Fujio Uemura is required to take breaks following a night of driving fish to Tokyo, as new regulations are being implemented that trucking firms and industry experts claim are crippling Japan’s logistics sector and could lead to increased prices for consumers.
The new rules aim to reduce the burden of underpaid truck driving jobs and attract younger workers in Japan, where approximately 90% of goods are transported via road.
“In the past, I would drive as long as possible before stopping,” Uemura shared after completing a 1,000-kilometer (620-mile) trip from Oita in southern Japan with a load of fresh fish fillets.
“Long hours have never bothered me; it’s simply part of my job,” remarked the 59-year-old as he jumped down from the cab of his refrigerated 10-ton truck.
Since April, truck drivers have a maximum annual overtime limit of 960 hours, or an average of 80 hours per month, along with regulations regarding mandatory breaks.
Previously, there were no effective limits, leading many drivers to work continuously to improve their low pay. However, this lifestyle can be isolating and unhealthy, contributing to significant health issues like heart disease and strokes.
‘Immediate Concern’
Most of Japan’s roughly 63,000 trucking companies are small operations with 10 or fewer vehicles, many of which were already struggling even before the enforcement of these new rules.
To survive, these companies often resorted to lowering prices or offering free loading and unloading services, typically done by hand, while drivers spent hours waiting without extra compensation.
The new regulations could exacerbate the situation, according to Haruhiko Hoshino, a senior official at the Japan Trucking Association. “Reducing hours means rejecting jobs, which in turn means some items may not be delivered,” he stated.
A study often referenced by the government indicates that without significant reforms, Japan could be unable to transport up to 34% of its domestic cargo by 2030.
Transport Minister Tetsuo Saito acknowledged the government’s commitment to addressing what he called an “urgent issue,” with effects already manifesting in recent shortages of aviation fuel at airports and delays in fruit and vegetable deliveries.
‘Consumers Will Bear the Costs’
Experts like Hiroaki Oshima, a professor at Ryutsu Keizai University, suggest that the ultimate solution will be for consumers to face higher prices.
This poses a challenge for Japan’s new Prime Minister Shigeru Ishiba, who will need to navigate potential backlash from voters already facing inflation’s impact on their incomes.
“Ultimately, society as a whole—including those who send and receive goods—needs to shoulder the fair share of costs,” Oshima explained.
Uemura used to gather fish products from various locations in his region and transport them to Tokyo himself, but now separate drivers are dispatched for pickups, leading to increased costs for his employer Portline Service, which amounts to an additional ¥1.3 million ($8,750) per month.
“We are the ones suffering. It shouldn’t only be us or our clients covering these expenses,” Portline’s owner Katsuya Doi stated, as he collaborates with competitor firms to share workloads, discuss fee increases, and raise consumer awareness through public seminars.
Despite these challenges, Uemura’s son, at 35, has chosen to take up truck driving after leaving the shipbuilding industry. “I warned him that sleep won’t come easily,” Uemura joked, adding, “You earn more with your efforts.”
