Abstract:In order to explore the relationship between carbon emission and Closed-Loop Supply Chain (CLSC), carbon emissions was used as a penalty factor of profits, and a model of dynamic CLSC with two-echelon remanufacturing under disruption of carbon emissions was set up. Using numerical simulation, the model compared and analysised the trends of profits under the condition of carbon emissions and those without, and discussed any significant influences on products recovery ratio, distribution of profits, production changes of remanufacturing and manufacturer under different values of profits penalty. The result shows that with the increasing values of profits penalty, the products made by manufacturer would substitute those made by remanufacturing and the main profits of CLSC flowed to remanufacturing, which indicates that products recycling presents effective and decisive effect on shrinking carbon emissions of CLSC.