Saudi Arabia Road Freight Transport - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2030)

The Saudi Arabia Road Freight Transport Market size is estimated at 6.73 billion USD in 2025, and is expected to reach 8.81 billion USD by 2030, growing at a CAGR of 5.53% during the forecast period (2025-2030).

Saudi Arabia launched an initiative in 2022 to develop local transportation for around 9,000 industrial products

• Saudi Arabia's e-commerce sector is set for robust growth, with the wholesale and retail trade segment poised to benefit. By the end of 2024, the country is projected to have 33.6 million internet users engaged in e-commerce, marking a significant 42% surge from 2019. The rise in the e-commerce industry is boosting the demand for road freight. Furthermore, in 2022, the e-commerce market experienced a YoY increase of 2.38% and reached USD 9.02 billion. To fulfill the increased demand for online retailing, several e-commerce industry vendors have extended their operations in Saudi Arabia.
• The agricultural production capacity of the greenhouses is expected to reach over 1 million tons annually and is expected to drive the demand for road freight services. The growth in the agriculture output is attributed to the Kingdom’s National Strategy for Agriculture 2030, which seeks to create a sustainable sector that achieves food and water security. Similarly, an increase in construction activities is expected to drive the construction end-user segment. Over 5,200 projects across Saudi Arabia, with a combined worth of USD 819 billion, are currently underway, representing 35% of all active GCC projects.

Saudi Arabia Road Freight Transport Market Trends

Saudi Arabia invested around USD 133 billion to boost the transport infrastructure of the economy

• As of February 2024, the Makkah region in Saudi Arabia has initiated 20 road projects valued at USD 373 million to enhance connectivity and travel within the area. These projects cover 385 km of roadways and include a 24 km direct route linking Jeddah to Makkah and the doubling of the 90 km Allaith-Makkah Road. Expansion of the Bisha-Raniyah-Al-Khurma Road is also planned. The road projects signify a substantial infrastructure investment focused on boosting connectivity and enriching transportation for both residents and visitors.
• In 2024, Saudi Arabia actively started working toward cementing its position in the aviation sector, which is in line with its ambitious Vision 2030. This vision aims to attract 120 million annual visitors by 2030 while simultaneously diversifying the economy away from oil dependence. To support this, the government has allocated USD 30.11 billion for investments in the aviation ecosystem. These investments will focus on upgrading domestic airports, bolstering local airlines, and enhancing supporting infrastructure.

Rising fuel prices due to Saudi Aramco price hikes, supported by government-led domestic fuel price reforms

• Saudi Aramco announced that starting from January 1, 2024, the retail price of diesel would surge by 53% to USD 0.3067 per liter. This marked the third increase since 2016. Also, prices for natural gas and other fuels saw an increase in 2024. These price hikes were part of the Saudi government's reforms aimed at restructuring domestic fuel prices. In November 2024, Saudi Arabia indicated plans to reduce prices for the majority of crude grades sold to Asia, starting December 2024, in response to the declining trend of the Middle East benchmark, Dubai.
• Saudi Aramco plans to cut its oil production capacity by 1.2 million barrels per day (bpd) in 2024, reflecting shifting global energy trends. For decades, Saudi Arabia has held the world's significant spare oil capacity, offering a buffer for global supplies in case of major disruptions. Despite being the largest oil exporter, the kingdom currently pumps around 9 million bpd, well below its 12 million bpd capacity due to production cuts agreed upon with OPEC and allies in 2023. OPEC anticipates a demand growth of 1.3 million bpd by the end of 2025.

Saudi Arabia Road Freight Transport Industry Overview

The Saudi Arabia Road Freight Transport Market is fragmented, with the major five players in this market being Almajdouie Group, Kadi Group Holding (including Zajil Express), Munawla Cargo Co. Ltd., Rashed Abdul Rahman Al Rashed & Sons Group and Zahid Group (including Wared Logistics) (sorted alphabetically).

Additional Benefits:

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

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