Logistics Market Size, Share, Trends and Analysis, Industry Growth, Forecast (2025-2034)

Logistics Market Outlook

According to the latest report by Expert Market Research (EMR), the global logistics market reached a value of approximately USD 11.26 trillion in 2024. Aided by the increasing demand for efficient transportation, the rise of e-commerce, and the integration of advanced technologies, the global logistics market is anticipated to grow at a CAGR of 6.30% between 2025 and 2034, reaching USD 20.74 trillion by 2034.

The logistics industry plays a critical role in the global economy by ensuring the efficient movement of goods and services across regions. It encompasses various services such as transportation, warehousing, inventory management, packaging, and freight forwarding. As supply chains become more complex and interconnected, the demand for integrated logistics solutions continues to rise, supporting robust logistics sector growth across both developed and developing regions.

Defining the Logistics Industry

The global logistics industry encompasses transportation, warehousing, distribution, freight forwarding, inventory management, and supply chain integration. It acts as a backbone for global commerce, ensuring the efficient and timely movement of goods from manufacturers to end consumers. Logistics also plays a pivotal role in trade facilitation, economic development, and industrial competitiveness.

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Logistics Market Size and Share

The logistics market size has grown exponentially over the last decade, driven by the need for faster and more efficient movement of goods across borders. As of 2024, the market is valued at over USD 11.26 trillion, with Asia Pacific, North America, and Europe contributing the largest shares. Asia Pacific dominates due to its strong manufacturing base, expanding infrastructure, and rising middle-class population, which is fuelling domestic and cross-border consumption.

In terms of logistics market share, road transport remains the most commonly used mode, especially for short-distance and domestic freight. However, maritime logistics hold the largest share in terms of volume for international trade. Additionally, the third-party logistics (3PL) market has expanded rapidly, with businesses outsourcing logistics operations to specialised providers in an effort to reduce costs and improve service quality.

Logistics Market Drivers

A key driver behind the expansion of the logistics market size is the explosive growth of e-commerce worldwide. Online retail platforms require agile, reliable, and cost-effective logistics operations to meet growing consumer expectations for faster deliveries and real-time tracking. The demand for last-mile delivery solutions and same-day delivery services has resulted in significant investments in the third-party logistics market (3PL) and automation technologies.

Furthermore, global trade has expanded substantially in recent years, supported by liberalised trade policies, free trade agreements, and economic integration. The growth in cross-border commerce has intensified the need for efficient freight transportation and international logistics services, particularly in emerging economies such as India, China, and countries in Southeast Asia. As a result, the Indian logistics market is gaining increased attention from global investors due to its growing consumer base and infrastructure development.

The rise in demand for temperature-sensitive goods such as pharmaceuticals, perishable food items, and biological samples has significantly boosted the cold chain logistics market. The healthcare sector, in particular, has witnessed increased reliance on cold chain solutions for the safe transportation of vaccines, especially in the aftermath of the COVID-19 pandemic.

Technology and Advancement

Technological innovation is transforming the logistics industry by improving efficiency, visibility, and accuracy across the supply chain. The integration of Artificial Intelligence (AI), Internet of Things (IoT), blockchain, and Big Data analytics is enabling real-time monitoring, predictive maintenance, automated decision-making, and optimised routing. These innovations not only reduce operational costs but also enhance service quality and customer satisfaction.

Automation technologies, such as autonomous delivery vehicles, drones, and warehouse robotics, are being increasingly adopted to address labour shortages and improve delivery speed. Additionally, cloud-based transportation management systems (TMS) and warehouse management systems (WMS) are facilitating greater collaboration between stakeholders and streamlining operations.

Logistics Industry Analysis

The global logistics industry overview highlights the growing importance of sustainable practices and green logistics. As environmental concerns mount and regulatory pressures increase, companies are focusing on reducing their carbon footprint through electric vehicles, alternative fuels, route optimisation, and eco-friendly packaging. This shift towards sustainability is fostering innovation in logistics infrastructure and business models.

According to the logistics industry report, Asia-Pacific remains the dominant regional market, driven by the rapid industrialisation of China and India, coupled with the strategic significance of Southeast Asian trade routes. North America and Europe also hold substantial logistics market share, supported by well-developed infrastructure, digitalisation, and mature retail and manufacturing sectors. Meanwhile, the Middle East and Africa are emerging as potential growth areas due to increased investments in trade corridors and logistics hubs.

Logistics Market Trends

Several significant logistics market trends are shaping the industry's future trajectory:

• E-commerce Expansion: With consumers increasingly shopping online, logistics providers are focusing on improving speed, flexibility, and last-mile delivery capabilities.
• Sustainability and ESG Goals: Companies are integrating Environmental, Social, and Governance (ESG) criteria into logistics strategies, focusing on decarbonisation and sustainable sourcing.
• Technological Convergence: The deployment of AI, IoT, blockchain, and data analytics is creating smarter, more connected logistics systems.
• Increased Demand for 3PL Services: Businesses are outsourcing logistics to third-party providers to reduce costs and gain access to specialised expertise.
• Growth in Cold Chain Solutions: Rising demand for refrigerated transport of pharmaceuticals, dairy, and frozen foods is driving cold chain innovation and expansion.

Logistics Market Segmentation

The market can be divided based on model type, transpiration mode, end use and region.

Market Breakup by Model Type

• 1PL (First-Party Logistics): The manufacturer or company handles its logistics operations directly without outsourcing. This model gives businesses direct control over their supply chains.
• 2PL (Second-Party Logistics): Logistics services like transportation or warehousing are outsourced to external providers. These providers operate specific segments of the supply chain on behalf of the client.
• 3PL (Third-Party Logistics): An external logistics provider manages a comprehensive range of supply chain functions, including transportation, warehousing, inventory, and sometimes order fulfillment.
• Others: This includes emerging models like 4PL (Fourth-Party Logistics) and 5PL, which manage complex logistics networks and integrate technologies across entire supply chains.

Market Breakup by Transportation Mode

• Roadways: Dominant in short to medium distances, road transport is highly flexible and widely used for door-to-door delivery, especially in domestic logistics.
• Seaways: Crucial for global trade, seaways are cost-effective for transporting large volumes of goods internationally, particularly bulk commodities and containers.
• Railways: Often used for heavy and long-distance inland cargo transport. Rail is energy-efficient and suitable for transporting raw materials and industrial goods.
• Airways: The fastest mode of transport, air logistics is essential for high-value, time-sensitive, or perishable goods, including pharmaceuticals and electronics.

Market Breakup by End Use

• Manufacturing: Requires robust inbound and outbound logistics for raw material sourcing and product distribution.
• Consumer Goods and Retail: Focuses on fast and accurate delivery, inventory management, and handling large product varieties across multiple channels.
• Food and Beverages: Relies heavily on cold chain logistics to preserve perishable items and maintain food safety throughout transport.
• IT Hardware and Telecom: Needs secure and fast logistics for high-value, fragile electronics and infrastructure components.
• Healthcare: Demands precision and hygiene in logistics, including temperature control for pharmaceuticals and medical equipment distribution.
• Chemicals: Involves specialized handling and transportation to manage hazardous or sensitive materials safely.
• Construction: Includes heavy machinery, raw material transport, and just-in-time delivery to optimize project timelines and reduce on-site storage.
• Automotive: Involves the supply of components, spare parts, and vehicle transportation, requiring a streamlined, global supply chain.
• Oil and Gas: Needs tailored logistics solutions for equipment transport, offshore operations, and hazardous materials, often in remote areas.
• Others: Covers logistics services in sectors such as aerospace, agriculture, and government or military.

Market Breakup by Region

• North America: A mature logistics market with advanced infrastructure, technology integration, and key players operating across extensive domestic and international networks.
• Europe: Strong focus on multimodal transport, sustainability, and efficient cross-border logistics within the EU framework.
• Asia Pacific: The fastest-growing region driven by expanding manufacturing hubs, e-commerce boom, and the dynamic Indian logistics market.
• Latin America: A growing market with increasing infrastructure investments and a focus on regional trade improvement.
• Middle East and Africa: Witnessing rapid development in logistics infrastructure, especially in Gulf nations, supported by strategic trade location and economic diversification.

Key Players

Some of the major players explored in the report by Expert Market Research are as follows

• FedEx Corporation: A global logistics giant known for express delivery and integrated shipping solutions.
• United Parcel Service, Inc. (UPS): Offers parcel delivery, freight, and supply chain management services globally.
• Schenker AG: A key player in land, air, and ocean freight, providing integrated logistics solutions.
• C.H. Robinson Worldwide Inc.: Specializes in third-party logistics and freight transportation.
• Deutsche Post AG (DHL): A leading name in international express mail and logistics services.
• Evri Limited: A UK-based delivery service company with expanding logistics capabilities.
• DSV A/S: A Danish company offering transport and logistics solutions globally.
• CMA CGM Group (CEVA Logistics SA): Offers end-to-end supply chain services with a strong presence in ocean freight.
• Kuehne + Nagel International AG: Provides comprehensive logistics services including sea, air, and contract logistics.
• Nippon Express Co., Ltd.: A Japanese logistics provider with global reach across various transportation modes.
• XPO, Inc.: A key North American logistics company specializing in freight and contract logistics.
• Expeditors International of Washington, Inc.: Offers global logistics services, including customs brokerage and freight forwarding.
• Kintetsu World Express Inc.: Specializes in air and sea freight forwarding and logistics solutions.
• GXO Logistics, Inc.: Focuses on contract logistics and warehouse automation.
• A.P. Møller – Mærsk A/S: One of the world’s largest container shipping companies expanding into integrated logistics.
• TSI Group Inc.: Provides a range of logistics services including warehousing, freight, and distribution.

Logistics Market Forecast (2025–2034)

The logistics market forecast for 2025 to 2034 is highly promising, with substantial growth expected across both developed and emerging economies. As the sector continues to evolve in response to digitalisation, sustainability goals, and global trade dynamics, it will remain a vital enabler of economic development.

• The global logistics industry overview indicates strong demand across sectors such as manufacturing, pharmaceuticals, retail, and agriculture.
• The value of the global logistics market is projected to reach USD 20.74 trillion by 2034, up from USD 11.26 trillion in 2024.
• A steady CAGR of 6.30% reflects the sector’s resilience and adaptability in the face of external shocks and market fluctuations.