Transport Services Market Report 2025

The transport services market size has grown strongly in recent years. It will grow from $8.11 trillion in 2024 to $8.71 trillion in 2025 at a compound annual growth rate (CAGR) of 7.4%. The growth in the historic period can be attributed to population growth, growth of urbanization, demographic changes, government policies in transportation, health and safety concerns.

The transport services market size is expected to see strong growth in the next few years. It will grow to $11.79 trillion in 2029 at a compound annual growth rate (CAGR) of 7.9%. The growth in the forecast period can be attributed to sustainability initiatives, smart cities integration, shared mobility services, high-speed rail development, advanced ticketing and payment systems. Major trends in the forecast period include mobility as a service, autonomous vehicles for cargo transport, sustainable and green transport, connectivity in public transportation, digital platforms for freight matching,.

The forecast of 7.9% growth over the next five years reflects a slight reduction of 0.1% from the previous projection. This reduction is primarily due to the impact of tariffs between the US and other countries. Tariff barriers on IT infrastructure and software tools needed for multimodal integration could undermine digital transformation efforts across the transport services value chain. The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The growth of the transportation services market is supported by the stable economic growth projected in many developed and developing nations. For example, in October 2024, the House of Commons Library, a UK-based government agency, reported that the UK's GDP was 2.9% higher in Q2 2024 compared to its pre-pandemic level in Q4 2019. Meanwhile, the Eurozone's GDP increased by 3.9%, with Germany's GDP rising by 0.2%. Among G7 economies, the US experienced the highest GDP growth during this period, at 10.7%. Additionally, recovering commodity prices, which had previously seen a significant decline, are expected to further support market growth. Developed economies are also anticipated to show stable growth during the forecast period. Furthermore, emerging markets are projected to continue growing slightly faster than developed markets throughout the forecast period. This stable economic growth is expected to boost investments in end-user markets, thus driving the transportation services market in the upcoming years.

The growth of the transport services market is expected to be significantly influenced by the rise of e-commerce. E-commerce, or electronic commerce, involves the buying and selling of goods and services via the internet or other electronic communication platforms. Transportation services play a vital role in e-commerce by ensuring efficient product delivery, broadening market reach, and enhancing customer convenience, all of which are essential for sector growth. For example, in August 2024, the United States Census Bureau, a government agency, reported that U.S. retail e-commerce sales, adjusted for seasonal variation, reached $291.6 billion in Q2 2024, representing a 1.3% increase from Q1 2024. Total retail sales were estimated at $1.82 trillion, reflecting a 0.5% increase from the previous quarter. Year-over-year, e-commerce sales grew by 6.7%, while total retail sales increased by 2.1%. E-commerce accounted for 16% of total sales. On an unadjusted basis, e-commerce sales for Q2 2024 were $282.3 billion, which is 15.2% of total sales. Thus, the rise of e-commerce is a driving force behind the transport services market.

Companies are actively embracing electricity as a power source for buses as part of their initiatives to reduce carbon emissions and decrease operational costs. Electric buses powered by lithium batteries are gaining popularity, with some utilizing solar panels installed on the bus roof for additional charging. This not only enhances the fuel efficiency of the vehicle but also prolongs the lifespan of lithium batteries. Moreover, the technology involves low-maintenance components, contributing to cost savings for these companies. Key players in the electric bus manufacturing sector include Kiira Motors, BYD Company, Heilongjiang Qiqiar New Energy Automobile Co., Ltd., Bauer's Intelligent Transportation, Yutong, and Volvo buses.

In June 2023, National Express Transport Solutions, a UK-based transport solutions provider, collaborated with Liftango to introduce Trio, an innovative technology for passenger transport that aims to transform the landscape of shared mobility solutions. This collaboration leverages the extensive scale and transport management expertise of National Express Transport Solutions, integrating it with Liftango's data-driven technology platform. The platform encompasses demand-responsive transport (DRT) technology, passenger applications, and management information. Trio utilizes advanced modeling techniques to analyze travel patterns and address transport inequalities, delivering a customized solution with sustainability as a core focus. Liftango, based in Australia, is a provider of on-demand shared transport systems.

Major companies operating in the transport services market include Amazon.com Inc., China Railway Corporation, Cargill Incorporated, United Parcel Service Inc., DHL Group, Deutsche Post AG, FedEx Corporation, A.P. Moller-Maersk A/S, Maersk, United States Postal Service, CMA CGM Group, COSCO Shipping Group, Kuehne + Nagel International, SF Express Co. Ltd., Hapag-Lloyd AG, DSV A/S, Indian Railways, JSC Russian Railways, Nippon Express Co. Ltd., Expeditors International, Kerry Logistics, DB Schenker, Bollore Logistics, XPO Inc., Hellmann Worldwide Logistics, Kintetsu World Express, NFI Industries Inc., Agility, HNA Technology Co. Ltd.

Asia-Pacific was the largest region in the transport services market in 2024. Western Europe was the second largest region in the transport services market. The regions covered in the transport services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the transport services market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The transport services market includes revenues earned by entities by transporting goods and people from one location to another for an amount or fee to improve the economy of the particular country. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp rise in U.S. tariffs and the resulting trade tensions in spring 2025 are having a considerable impact on the transport services sector by increasing the costs of vehicles, spare parts, and fuel - critical inputs frequently imported from tariff-affected regions. Freight operators, logistics companies, and public transportation providers are experiencing margin pressures as elevated equipment and maintenance expenses coincide with limited flexibility to pass these costs on to customers due to intense market competition. This climate of uncertainty has also led to delays in fleet upgrades and the adoption of greener, more energy-efficient vehicles, hindering progress toward sustainability objectives. In response, transport firms are enhancing route optimization, investing in fuel-efficient technologies, renegotiating supplier agreements, and adopting collaborative logistics strategies to share resources and cushion the financial impact of rising tariffs.

The transport services market research report is one of a series of new reports that provides transport services market statistics, including transport services industry global market size, regional shares, competitors with a transport services market share, detailed transport services market segments, market trends and opportunities, and any further data you may need to thrive in the transport services industry. This transport services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Transport services encompass various activities, including warehousing and storage services, designed to assist individuals in relocating for various purposes or engaging in daily activities. These services may involve the operation of facilities for warehousing and storing merchandise, refrigerated goods, and other materials.

The primary categories in the transport services market include air transport, general transport, pipeline transport, rail transport, transit and ground passenger transport, truck transport, warehousing and storage, and water transport. Water transport involves the movement of goods and people through bodies of water from one location to another. The market is further categorized by purpose, encompassing commuter travel, tourism and leisure travel, business travel, cargo and freight travel, as well as shipping and delivery travel. Additionally, segmentation by destination includes domestic and international considerations. The market is also segmented by end-use industry, covering mining, construction, agriculture, and others.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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