The Mitsubishi Chemical Group and Mitsui Chemicals, Inc. (Tokyo: 4183; President & CEO: HASHIMOTO Osamu) have launched a joint study into standardizing and optimizing chemical logistics, which underpin society and industry alike.

The companies intend to gradually roll out efforts under a number of relevant themes, with those that can be quickly put in place set to be implemented starting this fiscal year. Hopes are to lead the way on cross-company efforts in the chemical industry's logistics sector, where companies often have similar issues.

Through these efforts, the Mitsubishi Chemical Group and Mitsui Chemicals will aim to achieve stronger, more sustainable chemical logistics.

Background of the project

Recent years have brought both COVID-19 and a considerable number of natural disasters, increasing recognition around the importance of building stable supply chains. Yet while the logistics industry, which supports these supply chains, is growing - especially for consumer goods, which tend to involve smaller loads - the average age of truck drivers and sailors is on the rise, creating a labor shortage and in turn a tight supply-demand balance. And between this and the 'year 2024 problem1' being predicted in Japan, the management of both Mitsui Chemicals and the Mitsubishi Chemical Group expect shortages of transportation and storage capacity in the logistics chain to become a major issue.

Themes to be studied and to be rolled out in stages beginning this fiscal year

Collaborative transportation in the Nagoya area and other areas Consolidate product shipments in the Nagoya area, where both companies have works and plants, to enable collaborative transportation to that area and other areas.

Mutual use of transportation networks Make mutual use of the Mitsubishi Chemical Group's transportation network in western Japan and the Kanto area, and Mitsui Chemicals' transportation network in the Tohoku area, with a particular focus on small and medium cargo.

Collaborative use of coastal trading vessels Lend, borrow and make joint use of chemical tankers to increase fill rate and contribute to BCP.

Expansion of collaborative logistics projects that use tools for transportation route matching Implement systems to optimally match cargo with vehicles, starting with experimental use between the two companies before eventually moving to matching setups that include many other companies as well.

Further, Mitsui Chemicals and the Mitsubishi Chemical Group will look to standardize and develop an information base for chemical logistics - steps that will be crucial to pursuing joint logistics - by leveraging the activities of a regional logistics networking council under SIP2 in conjunction with national government, local government and other organizations.

Contact:

Tel: +81-3-6748-7140

(C) 2023 Electronic News Publishing, source ENP Newswire