost of increased TMs. Import and labor prices affect the considering such impacts on added total freight demand in TLs and TMs,
total TMs in a less obvious way (Fig. 9). Here, a high labor price led to roadway maintenance requirements, domestic fuel consumption,
increased production costs and, thus, increased imports. TLs from the domestically-produced emissions and truck-based (including hazmat)
ports increased while inland TLs decreased, but these occurred with a incidents. Even for a very light and low-volume product as N95 FFRs,
combined effect of a trivial change in total TMs, as simultaneous in­ impacts in terms of TMs were found to be nontrivial. For manufacturing
creases in import and labor prices are neutralizing. Total TLs was not industries of heavier and/or larger products, such as furniture or
found to be sensitive to these four factors. Freight rates and investment apparel, or industries requiring the movement of many different types of

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raw materials, the impacts may be very significant. This paper provides Moreover, only the transportation of materials/commodities that are
the analytical approaches needed to estimate these impacts. The po­ contained in the final product of the SC are included in the evaluation.
tential impacts on a nation’s infrastructure are important to understand However, to deliver a final product through a SC, there are demands on
as nations increase their domestic production goals. A nation may need and additional impacts to other infrastructure lifelines, including of note
to consider major roadway and other infrastructure investments to water supply and treatment, power, and sanitation, that might also be
support successful reshoring and/or increased domestic manufacturing included. Consider, for example, a case for increased domestic produc­
and production programs designed to achieve these goals. tion in the semiconductor industry. In 2019 alone, global Taiwan
As revealed in this case study, the transport of raw materials and Semiconductor Manufacturing Company (TSMC) microchip fabs pro­
middle products is a major contributor to the negative impacts of duction processes consumed 64.3 million metric tons of water (equiva­
increased domestic production, increasing both the roadway infra­ lent to the annual consumption of 155,000 households (U.S. EPA, 2017))
structure burden and hazmat incident risk. In the proposed analytical and 13,576 GW of electricity power (equivalent to the annual con­
framework, transportation of key materials and middle products needed sumption of 1.3 million residential utility customers (U.S. EIA, 2019)),
at every production step of the SC are studied, separating this work from and generated 197,131 metric tons of hazardous waste (TSMC, 2020).
other relevant prior works, as prior works that estimate the impact of A “carbon footprint”-like approach might be used to expand the
changes in production on the transportation infrastructure have analyses enabled by the proposed framework wherein, for example,
considered primarily the movement of the final product. Only one work added fuel consumed and emissions produced by all vehicles using
accounted for impacts from raw materials movements (Hajibabai et al., impacted roadways would be included. The ultimate tool would account
2014). That work, however, considered added maintenance costs and for these added tiers of impact as well as the effects of the SC changes on
travel delays in designing local logistical routes and plant locations with all infrastructures.
a SC representation involving the movement of a single input (corn) for Finally, the framework requires an understanding of the SC struc­
production of biofuel that would ultimately move to demand locations. ture, geographical extent, flows, and related parameters, e.g. costs,
Also of note, a potential secondary benefit of the optimization core of the which are often proprietary. This is, in part, overcomed by the proposed
proposed analytical framework is a tool to support optimal SC restruc­ optimization approach used in the SC-Structure and Commodity Flow
turing with improved efficiencies. Analysis module of the framework that obviates the need for exact
This study presumes that transportation costs can be obtained from layout information. With exact details, however, a more precise
freight rates, distance traveled and freight volume moved. A more assessment can be completed.
realistic representation of these costs could employ rates that are specific
to the O-Ds. Additionally, transportation cost structures for those com­ Funding
panies that have their own truck fleet would require an alternative
costing methodology for the transport costs. Herein, transport costs are This work was sponsored by the USDOT University Transportation
small in comparison with labor costs. Refinements to transportation cost Center, Center for Integrated Asset Management for Multimodal
estimates for such purposes, thus, are expected to have only small effect Transportation Infrastructure Systems (CIAMTIS), federal grant
on the overall findings. 69A3551847103.
The proposed analytical framework can also be used to assess the
potential impacts on roadway infrastructure of local or national support CRediT authorship contribution statement
for increasing domestic production over a set of possible locations. That
is, as a nation seeks to attract companies to expand their production Qiang Chen: Data curation, Methodology, Formal analysis, Writing
capacity within its borders, the impacts of such decisions, including – original draft. Elise Miller-Hooks: Funding acquisition, Methodology,
facility siting, can be assessed and compared. Likewise, the analysis can Formal analysis, Project administration, Writing – review & editing.
be used in considering varying localization and regionalization strate­ Edward Huang: Methodology, Resources, Writing – review & editing.
gies. These estimates can aid a nation in aligning their economic goals
with their environmental and social welfare goals. Declaration of Competing Interest
There are significant benefits that can come from SC reshoring, and a
tradeoff analysis can be completed to determine whether the benefits The authors declare that they have no known competing financial
outweigh these negative consequences. This paper provides the means interests or personal relationships that could have appeared to influence
for evaluating some key, infrastructure-related, negative consequences. the work reported in this paper.
A second study that employs the methodology proposed herein to
investigate U.S. transportation infrastructure readiness for SC trans­ Data availability
formation toward greater national resilience (Chen et al., in review)
contrasts these and other negative consequences of reshoring against All data used or created in the study is included in the paper.
gains in national resilience, job creation and increased GDP. National
resilience, while defined therein as a function of reduced economic Acknowledgments
losses as in (Rose, 2007), can be expanded to account for reductions in
loss of life that could result from securing access to key medical pro­ This work was sponsored by a grant from the Center for Integrated
tective devices like the N95 FFRs. Asset Management for Multimodal Transportation Infrastructure Sys­
This framework was tested on only one SC in this study. However, tems (CIAMTIS), a U.S. Department of Transportation University
the proposed analytical framework is broadly applicable and can be used Transportation Center, under federal grant number 69A3551847103.
to identify industries whose domestic growth could have more dramatic The authors are grateful for the support.
and troublesome impacts for the transportation system (such as Ma­
chinery, Furniture, Fabricated Metals, Plastics and Rubber, Trans­ Appendix
portation Goods, and Apparel and Textile), or might not align with
sustainable development goals.
This paper focuses on the impacts to roadway networks, as 70% of
cargo transported within the U.S. is moved by truck (U.S. DOT et al.,
2020). The framework can be extended to capture the potential impact
on other transportation modes, such as railway, waterway, and airways.

12
Q. Chen et al.

Table A1
Data sources for locations of entities in each echelon.
Entity echelon Data source Comments

Oil suppliers HIFLD database (U.S. DHS, 2020). There are 26 oil ports in the Oil Ports file with “KBBL_CRUDE” value more than 10,000, 32 petroleum terminals in the Petroleum Terminal file with “CRUDE” in the
Bulk ports “COMMODITY” field and “CAPACITY” value more than 5,000,000, 48 continental Bulk Ports and Container Ports in Major Ports file with “GRAND_TOTAL” over 10
Container ports million, 19 Oil Refineries in Oil Refineries file with “CATHYDCRCK” over 45,000, and 4,365 Hospitals in Hospital file with “NAICS_DES” labeled as “GENERAL
Oil refineries MEDICAL AND SURGICAL HOSPITAL”.
Hospitals
Plastic plants Nonwovens Industry Magazine (Rodman There are 3 PPRE companies in the raw material and the Resins-Polypropylane catalog, 7 featured MBPP companies under the Roll Goods by Type and the spunbond
SBPP plants Media, 2021) catalog, 6 featured SBPP plants under the Roll Goods by Type and the meltblown catalog. Locations are obtained from companies’ websites (Headquarter locations are
MBPP plants used for those having many locations).
N95 FFR Plants ProcurementIQ (ProcurementIQ, 2020) Plant names in Table A2
Distributor’s Wikipedia (“List of United States Cities by Assumed at the centroid of top 48 populous U.S. continental cities
warehouses Population,” 2021)

13
Table A2
Capacity of major N95 FFR plants at end of 2019.
Plant and location Monthly Comments
capacity
(million pieces)

Honeywell at Smithfield, RI 10 According to ProcurementIQ (2020), Honeywell will add 120 million capacity per year (10 million per month) to achieve a capacity of 20 million per month; existing capacity at
Smithfield, RI site is 10 million per month.
Honeywell at Phoenix, AZ 0 According to Stoney (2020), the plant at Phoenix, AZ is a new site for Honeywell which means the existing capacity at this site is zero.
3 M at Valley, NE 7.0 According to David & DeCarlo (2020), 3 M total capacity at the end of 2019 was 22 million, with the Aberdeen, SD as the major site; Here the capacity at Valley, NE was assumed to be half
of that at Aberdeen, SD.
3 M at Aberdeen, SD 15.0 According to values for 3 M at Valley, NE.
Moldex-Metric at Culver City, 0 From this Website (ProcurementIQ, 2020), Moldex was temporarily permitted to supply N95 FFRs for industrial use to medical use during the Covid-19 pandemic.
CA
Prestige Ameritech at 7.5 From this Website (Paris Martineau, 2020), before the pandemic, the Prestige Ameritech was making 250,000 masks per day for a capacity of 7.5 million per month.
Fortworth, TX
O&M Halyard at Del Rio, TX 2.5 From this Website (Mendoza et al., 2020), capacity of the 5 U.S. producer was 42 million, and this leads to the estimation of capacity of O&M Halyard at Del Rio, TX as 2.5 million per
month.
Summary 42.0
Computers & Industrial Engineering 178 (2023) 109116
Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Table A3
Cost parameter estimation.
Cost type Cost parameter Parameter value Comments

Investment SBPP plant fixed opening cost $240,000 per year For a $12/year/sqft. rental price (LoopNet.com, 2021) with the industry space for a
typical SBPP plant at roughly 20,000 sqft. (Schmidt, 2020)
MBPP plant fixed opening cost $240,000 per year Same as SBPP plant
N95 FFR plant fixed opening cost $720,000 per year For a typical N95 FFR plant at roughly 60,000 sqft. (JLL, 2020)
Distributor fixed opening cost and $140 per day Ivanov (2017)
fixed expansion cost
Other facilities fixed opening cost $2 per day Ivanov, (2017)
Other facility fixed expansion cost $2 per day Assumed
N95 FFR unit (2.5 million per $2 million David & DeCarlo (2020)
month) expansion cost
SBPP plant unit expansion cost $61,500 Guanlong Machinery Service (2021)
MBPP plant unit expansion cost $80,7000) Kunststofee international (2021)
Transportation TL rate (used for transportation of $2.5/mile DAT Solutions, LLC, (2020)
other commodities)
LTL rate (used for N95 FFR $0.01/kg/mile Ivanov (2017)
transportation)
Truck capacity 68 m3 Cerasis Inc. (2015)

Crude oil density 816 kg/m3


Propene density 525 kg/m3
PP resin density 900 kg/m3
SBPP layers (25 g/sqm) packaging 0.6 m*1.75 m in roll (weights 10 Global Sources (2021a)
kg)
MBPP layers (40 g/sqm) packaging 0.4 m*1.6 m in roll, with weights TESTEX Instrument Ltd. (2020)
of 38.4 kg
The N95 FFRs packaging 0.52 m*0.42 m*0.32 m (400 units, Shanghai Dasheng Health Products Manufacturing Co., Ltd. (2021)
with weights 6 kg)
Procurement SBPP $0.44 per sq ft Ievtushenko (2012)
MBPP $20,000 per ton) Global Sources (2021b)
N95 FFR $1.5 per unit United States International Trade Commission U.S., 2021
Production N95 FFR plant $26.5 per hour JobGet (2020)

Table A4
Comparison of TMs and TLs for N95 FFR in existing and expanded SCs.
TMs (Thousand) TLs

Commodity Existing Expanded Increase Existing Expanded Increase Supplier Code

Crude oil 6 25 19 1113 4583 3470 PORT


Propene 6 23 18 208 853 645 REFI
PPRE for SBPP 42 320 277 86 351 265 PPRE
PPRE for MBPP 39 191 152 36 147 111 PPRE
SBPP 400 846 446 514 2105 1591 SBPP
MBPP 159 570 412 202 826 624 MBPP
Bauxite 1 2 2 28 113 85 IMPT
Aluminum sheet 4 18 14 4 15 11 ALUM
Aluminum clip 11 48 37 31 126 95 CLIP
Rubber sheet 18 87 69 108 439 331 IMPT
Rubber strip 41 146 105 108 440 332 RUBD
N95 FFR produced 695 5246 4551 2595 10,693 8098 RESP
N95 FFR Imported 1963 0 − 1963 8098 0 − 8098 IMPT
N95 FFR 1100 1100 0 12,935 12,935 0 DIST
Raw/Mid. prod. 725 2277 1551 2438 9998 7560
Final prod. 3758 6346 2588 23,628 23,628 0
Total 4484 8623 4139 26,066 33,626 7560

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Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Fig. A1. Layout and commodity flows of existing N95 FFR SC.

Fig. A2. Layout and commodity flows of expanded N95 FFR SC.

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Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

Fig. A3. Flow diagram (in TLs) of existing N95 FFR SC (from oil suppliers to N95 FFR plants).

Fig. A4. Flow diagram (in TLs) of expanded N95 FFR SC (from oil suppliers to N95 FFR plants).

16
Q. Chen et al. Computers & Industrial Engineering 178 (2023) 109116

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