South America Freight And Logistics - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The south america freight and logistics market size is projected to be USD 256.29 billion in 2025, USD 270.18 billion in 2026, and reach USD 348.78 billion by 2031, growing at a CAGR of 5.24% from 2026 to 2031. Structural shifts arise from new intermodal corridors, proliferating trade pacts, and the rapid build-out of lithium and green-hydrogen supply chains that demand specialized project-cargo services. This report is Segmented by Logistics Function (CEP, Freight Forwarding, Freight Transport, Warehousing and Storage, and Other), by End-User Industry (Agriculture, Construction, Manufacturing, Oil and Gas, Mining, and Quarrying, and More), and by Country (Argentina, Brazil, Chile, Peru, and Rest of South America). The Market Forecasts are Provided in Terms of Value (USD).

South America Freight And Logistics Market Trends and Insights

Expansion of Mercosur-EFTA and Pacific Alliance Trade Agreements

Preferential trade regimes now cover more than 90% of bilateral flows, slashing tariffs on industrial goods and agribulk commodities that together exceed USD 40 billion each year. The South America freight and logistics market benefits as reciprocal customs security protocols cut inspection frequencies by 30% for certified operators, translating into faster cross-border cycle times. Integrated providers with multi-country networks gain a pricing edge by arbitraging lower-tariff corridors. Customs-brokerage revenues rise because compliance complexity spikes whenever overlapping agreements coexist.

Port and Airport Privatization Through Long-Term Concessions

Brazil’s Santos port concession targets a 25-30% jump in container capacity via berth deepening and terminal automation by 2027. Similar reforms at Chile’s Valparaíso and Colombia’s Bogota El Dorado airport impose performance incentives that penalize turnaround times beyond 24 hours, compelling operators to deploy predictive-maintenance and cargo-tracking systems. Private capital inflows exceed USD 1.2 billion for Bogota alone, reinforcing the South America freight and logistics market’s ability to absorb larger vessels and freighters without congestion penalties.

Currency Volatility Raising Hedging Costs for Carriers and Shippers

Rising maintenance downtimes are shifting some cargo to rail and multimodal routes. Currency volatility, with the peso dropping over 50% and the real fluctuating between 4.8 and 5.4/USD, has led to 3-5% hedging surcharges in contracts, pressuring smaller operators. Fintech platforms offering embedded hedging are gaining traction. However, structural labor and asset constraints continue to squeeze margins across the region.

Other drivers and restraints analyzed in the detailed report include:

• Completion of New Intermodal Export Corridors (FIOL, BI oceanic)
• Surging Agri bulk and Lithium Export Volumes Needing Specialized Logistics
• Chronic Driver Shortages and Aging Highway Fleet

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Manufacturing generated 33.10% of 2025 revenues and continues to underpin the South America freight and logistics market, buoyed by Brazil’s automotive outputs topping 2 million vehicles yearly. The wholesale and retail trade segment is forecast to grow 6.70% CAGR through 2031, propelled by e-commerce penetration in São Paulo, Santiago, and Bogotá. Integrated providers that fuse inbound raw-material flows with outbound parcel distribution secure load-balancing efficiencies unavailable to single-segment specialists.

Retail’s omnichannel push intensifies demand for cross-docking, returns management, and urban micro-fulfillment hubs. Mercado Libre’s USD 2 billion logistics spend exemplifies scale barriers that deter smaller entrants. Meanwhile, agrifood exporters rely on ISO-certified, temperature-controlled warehousing to meet stringent EU deforestation and United States food-safety rules, further diversifying revenue mix across the South America freight and logistics market.

Freight transport captured 60.63% of volumes in 2025, reflecting commodity-heavy trade lanes, yet courier, express, and parcel services outpace at a 5.72% CAGR as higher-value, time-sensitive shipments proliferate. Warehousing absorbs inventory regionalization, and blockchain-enabled freight forwarding slashes documentation by up to 40%.

Last-mile networks see densification around megacities, incentivizing investments in automated sortation and electric delivery vans. Temperature-controlled warehousing grows as pharmaceutical and perishable export volumes rise, cementing its role as a high-margin niche inside the South America freight and logistics market.

Complete Report Scope:

• By End User Industry
  • Agriculture, Fishing, and Forestry
  • Construction
  • Manufacturing
  • Oil and Gas, Mining and Quarrying
  • Wholesale and Retail Trade
  • Others
• By Logistics Function
  • Courier, Express, and Parcel (CEP)
    • By Destination Type
      • Domestic
      • International
  • By Freight Forwarding
    • By Mode of Transport
      • Air
      • Sea and Inland Waterways
      • Others
  • By Freight Transport
    • By Mode of Transport
      • Air
      • Pipelines
      • Rail
      • Road
      • Sea and Inland Waterways
  • By Warehousing and Storage
    • By Temperature Control
      • Non-Temperature Controlled
      • Temperature Controlled
  • By Other Services
• By Country
  • Argentina
  • Brazil
  • Chile
  • Peru
  • Rest of South America

List of Companies Covered in this Report:

• Agencias Universales SA (AGUNSA)
• Alonso Group
• Americold
• CMA CGM Group (Including CEVA Logistics)
• Correios
• DHL Group
• DP World
• DSV A/S (Including DB Schenker)
• Expeditors International of Washington, Inc.
• FedEx
• Kuehne+Nagel
• Log-In Logistica Integrada
• MercadoLibre, Inc.
• Rappi Logistics
• Romeu
• Rumo Logistica
• Hapag-Lloyd
• Scan Global Logistics (Including Blu Logistics)
• TASA Logistica
• United Parcel Service of America, Inc. (UPS)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support