Demonstration for Advanced Air Mobility (AAM) in Chiba Prefecture- Reducing labor cost equivalent to five drivers by combining AAM with trucks, optimizing regular logistics and testing emergency transportation using helicopters -

Demonstration Background

Japan's logistics industry is facing challenges such as driver shortages and increased transportation costs due to the so-called "2024 problem," with a particular need for improved efficiency in remote areas and long-distance transportation. Additionally, during natural disasters like earthquakes or heavy rains, securing rapid transportation of goods is crucial. To address these issues, Sumitomo Corporation and Seino HD have been working on a logistics business combining eVTOL (electric vertical take-off and landing aircraft), so-called “flying cars”, large drones and trucks for transportation. A simulation using delivery data from Seino HD's subsidiary, Seino Transportation Co., Ltd., demonstrated approximately 100 million yen in annual cost benefits and efficiency improvements, including the labor cost equivalent of five drivers, in the southern Chiba area. This demonstration was conducted to identify operational challenges that cannot be addressed in theoretical simulations. It involved the transportation of goods via helicopter (virtual AAM) for both regular logistics and emergency relief distribution.

AAM Logistics Business Concept

This business concept envisions building a new logistics network combining AAM transportation with truck transport for the first and last mile. AAM will replace inefficient long-distance truck transportation, shortening delivery times and reducing the burden on personnel. Additionally, AAM takeoff and landing sites will be utilized as logistics hubs, improving delivery efficiency during normal operations and serving as emergency supply transportation hubs for disaster relief. Future developments include introducing quantum technology for real-time control of multiple AAM vehicles (*1) and automating loading operations (*2), aiming to create a more efficient and sustainable logistics network.

Demonstration Overview

Date	:	February 20, 2025
Locations	:	Kisarazu City, Sodegaura City, Kamogawa City, Katsuura City, Chiba Prefecture
Content	:	Operational verification of AAM logistics using a helicopter Establishment of cargo transfer processes and transport flow Verification of effectiveness as an alternative means of transportation during emergencies Data collection on operation costs, transport efficiency and impact on goods
Participating companies	:	Sumitomo Corporation (Overall project management, business feasibility verification) Seino HD (Logistics operations, first mile transportation) Aero Asahi Corporation (Helicopter operation ) Awa Express (Last mile transportation) Mobilco (Last mile transportation)
Partners	:	Sodegaura Forest Raceway (Departure port and event venue) Kamogawa City (Disaster relief transport cooperation) Japan Aviation Academy (Landing port for Kamogawa route) REWILD GREEN FIELD CAMP (Landing port for Katsuura route)

For the demonstration, two routes were set up to transport goods from the Kisarazu branch of Seino Transportation to Katsuura and Kamogawa. The demonstration involved transferring goods from a truck to a helicopter (virtual AAM), flying the goods and unloading and distributing them. The regular route to Katsuura tested transporting store products (equivalent one pallet/ 200 kg), evaluating the potential for AAM to replace truck transport in areas where it is inefficient. The emergency route to Kamogawa involved transporting emergency relief supplies such as food, drinking water, portable toilets, powdered milk and diapers, to test the use of AAM for disaster response. Local government officials and partner company representatives observed the transportation operations and shared practical images of the potential for AAM logistics in real-world applications. We will continue to deepen cooperation with stakeholders and promote efforts toward the social implementation of AAM logistics.

Comments from Participants

Sumitomo Corporation

Sumitomo Corporation is advancing business development in the AAM sector. The company has previously supported the development of UTM (Unmanned Traffic Management) systems, demonstrated real-time control of air mobility using quantum technology, and conducted drone delivery service demonstrations in Japan and overseas. In 2024, Sumitomo Corporation, together with Japan Airlines (JAL), established an eVTOL operating company named "Soracle Corporation " (*3) and is preparing for demonstration flights at Expo 2025 Osaka, Kansai, Japan, followed by the start of commercial operations. Sumitomo Corporation will continue to address social issues with AAM to create innovative transportation and logistics services through a new air transportation network.

Seino Holdings Co., Ltd.

Seino Holdings centers its business around logistics, providing one-stop value across related fields such as finance, human resources and procurement. Our goal is to connect beyond logistics to enrich lives, contributing to the prosperity of customers and delivering smiles and happiness to everyone. Currently, under the slogan "Team Green Logistics," the company is pursuing an overarching strategy of developing an Open-Public Platform (OPP) that transcends industry and corporate boundaries. This initiative aims to address the social issues facing Japan, including the declining birthrate and aging population, and environmental concerns by co-creating "Green Logistics" and optimizing sustainable logistics networks. Through this demonstration, Seino HD focuses on collaboration between stakeholders in the middle-mile segment, just before the last-mile, as well as the development of regional infrastructure, working with diverse companies and regions to spur new logistics forward.

Open Public Platform (OPP)

An "Open" platform that fosters collaboration across internal and external boundaries, regardless of industry or other differences, and a "Public" platform that anyone can use. The goal is to create a logistics platform that improves efficiency and adds value for all its users, while also contributing to industries, the environment and everyday life through its infrastructure.

*1 Commencement of pilot experiment for developing flight routes for numerous air mobility vehicles by quantum computing | Sumitomo Corporation
*2 Sumitomo Corporation and Dexterity, Inc., a US-based Unicorn Company Specializing in AI Powered Robotics, Establish Joint Venture | Sumitomo Corporation
*3 Sumitomo Corporation and Japan Airlines Jointly Establish eVTOL Operating Company | Sumitomo Corporation

AAM Logistics Simulation (Comparison of Delivery Routes Before and After AAM Introduction)

Details of the Demonstration on the Day

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