The Chemicals Working Group within the Physical Internet Implementation Conference led by the Ministry of Economy, Trade and Industry and the Ministry of Land, Infrastructure, Transport and Tourism will conduct demonstration experiments for collaborative logistics realization in the Kanto and Tokai regions from September to December 2024, with Chiba City and Yokkaichi City in Mie Prefecture as relay points. In this demonstration experiment, digital technology will be used in the transport-intensive Kanto and Tokai regions to aggregate truck and cargo dynamic information in a common data format, visualize loading rates and operational numbers, and consider building a platform for collaborative logistics for optimal transportation. In the future, we aim to achieve collaborative logistics in the Kanto and Tokai regions and build a transport model that can be deployed throughout Japan.
Challenges in chemical transportation
As symbolized by the 'logistics 2024 problem', the lack of transportation and storage capacity in logistics is a serious issue for the chemical industry. It is estimated that the transportation capacity of commercial trucks will be 34% short by 2030.
Due to the special properties, packing form, weight, and other characteristics of chemical freight, various transportation methods and conditions are involved in chemical logistics, and there are limits to solving problems on a company-by-company basis, because they have relationships with both shippers and recipients. In the past, regarding collaborative transportation led by manufacturers, it was difficult to realize a shared platform because each company had different data formats, making analysis difficult.
To solve these problems, the Chemicals Working Group Secretariat of four companies (Mitsubishi Chemical Group, Mitsui Chemicals, Tosoh, Toray Industries) has decided to conduct demonstration experiments for collaborative logistics based on transportation data, aiming for collaborative logistics.
Overview of the demonstration experiment
In this demonstration experiment, digital technology will be used in the transport-intensive Kanto and Tokai regions to aggregate truck and cargo dynamic information in a common data format, visualize loading rates and operational numbers, and analyze the data to build a platform for collaborative logistics for optimal transportation.
Duration: September to December 2024.
Main content:
① For the transportation of the Secretariat's four companies, two models, Case A (Yokkaichi-Ichihara-Tohoku) and Case B (Hokuriku-Nagoya), will be set up, and joint transportation will begin, such as aggregating one-way transportation and collecting dynamic data on trucks and cargo from a smartphone terminal lent to truck drivers.
② While utilizing digital technology and the logistics information standard guidelines※4, collect data in a common data format, visualize loading rates, operating numbers, etc., and analyze them.
③ Based on the analysis results, we will collaborate with logistics companies to consider building a platform for collaborative logistics for optimal transportation.
Expected results and future plans
In this demonstration experiment, we plan to receive support from vendors with experience in introducing digital technology and standardization methods, and also to use government subsidies. We plan to conduct the verification report by the Chemicals Working Group in January 2025. The data collected in this experiment will also be used to shift to other modes of transportation, such as railways and sea freight, to reduce waiting time and load handling time, which are among the 13 items that need to be implemented by the consignor, as indicated in the government guidelines, as well as for logistics digitalization, standardization of equipment and codes, and paperlessness.
In addition, the data collected this time will be used not only for collaborative logistics but also for achieving the 13 items that consignors need to implement as indicated in government guidelines, such as modal shift to railways and sea freight, logistics cooperation such as mainline and area collection and delivery, and equipment and code standardization and paperlessness for logistics digitalization.
We will contribute to the sustainability of Japan's chemical industry by achieving GHG reduction and sustainable logistics through the construction of a transportation model that can be expanded throughout Japan in the future.
*1 Physical Internet Realization Conference
An organization established by the Ministry of Economy, Trade and Industry and the Ministry of Land, Infrastructure, Transport and Tourism in October 2021 with the aim of formulating a roadmap for the realization of the Physical Internet in Japan.
https://www.meti.go.jp/shingikai/mono_info_service/physical_internet/index.html
*2 Chemicals Working Group
Chair: Professor Yuji Yano, Doshisha University / Secretariat: Mitsubishi Chemical Group, Mitsui Chemicals, Tosoh, Toray Industries
80 participating organizations centered on shippers and logistics companies (79 companies and 1 university as of the end of May 2024), the Japan Chemical Industry Association, the Petrochemical Industry Association, and related departments of the Ministry of Economy, Trade and Industry and the Ministry of Land, Infrastructure, Transport and Tourism are participating.
December 20, 2023 announcement: voluntary action plan for the rationalization and productivity improvement of chemical logistics
https://www.cas.go.jp/jp/seisaku/buturyu_kakushin/jk_pdf/28.pdf
*3 Cabinet Secretariat Meeting of Related Ministers on the Innovation of Our LogisticsKey points of the policy package for logistics innovation
*4 Logistics Information Standard Guideline
In the "SIP Smart Logistics Service" of the Cabinet Office, which was formulated and announced in October 2021 after discussions with industry stakeholders, the Logistics Information Standard Guideline is positioned as being utilized in the "Physical Internet Roadmap" (formulated in March 2022) compiled by the Ministry of Economy, Trade and Industry and the Ministry of Land, Infrastructure, Transport and Tourism. By utilizing this guideline, it is expected that the unification of data will promote the development of services such as joint transportation and joint storage, making it easier to streamline logistics while reducing costs for each company's individual adjustments due to different data and running systems.
https://www.lisc.or.jp/
Above.