The global logistics market was valued at USD 345.13 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 9.6% from 2024 to 2030, reaching approximately USD 536.88 billion by 2030. This market is a critical component of the global economy, managing the planning, execution, and oversight of the efficient movement and storage of goods, services, and information from their points of origin to their destinations. As a key element of supply chain management, logistics is fundamental to global trade and commerce.
Several factors are driving the expansion of the logistics market, including globalization, the growth of e-commerce, technological advancements, and infrastructure development. The market is highly competitive, with major industry players offering services such as transportation, warehousing, inventory management, and freight forwarding. Companies in this sector are continuously innovating to meet evolving customer demands and market conditions.
The rise of e-commerce, which involves the online buying and selling of goods, has been a significant boost to the logistics industry. Third-party logistics providers play a crucial role in managing and streamlining supply chains, allowing e-commerce businesses to focus on marketing and other operational areas. The global growth of e-commerce, driven by the increasing tendency of multinational corporations to outsource logistics for global distribution and manufacturing, has been a major factor in the logistics market’s expansion.
According to the World E-Commerce Forum (WORLDEF), global e-commerce volume reached USD 6.5 trillion in 2023, up from USD 5.5 trillion at the end of 2022, reflecting a 14% increase from USD 4.9 trillion in 2021. In India, the e-commerce market grew by 21.5% in 2022, reaching USD 74.8 billion, as reported by the India Brand Equity Foundation (IBEF).
Logistics services offer numerous benefits, including improved delivery performance, reduced operational costs, and enhanced customer satisfaction. These services are essential for manufacturers and retailers worldwide, as they contribute to increased business competitiveness through flexibility, delivery efficiency, quality, and cost reduction. The acceleration of globalization has further fueled market growth, with many multinational companies outsourcing logistics functions and optimizing manufacturing processes across different countries to minimize oe-commerceverall costs.
However, the logistics industry also faces challenges, particularly related to inconsistent governance standards and the lack of global standardization. These issues have affected the uniformity of logistics practices, especially in European countries like the United Kingdom, Germany, and France. The absence of coordinated global logistics standards has hindered vendors’ ability to offer comprehensive solutions and has impacted the efficiency of logistics management.
North America dominated the logistics market in 2023, holding the largest revenue share. This dominance is attributed to the region’s advanced infrastructure, including extensive rail and road networks. The United States stands out as a key market due to its sophisticated supply chain infrastructure, which encompasses air and express delivery, freight rail, maritime transport, and trucking.
The logistics market report covers major countries such as the U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil. Each of these countries is a significant player in the logistics sector, with unique market characteristics and challenges. As economic growth and industrial development continue, the demand for effective logistics solutions is expected to increase, driving further innovation and investment in the industry.
