Establishment of a Chemicals Working Group in the Physical Internet Realization Council

The Mitsubishi Chemical Group, Mitsui Chemicals, Inc., Tosoh Corporation, and Toray Industries, Inc. announce the establishment in July 2023 of a "chemicals working group" within the joint Ministry of Economy, Trade and Industry-Ministry of Land, Infrastructure, Transport and Tourism-led "Physical Internet Realization Council", with the four companies acting as secretariat.

Background and aims

While consignments of mainly smaller cargoes are increasing, aging drivers and seamen and personnel shortages signal a continuing tough situation for the Japanese logistics industry. When the logistics "2024 problem*" is added, the shortage of shipping and storage capacity in the future logistics industry becomes one of the biggest problems facing the chemical industry. Moreover, as transportation methods and conditions for chemicals vary according to their specific physical properties, packaging conditions, and cargo weight, it is difficult for individual companies to take effective measures on their own.
To solve these problems, a chemicals working group will be established with the four companies acting as secretariat. Starting July 2023, this working group will take measures such as the formulation, communication to stakeholders, and execution of action plans for the reform of logistics business practices, standardization, and DX promotion, aiming at implementing sustainable logistics based on the twin pillars of productivity/safety and CO₂ emissions reduction.

Participating companies/university (44 companies, 1 university listed in Japanese alphabetic order)

The participation of logistics providers and cargo shippers across the chemical industry is requested.

Secretariat

The Mitsubishi Chemical Group, Mitsui Chemicals, Inc., Tosoh Corporation, Toray Industries, Inc.

Observers

• Logistics Planning Section, Consumer Affairs, Distribution and Retail Industry Division, Commerce and Service Industry Policy Group, Ministry of Economy, Trade and Industry
• Material Industries Division, Manufacturing Industries Bureau, Ministry of Economy, Trade and Industry
• Logistics Policy Division, Policy Bureau, Ministry of Land, Infrastructure, Transport and Tourism
• Japan Chemical Industry Association
• Japan Petrochemical Industry Association

Establishment　 July 2023

Reference

Physical Internet Realization Council

Established in October 2021 by the Ministry of Economy, Trade and Industry and the Ministry of Land,Infrastructure, Transport and Tourism with the aim of formulating a roadmap for the realization of a physical Internet in Japan. The physical Internet is a concept based on adopting the workings of the Internet, i.e., the effective transmission of packeted chunks of data, in a physical form, namely for the logistics world.
https://www.meti.go.jp/shingikai/mono_info_service/physical_internet/index.html (Japanese version)

"The Mitsubishi Chemical Group, Mitsui Chemicals Launch Study into Joint Logistics —Aiming to standardize and optimize chemical logistics through the use of DX—" : press release dated January 27, 2023

https://www.mcgc.com/english/news_release/pdf/01457/01695.pdf

* : April 2024 will see new regulations implemented as part of Japan’s Act on the Arrangement of Related Acts to Promote Work Style Reform, including upper limits on overtime hours in driving jobs. This has created concerns about the potential for labor shortages and other such issues in the logistics industry.