Freight and Logistics Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Freight and Logistics Market is projected to expand from USD 16.93 Billion in 2025 to USD 24.95 Billion by 2031, registering a CAGR of 6.68%. This industry involves the strategic planning, execution, and management of goods transportation and storage across international and domestic supply chains via air, maritime, road, and rail networks. Growth in this sector is largely fueled by the rapid rise of cross-border e-commerce and increasing global manufacturing, which require dependable and timely delivery systems to satisfy consumer needs. Highlighting this momentum, the International Air Transport Association (IATA) reported in 2025 that global air cargo demand for the full year 2024 rose by 11.3% compared to 2023, demonstrating a strong recovery and heightened activity within key trade corridors.

However, the market faces significant hurdles due to the volatility of fuel prices and geopolitical instability, which often disrupt established trade routes and drive up operational costs. These factors introduce considerable uncertainty into supply chain planning, compelling logistics providers to navigate intricate regulatory landscapes and adopt expensive contingency measures. Such disruptions not only diminish profit margins but also impede the smooth movement of cargo, making it challenging for companies to uphold consistent service standards in a fragmented global economic environment.

Market Drivers

The rapid growth of the global e-commerce sector serves as a primary driver for structural shifts within the freight and logistics industry, fundamentally changing how goods are stored and distributed. As consumers demand faster fulfillment and transparent tracking, providers are decentralizing distribution networks and improving last-mile capabilities to cut delivery times. This trend necessitates the precise synchronization of inventory across borders to manage high-frequency parcel flows. The scale of this digital consumption is illustrated by the U.S. Census Bureau's November 2024 report, which estimated U.S. retail e-commerce sales at $300.1 billion for the third quarter of 2024 alone, highlighting the immense pressure on infrastructure to support digital trade.

Simultaneously, the increasing demand for sustainable logistics is steering the market away from fossil fuels toward low-carbon technologies to meet regulatory requirements and corporate responsibility goals. Companies are investing heavily in electric fleets and energy-efficient shipping to reduce the environmental impact of their supply chains. This transition is clear in the heavy transport sector; the International Energy Agency (IEA) noted in April 2024 that global electric truck sales jumped by 35% in 2023, exceeding 54,000 units. Despite the costs associated with these green initiatives, the market continues to grow, with UNCTAD reporting a 2.4% rise in global maritime trade volume in 2023, reaching 12.3 billion tons, proving the sector can expand while adapting to new environmental standards.

Market Challenges

Fluctuating fuel prices and geopolitical instability act as major restraints on the Global Freight and Logistics Market. Regional conflicts and political tensions frequently threaten the security of established trade lanes, forcing logistics providers to reroute cargo through longer, less efficient paths. This need to divert shipments extends delivery times and increases fuel consumption, a problem that is exacerbated when energy prices are volatile. Consequently, operators face difficulties in managing operational budgets effectively, leading to eroded profit margins and reduced capital available for infrastructure investment.

This uncertainty directly impedes the reliable movement of international cargo. When essential maritime or land corridors become inaccessible, the resulting drop in trade volume limits revenue potential for the entire sector. For instance, the United Nations Conference on Trade and Development (UNCTAD) reported in 2024 that weekly container ship transits through the Suez Canal fell by approximately 67% year-over-year due to geopolitical disruptions. Such sharp declines in throughput across critical arteries demonstrate how instability physically restricts market capacity and slows overall industry expansion.

Market Trends

The adoption of Artificial Intelligence and predictive analytics is fast becoming a central element of the Global Freight and Logistics Market, allowing companies to proactively handle growing supply chain complexities. With increasing pressure to navigate trade barriers, operators are utilizing advanced digital tools to improve visibility and optimize strategic decision-making. This focus on technology is reflected in industry sentiment; a January 2025 study by Descartes Systems Group found that 74% of supply chain and logistics leaders surveyed consider technology fundamental or highly important to their organization's growth strategy.

Concurrently, the sector is undergoing a structural transformation driven by supply chain resilience strategies and the fragmentation of traditional trade corridors. Logistics networks are increasingly bypassing direct routes between geopolitical rivals in favor of diversified intermediaries to mitigate risk. This reconfiguration is evident in shifting trade flows; according to DHL's 'Global Connectedness Tracker' from October 2025, the share of world trade occurring directly between the U.S. and China dropped to 2.2% in the first half of 2025, underscoring a significant redirection of cargo toward alternative, more resilient manufacturing hubs.

Key Players Profiled in the Freight and Logistics Market

• Deutsche Post DHL Group
• United Parcel Service, Inc.
• FedEx Corporation
• Kuehne + Nagel International AG
• DSV A/S
• DB Schenker
• A.P. Moller - Maersk A/S
• C.H. Robinson Worldwide, Inc.
• CEVA Logistics SA
• Nippon Express Co., Ltd.

Report Scope

In this report, the Global Freight and Logistics Market has been segmented into the following categories:

Freight and Logistics Market, by End User Industry:

• Agriculture
• Fishing and Forestry
• Construction
• Manufacturing
• Oil and Gas
• Mining and Quarrying
• Wholesale and Retail Trade
• Others

Freight and Logistics Market, by Shipping Type:

• Airways
• Railways
• Roadways
• Waterways

Freight and Logistics Market, by Service:

• Inventory management
• Packaging
• Warehousing
• Transportation
• Distribution
• Custom clearance
• Others

Freight and Logistics Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Freight and Logistics Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

This product will be delivered within 1-3 business days.