Authored By: Sarah
03 Jul 2024

 Logistics Market in APAC Size to grow by USD 145.4 million between 2023-2027

According to a research report “ Logistics Market in APAC” by Type (3PL, 4PL) End-user (Manufacturing, Automotive, Food and beverage, Others) Geography (APAC)- Global Forecast to 2027 published by Technavio, the market size is estimated to grow by USD 145.4 million, at a CAGR of almost 5.25% during the forecast period. The e-commerce sector in APAC is experiencing exponential growth due to the expanding global Internet penetration and the proliferation of smartphones. China and India, with their substantial populations and burgeoning middle classes, are leading markets in this region. In 2021, China emerged as the world's largest e-commerce market, generating a revenue of USD1,543 billion. Since 2013, China has consistently demonstrated robust growth in this sector. This surge in e-commerce activity will necessitate diverse logistics support services to cater to the expanding consumer base.

Browse market data tables, figures, and in-depth TOC on “Logistics Market in APAC” by Type (3PL, 4PL) End-user (Manufacturing, Automotive, Food and beverage, Others) Geography (APAC) Global Forecast to 2027. Download Free Sample

 

By Type, the 3PL segment is projected to dominate the market size in 2024

The logistics market in Asia Pacific (APAC) is experiencing robust growth, driven primarily by the expanding manufacturing industries, particularly in sectors such as pharmaceuticals, healthcare, and telecommunications. Notably, the healthcare sector has witnessed substantial expansion over the past decade, fueled by the introduction of innovative medicines and advanced treatment methods. This growth trend is expected to continue, leading to increased demand for logistics services in APAC. Key players in the pharma and healthcare logistics sector, like Nippon, are capitalizing on these market opportunities, particularly in high-growth markets such as Myanmar and Vietnam. The rising sales of medical products will further boost the demand for logistics functions in the region.

By End-user, Manufacturing  segment is expected to hold the largest market size for the year 2024

The 3PL logistics market in APAC is poised for steady expansion over the forecast period, driven by the surge in business growth across various industries, including manufacturing, retail, and e-commerce. These sectors require a range of logistics services, such as transportation, warehousing, freight forwarding, and cross-docking, to efficiently manage their supply chains. The proliferation of companies in hardware, e-commerce, and telecom sectors in APAC will further fuel the demand for 3PL logistics solutions. 3PL logistics providers offer customized services, including warehouse space management, mode of transportation selection, and trade permit documentation, to cater to the unique requirements of their clients.

APAC is forecasted to hold the largest market size by region in 2024

The logistics market in APAC is experiencing significant growth, driven by increasing trade volumes and economic expansion. Key players are focusing on enhancing their capabilities in areas such as supply chain optimization, e-commerce fulfillment, and technology integration. Strategic collaborations and investments in automation and digitalization are also shaping the competitive landscape. Overall, the region presents lucrative opportunities for logistics providers to expand their footprint and serve diverse customer needs.

The Logistics Market in APAC growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:

  • Agility Public Warehousing Co. K.S.C.P
  • BCR Australia Pty Ltd.
  • C H Robinson Worldwide Inc.
  • CJ CheilJedang Corp.
  • CMA CGM SA Group
  • Deutsche Bahn AG
  • Deutsche Post AG
  • DFDS AS
  • DSV AS
  • FedEx Corp.
  • Hellmann Worldwide Logistics SE and Co KG
  • Hitachi Ltd.
  • Japan Post Holdings Co. Ltd.
  • Kuehne Nagel Management AG
  • Nippon Express Holdings Inc.
  • Nippon Yusen Kabushiki Kaisha
  • RETHMANN SE and Co. KG
  • SF Express Co. Ltd.
  • United Parcel Service Inc.
  • XPO Inc.
.

For insights on company offerings- Request a sample report!

Research Analysis Overview

The logistics market in APAC is experiencing significant changes in the wake of shifting macroeconomic conditions, influenced by factors such as gasoline prices, fiscal balances, inflation, and global interest rates. Expeditors International, a leading global logistics company, has reported increased demand from oil exporters in the region due to the volatility in oil prices. The logistics sectors, including 4PL and 3PL, are investing in infrastructure to meet the growing demand for transport projects, maintenance operations, and connectivity infrastructure planning. The infrastructure development in APAC is not limited to transport infrastructure. Equity offering deals and co-financing are driving the investment in natural gas, coal, and other energy sectors. The use of technology such as IoT and Blockchain is transforming the logistics industry, providing greater transparency and efficiency. Royal Mail and other logistics companies are adapting to the changing macroeconomic environment by focusing on cost reduction and operational excellence. The fiscal balances of oil-importing countries in the region are under pressure due to rising inflation, making it essential for governments to prioritize infrastructure development to maintain economic growth. The logistics sector is expected to play a crucial role in the region's economic development, with the focus on sustainable and efficient transportation systems. Analysts predict that the logistics market in APAC will continue to grow, driven by the increasing demand for trade and the need for efficient supply chain management. The region's logistics sector is expected to benefit from the ongoing infrastructure development, with a focus on sustainable and technologically advanced solutions.

Market Research Overview

The logistics market in APAC is witnessing significant changes due to various macroeconomic factors and global uncertainties. Key players like SF Express and Expeditors International are navigating through the volatile fiscal balances, inflation, and global interest rates, while oil exporters and net importers grapple with gasoline prices and the shift towards natural gas, coal, and decarbonizing freight transport. The macroeconomic environment is impacting international freight transport, with commercial motor vehicles and domestic freight transportation seeing increased mobility demand. Connectivity infrastructure planning is crucial, with road-dominated transportation and container ports playing a significant role. The e-commerce sector's digital sales growth and consumer demands are driving investments in warehousing and logistics sectors. However, outdated existing facilities, labor shortages, and the need for sustainability initiatives pose challenges. Logistics companies are focusing on technology solutions like artificial intelligence, machine learning, IoT, and blockchain to enhance supply chain visibility, fleet management, and deal volume and value in the twelve months. Equity offering deals, co-financing, and infrastructure work are key areas of focus for transport projects and maintenance operations. Environmental impact and sustainability initiatives are essential, with CO2 emissions reduction a priority. Instatruck, Sendle, Guilin, FedEx, Royal Mail, and other logistics companies are implementing 4PL and 3PL strategies to meet consumer demands. The logistics market's future depends on the ability to adapt to the changing macroeconomic environment and technological advancements.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

Read News Read Less
Interested in this report?
Get your sample now!
Technavio
Document