Global Freight and Logistics Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

• In March 2024, Aramex expanded its operations in Saudi Arabia by opening a new regional office in Riyadh. This move aims to improve the company's ability to serve businesses in the region while also enhancing Saudi Arabia's logistics infrastructure and contributing to the Vision 2030 objective of establishing the country as a global logistics hub.

• In the same month, Aramex introduced a fleet of fully electric motorcycles to its last-mile delivery services in the United Arab Emirates. This step is part of the company's long-term strategy to transition to 98% electric vehicles by 2030, in line with its commitment to the Science Based Targets initiative (SBTi). Aramex selected the e-bikes after extensive testing of various models and manufacturers, opting for those that performed best under local weather conditions.

• In February 2024, C.H. Robinson unveiled a new technology that streamlines freight shipping by automating the scheduling of appointments for picking up and delivering loads. The technology leverages artificial intelligence to select optimal appointments based on transit-time data from C.H. Robinson's extensive shipping history across 300,000 lanes. This innovation significantly increases efficiency in freight shipping operations.

The global freight and logistics market is segmented into various services that cater to the diverse needs of industries and businesses worldwide. These services include inventory management, packaging, warehousing, transportation, distribution, and customs clearance. The warehousing and transportation segments are expected to dominate as global trade continues to grow, driven by the increasing demand for efficient supply chains. As businesses focus on improving their operational efficiency, these services are becoming integral to ensuring timely deliveries and reducing costs. Customs clearance also plays a crucial role in facilitating the movement of goods across borders, especially as global trade regulations evolve.

The market is further segmented by end-user industries, each of which requires specialized freight and logistics services. Key industries include agriculture, fishing, and forestry; construction; manufacturing; oil and gas; mining and quarrying; wholesale and retail trade; and others. The manufacturing and wholesale trade sectors are major contributors, as they rely heavily on logistics to transport raw materials, parts, and finished products globally. The oil and gas industry also demands sophisticated logistics solutions due to the complexity of transporting hazardous materials and large equipment. The agriculture and fishing industries require timely deliveries to maintain product freshness and meet the growing demand for food.

Logistic functions form another critical layer of segmentation, and they include Courier, Express, and Parcel (CEP), freight forwarding, freight transport, and warehousing and storage. Within CEP, both domestic and international destinations require tailored solutions, with a growing preference for faster, more reliable deliveries. Freight forwarding is segmented by the mode of transport, with air, sea, and inland waterways being the primary modes. Meanwhile, freight transport, also categorized by modes like air, rail, and road, remains crucial for the timely movement of goods. Warehousing and storage services are segmented by temperature control, with temperature-controlled warehousing becoming increasingly significant, particularly for perishable goods and pharmaceuticals.

Geographically, the freight and logistics market spans across North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America. North America and Europe are leading markets, driven by their advanced infrastructure and robust demand for logistics services across various industries. However, Asia Pacific is expected to witness the highest growth due to its growing manufacturing base, expanding e-commerce, and increasing international trade activities. The Middle East and Africa offer significant potential for logistics services, especially with the development of logistics hubs in countries like the UAE. Latin America also represents a growing market as regional trade expands and local industries require more efficient logistics solutions.

Global Freight and Logistics Segment Analysis

In this report, the Global Freight and Logistics Market has been segmented by Service, End-User Industry, Logistic Function, and Geography.

Global Freight and Logistics Market, Segmentation by Service

The Global Freight and Logistics Market has been segmented by Service into Inventory Management, Packaging, Warehousing, Transportation, Distribution, Customs Clearance, and Other.

The global freight and logistics market has been segmented by service into several key areas that contribute to the efficient movement and management of goods. One of the primary segments is inventory management, which focuses on the tracking and controlling of stock levels to ensure products are available when needed while minimizing storage costs. This service is crucial for businesses that rely on fast-moving goods or that require precise control over their supply chain operations.

Another important segment within the freight and logistics market is packaging, which plays a vital role in ensuring that goods are protected during transit and storage. Proper packaging helps reduce damage, improve handling efficiency, and comply with regulatory requirements. The warehousing segment is also a significant component, as it provides storage solutions for goods before they are distributed or shipped, ensuring proper inventory control and management.

Transportation, distribution, and customs clearance services complete the segmentation, each contributing to the smooth flow of goods across borders and between locations. Transportation involves the physical movement of goods through various modes such as road, rail, air, or sea. Distribution focuses on delivering products from warehouses to the end consumer or retail outlets. Customs clearance ensures that goods comply with international regulations, facilitating smooth cross-border trade. These segments, along with others, play essential roles in maintaining the efficiency and effectiveness of the global freight and logistics market.

Global Freight and Logistics Market, Segmentation by End-User Industry

The Global Freight and Logistics Market has been segmented by End-User Industry into Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil and Gas, Mining and Quarrying, Wholesale and Retail Trade, and Others.

Agriculture, Fishing, and Forestry industries rely on freight and logistics services to transport raw materials such as crops, livestock, timber, and seafood to processing facilities or markets. These industries often require specialized transportation methods, such as temperature-controlled freight for perishable goods. Construction companies depend on logistics for the delivery of building materials, equipment, and machinery to job sites. Efficient transportation and freight solutions are essential for timely project completion, and the industry's demand may fluctuate with economic and seasonal factors.

Manufacturing industries use logistics services to source raw materials and components, as well as to transport finished goods to distributors and consumers. Logistics providers play a crucial role in maintaining lean supply chains and just-in-time manufacturing practices. Oil and Gas, Mining and Quarrying industries often operate in remote locations and require logistics services for the transportation of equipment, materials, and personnel. Freight services are vital for the shipment of extracted resources to processing facilities or export destinations.

Wholesale and Retail Trade industries utilize logistics and freight services to move goods from manufacturers to distribution centers, stores, or directly to consumers. This includes e-commerce logistics and last-mile delivery solutions, which have become increasingly important in recent years. Other industries, such as healthcare, automotive, technology, and entertainment, also rely on logistics for the transportation of goods and materials. Each of these sectors may have unique logistics requirements, such as handling hazardous materials or sensitive electronic components.

Global Freight and Logistics Market, Segmentation by Logistic Function

The Global Freight and Logistics Market has been segmented by Logistic Function into Courier, Express, and Parcel (CEP) (By Destination Type (Domestic and International), Freight Forwarding (By Mode Of Transport (Air, Sea and Inland Waterways, and Others), Freight Transport (By Mode Of Transport (Air, Pipelines, Rail, Road, and Sea and Inland Waterways), Warehousing and Storage (By Temperature Control (Non-Temperature Controlled and Temperature Controlled), and Others.

The Courier, Express, and Parcel (CEP) segment focuses on the rapid and efficient delivery of parcels, documents, and small goods. This segment can be further divided by destination type into domestic and international, providing tailored services based on the geographic scope of delivery. Domestic CEP caters to deliveries within a specific country, while international CEP involves cross-border shipments, often requiring additional logistics and customs handling.

Freight Forwarding is another key function in the logistics market, where goods are coordinated and shipped on behalf of clients using various modes of transport. Freight forwarding can be segmented by mode of transport, including air, sea and inland waterways, and others such as rail and road. This function involves planning and optimizing shipping routes and managing necessary documentation to ensure efficient delivery.

Freight Transport includes the physical movement of goods using different modes of transport, such as air, pipelines, rail, road, and sea and inland waterways. Each mode of transport presents distinct benefits and challenges, and the choice of transport depends on factors like distance, cost, speed, and the type of goods being transported.

Warehousing and Storage involve the safekeeping of goods until they are ready for transport or delivery. This function can be segmented by temperature control into non-temperature controlled and temperature controlled storage. Non-temperature controlled warehouses store goods at ambient conditions, while temperature controlled facilities manage goods that require specific environmental conditions to maintain quality.

Other logistic functions may include services such as customs brokerage, inventory management, and supply chain consulting. These functions complement the core logistics activities and provide value-added services to enhance the overall efficiency and effectiveness of supply chains.

Global Freight and Logistics Market, Segmentation by Geography

In this report, the Global Freight and Logistics Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Global Freight and Logistics Market Share (%), by Geographical Region, 2024

North America is one of the largest and most mature markets for freight and logistics, with a well-developed transportation infrastructure and high demand for logistics services across industries. The region's strong retail sector, advanced e-commerce market, and extensive trade networks drive the need for efficient logistics solutions. Europe is known for its sophisticated logistics networks and efficient transportation systems. The region's integrated market and high population density support robust trade and logistics activities. Key industries, such as automotive, manufacturing, and consumer goods, contribute to the demand for freight and logistics services.

Asia Pacific is a rapidly growing market for freight and logistics, fueled by strong economic growth, industrialization, and rising consumer demand. China and India are major players in the region, with extensive manufacturing and export activities. The region's expanding e-commerce sector and diverse industries drive the need for modern logistics solutions.

The Middle East and Africa region presents a mix of mature and emerging markets with varying levels of infrastructure development. Key industries include oil and gas, mining, and agriculture, which drive the demand for freight and logistics services. The region's strategic location as a global trade hub also offers opportunities for logistics providers. Latin America offers opportunities for freight and logistics providers due to its growing middle class, expanding e-commerce market, and increasing trade with other regions. Infrastructure challenges and regulatory complexities can impact logistics efficiency in the region.

This report provides an in depth analysis of various factors that impact the dynamics of Global Freight and Logistics Market. These factors include; Market Drivers, Restraints, and Opportunities.

Drivers:

• Globalization and International Trade
• E-commerce Boom
• Urbanization and Population Growth
• Infrastructure Development

• Rise of SMEs and Startups - The rise of small and medium-sized enterprises (SMEs) and startups has emerged as a significant driver for the freight and logistics market. As more entrepreneurs enter the business landscape, they seek reliable and efficient logistics solutions to support their growth and operations. SMEs and startups often require flexible logistics services tailored to their unique needs, including cost-effective shipping options, customizable warehousing solutions, and specialized handling of goods. This demand for tailored services presents a lucrative opportunity for logistics providers to cater to a diverse range of customers.

  The growth of e-commerce among SMEs and startups necessitates quick and reliable last-mile delivery solutions to meet consumer expectations. As these businesses expand their reach through online sales, the need for efficient logistics services to manage and deliver orders in a timely manner becomes increasingly important. The surge in online marketplaces and the globalization of trade further amplify the demand for comprehensive logistics services to facilitate international transactions and shipping.

  Additionally, the rise of SMEs and startups encourages innovation and competition within the logistics sector. As these businesses push for advanced technologies and cost-effective solutions, logistics providers must adapt by offering modern services such as automated warehousing, real-time tracking, and data-driven insights. In doing so, logistics companies can stay ahead of the curve and provide value-added services that meet the evolving needs of a growing SME and startup market.

Restraints:

• Supply Chain Disruptions
• Shortage of Skilled Workforce
• Cybersecurity Risks

• Changing Consumer Preferences - Changing consumer preferences can act as a restraint for the freight and logistics market. As consumer expectations evolve rapidly, logistics providers must adapt their services to meet these shifting demands. For instance, consumers are increasingly prioritizing sustainability, leading to a preference for eco-friendly packaging and transportation methods. Logistics companies may face challenges in restructuring their operations and supply chains to align with these environmentally conscious preferences.

  Another aspect of changing consumer preferences is the growing demand for faster and more flexible delivery options. Consumers now expect same-day or next-day delivery, which requires logistics companies to optimize their networks and invest in advanced technologies such as route optimization and real-time tracking. Failure to meet these expectations may result in customer dissatisfaction and loss of business.

  Consumers are increasingly turning to e-commerce and online marketplaces for their shopping needs, driving demand for efficient last-mile delivery solutions. Logistics providers may struggle to keep pace with the surge in demand for parcel delivery and must invest in expanding their infrastructure and fleet capacities to accommodate this growth.

Opportunities:

• Digital Transformation
• Green Logistics
• Last-Mile Delivery Solutions
• Cold Chain Logistics
• Cross-Border Trade Growth

• Automated Warehousing - Automated warehousing presents a significant opportunity for the global freight and logistics market. As technology advances, the integration of automation in warehousing can lead to enhanced efficiency and cost savings for logistics providers. Automated warehousing involves the use of advanced technologies such as robotics, artificial intelligence (AI), and the Internet of Things (IoT) to streamline and optimize warehouse operations.

  Automation can improve various aspects of warehousing, such as inventory management, order picking, and sorting. By leveraging robotics and AI, logistics providers can achieve faster order processing, accurate inventory tracking, and reduced labor costs. Automated warehouses can operate around the clock, increasing throughput and minimizing human error.

  Another advantage of automated warehousing is the ability to provide real-time data and analytics. This information can help logistics providers make data-driven decisions, such as predicting demand trends and optimizing inventory levels. The improved visibility into warehouse operations can also enhance customer satisfaction by enabling accurate tracking and faster response times.

Key players in Global Freight and Logistics Market include:

• A.P. Moller - Maersk
• Allcargo Logistics Ltd.
• Americold
• Aramex
• Bollore logistics
• C.H Robinson
• CJ Logistics
• CMA CGM Group
• CTS Logistics Group
• Culina Group
• Dachser
• DB Schenker
• DHL Group
• DP World
• DSV A/S (De Sammensluttede Vognmænd af Air and Sea)
• Expeditors International of Washington, Inc.
• FedEx
• GEODIS
• GXO Logistics
• Hellmann Worldwide Logistics

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis