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Environmental and socio-economic implications of solar photovoltaic reshoring under the EU Net Zero Industry Act: a hybrid input–output assessment

Lorenzo Rinaldi; Raffaele Merletti; Camilla Citterio; Nicolò Golinucci; Matteo Vincenzo Rocco
Journal of Industrial Ecology · 2026

Abstract

The photovoltaic supply chain is complex and geographically concentrated. Assessing the impacts of policies targeting it requires models that explicitly represent supply-chain structure. While process-based life-cycle assessment truncates economy-wide effects and top-down input–output models are too aggregated to resolve individual manufacturing stages, our study develops a hybrid framework integrating a process-based PV supply chain model into the multi-regional input–output accounting structure of EXIOBASE. The model is first verified against reference literature ranges of solar electricity carbon footprints and producer prices, showing literature-consistent results that purely top-down models miss by omitting productive capital. The framework is applied to the Net Zero Industry Act, a major European Union (EU) reshoring policy, under a scenario where 40% of module demand is supplied domestically. Results show that reshoring mainly affects downstream stages, while upstream production remains largely external, leading to moderate changes in consumption-based emissions and limited gains in EU value-added and employment.

Bibliographic Information

JournalJournal of Industrial Ecology
PublisherSpringer
Publication Date2026-09-03
Publication Year2026
Document TypeJournal Article
Print ISSN1088-1980
eISSN1530-9290
DOI10.1007/s44498-026-00175-0

Access Information

NARA Access Coverage1997-01-01~Current
Journal Homepagehttps://www.springer.com/journal/44498
Publisher PageOpen Publisher Page
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