Glossary

Japan's "2024 problem"

Written by one to ONE Holdings | Dec 27, 2024 6:55:14 AM

Japan's "2024 Problem" is a nationwide socioeconomic challenge that began in April 2024. New labor regulations for truck drivers, construction, and healthcare workers, which came into full effect then, have directly exacerbated a pre-existing labor shortage in a rapidly aging workforce

The result is a potential for higher operational costs and widespread disruptions across Japan's domestic supply chains, with impacts extending to manufacturing and retail, for example.

However, this crisis is also a critical driver for change, compelling Japanese businesses to accelerate a long-overdue modal shift toward more sustainable alternatives like rail and shipping. This necessity is pushing the nation's logistics sector to transition toward a more resilient and balanced system.

See also: Japan's Logistics Crisis