This paper discusses the Problem-Based Learning (PBL) in Techno-economic Analysis for Logistic System course for Industrial Engineering Students in Undergraduate levels. We propose a methodology that emphasizes the concept and techniques for solving problems, including problem definition and planning, data collection and analysis, and recommendations and implementation. The case is in a State-owned Warehouse. The objectives of learning are not focusing on solving the problem in the case, but they are aimed to have the development of other desirable skills and attributes and also can solve other problems with the experience they have. The students are grouped in some small groups, with each different problem that they find in the case.  In the group that has the same topic, each member of the group has a different task. Practically, in the warehouse system, they can face problems such as purchasing, inventory and storage management, and distribution. A small group can choose one of the problems and a member of the group can choose to solve the problem with different commodity or different method. At the end of the semester, each student should make a white paper that has to be consulted with the lecturer during the semester. PBL can be implemented successfully in the Techno-economic Analysis for Logistic System course in Undergraduate levels of Industrial Engineering Department, Faculty of Engineering, Universitas Sebelas Maret.