The global air freight forwarding market is expected to reach an estimated $138.8 billion by 2031, with a CAGR of 3.8% from 2025 to 2031. The major drivers for this market are the rising demand for air cargo services, coupled with the globalization and liberalization of trade, and increasing disposable income.
The future of the global air freight forwarding market looks promising with opportunities in the pharmaceutical, food & beverage, electronic, automotive, and consumer goods markets.
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
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The future of the global air freight forwarding market looks promising with opportunities in the pharmaceutical, food & beverage, electronic, automotive, and consumer goods markets.
- The publisher forecasts that, within the application category, the commercial segment is expected to witness the highest growth over the forecast period due to greater demand for air transport of goods.
- Within the end use category, pharmaceutical will remain the largest segment due to pharmaceutical products being often high-value and time-sensitive, making air freight the preferred mode of transportation.
- In terms of regions, APAC is expected to witness the highest growth over the forecast period due to growing trade among APAC nations and the global community.
Emerging Trends in the Air Freight Forwarding Market
The air freight forwarding market is evolving with new trends that redefine logistics and supply chain management. These trends shape how goods are transported globally, with a focus on efficiency, sustainability, and technological innovation.- E-commerce Growth: The explosive growth of e-commerce is a major trend in the air freight forwarding market. As consumers demand faster delivery times, air freight becomes the preferred mode of transport for online retailers, leading to increased investment in air cargo capacity and technology.
- Digital Transformation: The air freight forwarding industry is undergoing a digital transformation, with the adoption of technologies like AI, blockchain, and IoT. These technologies improve visibility, efficiency, and transparency in the supply chain, enabling real-time tracking and optimized route planning.
- Sustainability Initiatives: There is a growing emphasis on sustainability in air freight forwarding. Companies adopt eco-friendly practices, such as using biofuels, investing in energy-efficient aircraft, and optimizing logistics to reduce carbon footprints, driven by regulatory pressures and consumer demand for green logistics.
- Integration of Autonomous Technologies: The integration of autonomous technologies, including drones and autonomous ground vehicles, revolutionizes air freight forwarding. These technologies enhance last-mile delivery, reduce labor costs, and improve overall efficiency in the logistics chain.
- Expansion of Cold Chain Logistics: The demand for cold chain logistics is rising, particularly in the pharmaceutical and food industries. Air freight forwarders expand their cold chain capabilities to handle temperature-sensitive goods, ensuring compliance with stringent quality standards and meeting the needs of global markets.
Recent Developments in the Air Freight Forwarding Market
The air freight forwarding market is witnessing several key developments that influence its growth trajectory. These developments reflect the market’s adaptation to changing global trade patterns, technological advancements, and sustainability goals.- Investment in Air Cargo Infrastructure: Significant investments in air cargo infrastructure are being made globally. This includes the expansion of cargo airports, modernization of air freight terminals, and development of new cargo handling facilities, all aimed at increasing capacity and improving efficiency in air freight operations.
- Partnerships and Collaborations: The air freight forwarding market sees a rise in strategic partnerships and collaborations between logistics companies, airlines, and technology providers. These alliances drive innovation, enhance service offerings, and expand global reach, particularly in emerging markets.
- Adoption of Digital Freight Platforms: Digital freight platforms are gaining traction, enabling more efficient booking, tracking, and management of air cargo shipments. These platforms streamline operations, reduce costs, and provide better visibility and control over the supply chain.
- Focus on Security and Compliance: There is an increasing focus on enhancing security and compliance in the air freight forwarding market. Companies invest in advanced screening technologies, improve regulatory compliance, and adopt best practices to ensure the safety and security of air cargo.
- Emergence of Regional Hubs: The development of regional air freight hubs is a growing trend, with countries investing in hub-and-spoke models to improve connectivity and reduce transit times. These hubs are strategically located to serve as gateways for regional and international trade.
Strategic Growth Opportunities in the Air Freight Forwarding Market
The air freight forwarding market presents numerous strategic growth opportunities across various applications. These opportunities are driven by technological advancements and the increasing complexity of logistics tasks, creating new avenues for market expansion.- Automation and Robotics: The growing demand for automation and robotics is a key growth opportunity in the air freight forwarding market. Outsourcing engineering services in this field allows companies to innovate quickly and stay competitive in industries such as manufacturing, logistics, and healthcare.
- Sustainable Solutions: As sustainability becomes a priority, there is a growing demand for air freight services that focus on eco-friendly practices and carbon reduction. Companies that specialize in sustainable logistics are well-positioned to capitalize on this trend.
- Technology Integration: The integration of advanced technologies, such as AI and IoT, offers significant growth potential in air freight forwarding. Companies are increasingly seeking solutions that enhance operational efficiency and provide real-time data insights.
- Expansion in Emerging Markets: The growth of e-commerce and global trade in emerging markets presents substantial opportunities for air freight forwarders. Companies can expand their services to meet the increasing demand for reliable and efficient logistics solutions in these regions.
Air Freight Forwarding Market Driver and Challenges
The air freight forwarding market is influenced by various factors, including technological advancements, economic conditions, and regulatory changes. These drivers and challenges shape market dynamics, affecting efficiency, cost structures, and service quality in the logistics and transportation sector.The factors responsible for driving the air freight forwarding market include:
- Technological Advancements: Innovations in tracking and logistics technology enhance operational efficiency and visibility. Advanced systems like IoT and blockchain improve real-time tracking, reduce errors, and streamline processes, driving market growth.
- Global Trade Growth: Increasing international trade and e-commerce demand higher air freight capacity and services. Expanding global trade routes and rising cross-border shipments contribute to the growth of the air freight forwarding market.
- Airline Network Expansions: The expansion of airline networks and the addition of new routes increase the availability of air freight options. More direct flights and expanded cargo capabilities improve market accessibility and efficiency.
- Demand for Speed and Reliability: The need for fast and reliable delivery drives the preference for air freight over other modes of transportation. Companies prioritize air freight for time-sensitive shipments, boosting market demand.
- E-Commerce Boom: The rapid growth of e-commerce drives demand for efficient air freight solutions. Increased online shopping and global deliveries require reliable air freight services to meet consumer expectations and delivery timelines.
Challenges in the air freight forwarding market are:
- Rising Fuel Costs: Fluctuating fuel prices impact operating costs for airlines and forwarders. High fuel costs can lead to increased shipping rates and affect overall profitability in the air freight sector.
- Regulatory Compliance: Stricter regulations regarding security, environmental standards, and customs procedures create complexities for air freight forwarders. Compliance requires investment in technology and processes, impacting operational efficiency and costs.
- Capacity Constraints: Limited cargo space on flights and airport congestion can lead to capacity constraints. This challenge affects the ability to meet growing demand and can lead to delays and increased shipping costs.
List of Air Freight Forwarding Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies air freight forwarding companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base.Some of the air freight forwarding companies profiled in this report include:
- Kuehne + Nagel
- DHL
- DB Schenker Logistics
- GEODIS
- Panalpina
- DSV
- Expeditors
- Nippon Express
- CEVA Logistics
- Pantos Logistics
Air Freight Forwarding by Segment
The study includes a forecast for the global air freight forwarding market by type, business model, end use industry, application, and region.Type [Analysis by Value from 2019 to 2031]:
- Full Charter
- Split Charter
Business Model [Analysis by Value from 2019 to 2031]:
- B2B
- B2C
End Use Industry [Analysis by Value from 2019 to 2031]:
- Pharmaceutical
- Food & Beverage
- Electronic
- Automotive
- Consumer Goods
- Others
Application [Analysis by Value from 2019 to 2031]:
- Commercial
- Industrial
- Military
- Others
Region [Analysis by Value from 2019 to 2031]:
- North America
- Europe
- Asia Pacific
- The Rest of the World
Country Wise Outlook for the Air Freight Forwarding Market
Major players in the market are expanding their operations and forming strategic partnerships to strengthen their positions. The following highlights recent developments by major air freight forwarding producers in key regions: the USA, China, India, Japan, and Germany.- United States: In the U.S., the air freight forwarding market is seeing a surge in demand due to e-commerce growth and the need for expedited shipping services. Companies invest in advanced logistics technologies and expand air cargo capacities to meet the increasing demand for fast and reliable delivery services.
- China: China’s air freight forwarding market is expanding rapidly, driven by its status as a global manufacturing hub. The country’s focus on improving its logistics infrastructure, including new cargo airports and digital freight platforms, enhances its air freight capabilities and facilitates faster international trade.
- Germany: Germany, a key player in the European air freight market, is experiencing growth in air cargo volumes, particularly in the automotive and industrial sectors. The country invests in green logistics solutions and modernizes its air freight infrastructure to improve efficiency and reduce carbon emissions.
- India: India’s air freight forwarding market benefits from the government’s push for trade facilitation and infrastructure development. The introduction of initiatives like the National Air Cargo Policy and investments in airport modernization drive growth, particularly in sectors like pharmaceuticals and electronics.
- Japan: Japan’s air freight forwarding market evolves with a focus on automation and technology integration. The country enhances its air cargo handling capabilities with advanced robotics and AI-driven logistics solutions, aiming to improve efficiency and meet the demands of high-value, time-sensitive shipments.
Features of the Global Air Freight Forwarding Market
- Market Size Estimates: Air freight forwarding market size estimation in terms of value ($B).
- Trend and Forecast Analysis: Market trends (2019 to 2024) and forecast (2025 to 2031) by various segments and regions.
- Segmentation Analysis: Air freight forwarding market size by various segments, such as by type, business model, end use industry, application, and region in terms of value ($B).
- Regional Analysis: Air freight forwarding market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
- Growth Opportunities: Analysis of growth opportunities in different type, business model, end use industry, application, and regions for the air freight forwarding market.
- Strategic Analysis: This includes M&A, new product development, and competitive landscape of the air freight forwarding market.
- Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
This report answers the following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the air freight forwarding market by type (full charter and split charter), business model (B2B and B2C), end use industry (pharmaceutical, food & beverage, electronic, automotive, consumer goods, and others), application (commercial, industrial, military, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
This product will be delivered within 1-3 business days.
Table of Contents
1. Executive Summary
2. Market Overview
3. Market Trends & Forecast Analysis
4. Global Air Freight Forwarding Market by Type
5. Global Air Freight Forwarding Market by Business Model
6. Global Air Freight Forwarding Market by End Use Industry
7. Global Air Freight Forwarding Market by Application
8. Regional Analysis
9. North American Air Freight Forwarding Market
10. European Air Freight Forwarding Market
11. APAC Air Freight Forwarding Market
12. RoW Air Freight Forwarding Market
13. Competitor Analysis
14. Opportunities & Strategic Analysis
15. Company Profiles of the Leading Players Across the Value Chain
16. Appendix
List of Figures
List of Tables
Companies Mentioned
- Kuehne + Nagel
- DHL
- DB Schenker Logistics
- GEODIS
- Panalpina
- DSV
- Expeditors
- Nippon Express
- CEVA Logistics
- Pantos Logistics
Methodology
The analyst has been in the business of market research and management consulting since 2000 and has published over 600 market intelligence reports in various markets/applications and served over 1,000 clients worldwide. Each study is a culmination of four months of full-time effort performed by the analyst team. The analysts used the following sources for the creation and completion of this valuable report:
- In-depth interviews of the major players in the market
- Detailed secondary research from competitors’ financial statements and published data
- Extensive searches of published works, market, and database information pertaining to industry news, company press releases, and customer intentions
- A compilation of the experiences, judgments, and insights of professionals, who have analyzed and tracked the market over the years.
Extensive research and interviews are conducted in the supply chain of the market to estimate market share, market size, trends, drivers, challenges and forecasts.
Thus, the analyst compiles vast amounts of data from numerous sources, validates the integrity of that data, and performs a comprehensive analysis. The analyst then organizes the data, its findings, and insights into a concise report designed to support the strategic decision-making process.
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