Optimization Design for Hub-and-Spoke Container Shipping Network Considering CO2 Emissions

With the development of global economic integration, the container shipping has become the main transportation of world shipping industry. Shipping companies usually employ hub-and-spoke shipping network in order to chase for optimal economic benefits. The CO 2 emissions system of global maritime has a direct effect on shipping company’s design for hub-and-spoke container shipping network. With the constraints of container flow equilibrium and hub port capacity limit, a hub-and-spoke container shipping network optimization model by considering CO 2 emissions is established. Under the measurement of container transportation costs, harbor dues and CO 2 emissions costs, the shipping company reconsider the optimal shipping routes and make decision of hub ports to be calling. The decision made by the company should aim to reduce the total shipping costs. Lagrangian relaxation algorithm is applied to solve the model. Numerical experiments show that the model and algorithm are effective. After analyzing the impact of hub ports to hub-and spoke network design, we get to the conclusion that, CO 2 emissions costs are negatively correlated with utilization ratio of hub port. And hub port capacity limit also affects the port selection decision making of shipping companies. The hub-and-spoke container shipping network optimization model by considering CO 2 has a great impact for the decision making and route optimization of the shipping companies in the future.