A logistics policy is different from a transportation policy. In Japan, the public logistics policy, introduced first in 1960s, included the Compound Terminal in order to promote the Intermodal Transportation System .
In 1996, the Council of Transportation Policy in the Ministry of Transportation discussed why the public logistics centers should be developed in Japan. They concluded that public logistics centers would have the following six purposes.
(1) the Center toimprove distribution efficiency
(2) the Center topromote modal shift (Multi Modal Transportation System)
(3) the Center for transshipment of trucks (Truck Termina1)
(4) the Center to facilitate cooperative delivery (Consolidation)
(5) the Center to handle imported goods
(6) the Center for emergency purposes
In 1997, the Japanese Government made the Comprehensive Program for Logistics Policies, which emphasized that public logistics centers (or distribution centers) were especially important for Japanese logistics modernization.

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Truck causes serious traffic congestion and environmental disruption, but it is almost the only mode for physical distribution in urban areas. It is urgent to improve these urban problems by means of more efficien trucking in urban areas. The introduction of the physical distribution center which is classified into the large area physical distribution center and the pickup &delivery center is one of the most effective countermeasures to improve the truck load factor in an urban area. Two types of centers should be arranged systematically according to the road network in urban areas in order to promote efficiency of physical distribution. As the physical distribution center could be considered the infrastructure of the city, the public sector is expected to make up the master plan of them from city to city as well as the road network plan. And the public sector must stimulate private sector's investment for the physical distribution center. It is not unreal to complete the whole road network in the short run, so that transportation demand management policy on physical distribution is necessary for better traffic and environment. It is also advisable to introduce such policies as “the physical distribution improving district” in city planning, land use regulation and the installation of pickup &delivery space.

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At the begining of the 21st century, recognizing developement of information technologies, globalization of economic activities and worsening environmental problems, the government set new comprehensive policies regarding cargo transport on 6 th of July. The new policies set two targets: one is to build up a competitive cargo transport market. And the other is to build a cargo transport system which will put less environmental impact. These targets will be realized by 2005. This paper reports and explains the content of

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Today, many logistics centers are being established in CHIBA prefecture, reflecting the recent development of logistics such as improvement of distribution pattern in the Tokyo Metropolitan Area and the advancement of logistics systems in private sector.
Furthermore, completion of the Parallel Runway of NARITA International Airport, toghther with the intensive investment to the improvement of ports on the Tokyo Bay and to the Tokyo Ring Roads including the Tokyo Outer Ring Road, will greatly strengthen the potential for logistics in CHIBA..
Making the best use of these advantages, CHIBA is determined to actively pursue its policies on logistics with a view to further empowering the economic activities in its area.

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On one hand, an efficiency improvement of distribution system is recognized as a pressing issue for economic development. On the other hand, freight vehicle traffic has caused negative impacts on living environment in congested urban areas. In Paris and London, the following measures are being implemented in order to achieve a balance between an improvement in distribution efficiency and mitigation of deteriorating living environment caused by heavy freight vehicles: (i) construction of ring roads which surround the built-up areas, (ii) siting of distribution centers in outer edge of the built-up areas, (iii) restriction or regulation of heavy freight vehicle traffic in built-up areas. This paper reports on the state of affairs concerning the issues mentioned above.

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In Japan, due to the business reconstruction of domestic enterprises as well as the structural change of industries, the factories have been removed, integrated, and vacated. As a result, these sites are now confronted with the problems of underutilization.
With an objective to promote liquidation of these underutilized sites, the Project provides information on underutilized sites overall including removed factory sites and for sale industrial sites via internet.
Since the opening of the internet site in June 2001, the access is counted up to 1, 000 every month, and in nine month, 106 hectare of sites have been liquidized.

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Transportation usually represents the most important single element in logistics costs for most firms. One of the tactics to reduce transportation costs is simplifying distribution network aiming to more efficient and inexpensive network.
However, sometimes distribution centers exist to achieve certain delivering service level and in this case, those center (s) might be constrains to do restructuring process forward. You should find “optimum point” regarding both delivery service and total logistics cost. The method of developing optimum logistics network should be followed steps shown below.
STEP1: Surveying current level of delivery service
STEP2: Deve1oping logistics network structure models
STEP3: Developing logistics location network models
STEP4: Evaluating models by using dynamic warehouse location & distribution network models
At STEP4, trade-off between delivery service and total logistics cost is evaluated. Basically, through these four steps, firms will be able to formulate optimum logistics network . As the advanced stage, including fixed assets cost to evaluate network might be necessary.

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It is very common that urban transportation infrastructure developments be accompanied by additional peripheral developments.Therefore, it is important to be able to assess the contribution share of each development component when the benefit of the project is measured. In addition, joint effects are expected in the project, some of them caused by economies of scale and others by economies of scope. The present study aims at developing an operational measurement tool to unravel these effects by improving the Hedonic Price Approach. New explanatory variables are introduced in conventional land price function to represent joint effects. The new measurement tool is applied to a subway development project in Sendai City, Japan, and the new variables are found to be significant. The joint effect of subway and shopping center estimated in this case is about 5% of the total benefit.

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