Source: World Bank, Logistics Performance Index (LPI). Urban population data from United Nations, World Urbanization Prospects: The 2018 Revision Population Database.
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By cross-referencing a dataset composed of the world’s 435 cities of more than 1 million inhabitants (totaling 1,257 million) with their respective national LPI values it is possible to categorize cities by their nation’s LPI. 27% of the urban population lived in cities within countries with a low LPI (less than 3) while 47% lived in cities with below-average LPI conditions (between 3 and 3.5). Only 26% of the urban population was living in cities with adequate national LPI conditions (more than 3.5).
In countries with high LPIs, such as the United States, supply chains tend to be extensive and covering large market areas, while in countries with low LPIs supply chains tend to be shorter and more unreliable. This is also reflected in city logistics with cities in high LPI countries having extensive urban freight distribution systems while cities in countries with low LPIs having urban freight distribution systems that a more simple and inefficient. Such an assessment should be interpreted with caution as significant differences may exist between cities of the same nation. For instance, port and airport cities tend to have more capabilities for city logistics because of their infrastructure and distribution capabilities.