Logistics strategy simulation of second-ranked ports on the basis of Japan's port reforms: a case study of Hakata Port

As a result of the port reforms in Japan, the Japanese government has intensively invested in physical infrastructure to maintain the trunk routes at selected and legally repositioned first rank strategic international ports under the Strategic International Container Port Policy. However, although central international ports, which are legally ranked second, have important roles to play in trade with Asia, it is difficult to expand the functions of these ports further without the development of strategic measures, given the government policies and accompanying budget constraints. This paper describes an examination of the feasibility of logistics strategies for a second-rank port to become a hub for Asia in Japan consistent with the current policy by using the global logistics intermodal network simulation, considering Hakata Port as a case study. The results show that Hakata Port has the potential to collect cargo from ports on the Japan Sea side and to launch shuttle services to Southeast Asia. The simulation results also suggest that cooperation with Kitakyushu Port, which is geographically close, is desirable. Approaches based on the characteristics of port governance in Japan are also presented.