General Logistics Market - Forecast(2024 - 2030)

The General Logistics market size is forecast to reach USD 8,456.2 billion by 2029, after growing at a CAGR of 5.2% during the forecast period 2024-2029. The General logistics market encompasses a broad range of activities involved in the management, transportation, and storage of goods and materials from one point to another. It plays a critical role in supply chain management, facilitating the efficient movement of goods across various stages of production, distribution, and consumption. Increasing globalization of trade and business operations drives the demand for logistics services to facilitate the cross-border movement of goods and materials. The General logistics market is dynamic and evolving, driven by factors such as globalization, e-commerce growth, supply chain optimization, and digitalization.

Download report sample @ https://bit.ly/3UuqkDy

Key Takeaways

? There is a growing emphasis on supply chain visibility and transparency, driven by the need to track shipments in real-time, monitor inventory levels, and optimize logistics processes.

? Urbanization and population growth lead to increased demand for consumer goods, food, and healthcare products, driving demand for logistics services to transport, store, and distribute goods to urban centers and growing population hubs.

? On June 7, 2022, Nippon Express Co., Ltd., a Group business of Nippon Express Holdings, Inc., introduced a logistics service that can handle products for the pharmaceutical sector that need to be kept at extremely low temperatures (-20°C to -85°C).

Purchase report @ https://bit.ly/3USUz8Q

By Type - Segment Analysis

Third-Party Logistics (3PL) occupies a major share of the general logistics market in 2023. The term "third-party logistics, describes the practice of contracting out the management, warehousing, and fulfillment of e-commerce logistics to an external company. 3PL providers give e-commerce businesses the resources and infrastructure they need to automate retail order fulfillment, enabling them to achieve more. On August 21, 2023, In an effort to almost increase its presence in India,? ?third-party logistics (3PL) provider heavyweight CEVA Logistics acquired an omnichannel contract logistics provider in Mumbai.

3PL providers often have extensive global networks of transportation partners, warehousing facilities, and distribution centers, enabling businesses to access international markets and expand their global footprint. They offer international freight forwarding, customs clearance, and cross-border logistics services, facilitating trade and commerce across borders.

By Transportation - Segment Analysis

Roadways occupy a major share of the general logistics market in 2023. Road transportation offers unparalleled flexibility and accessibility, allowing goods to be transported directly from the point of origin to the final destination. Roads provide connectivity to even the most remote areas, enabling door-to-door delivery and serving locations that may not be easily accessible by other modes of transportation. In 2021, 2,183 million tonnes of commodities were moved by all means of transport, with 1,609 million tonnes being transported domestically and 573 million tonnes being transferred internationally, according to the Ministry of Transport and Sustainable Mobility Spain.? In 2021, 95.7%? of all tonnes were transported domestically by road, while 78.3%? were transported internationally by sea.?

The entire amount of road freight carried by the EU in 2022 was about 13.6 billion tonnes and 1,920 billion tonne-kilometers, according to Eurostat. Road transportation is well-suited for regional and local distribution networks, serving the needs of businesses and consumers within a specific geographic area.

By End Use – Segment Analysis

In 2023, the manufacturing segment held the majority of the general logistics market. Manufacturing involves the production of goods on a large scale, leading to high volumes of goods that need to be transported, stored, and distributed. This results in a significant demand for logistics.

The National Association of Manufacturers states that 10.70% of the country's manufacturing output is produced by manufacturers in the United States. In 2021, the manufacturing sector produced $2.5 trillion in total. The US economy is mostly driven by its manufacturers, who will export $1.4 trillion worth of goods in 2021. The Office for National Statistics reports that the overall amount of product sales made by UK manufacturers in 2022 was ￡429.8 billion, up ￡28.4 billion (7%) from ￡401.5 billion in 2021.

Many manufacturing companies operate on a global scale, sourcing raw materials from one country, manufacturing products in another, and distributing them to markets worldwide. This globalization of manufacturing activities increases the complexity of logistics operations and drives demand for international freight forwarding, customs clearance, and cross-border logistics services.

By Geography - Segment Analysis

The APAC region in the general logistics market is anticipated to hold a major share during the forecast period (2024-2029). Asia is a major manufacturing hub for various industries, including electronics, automotive, textiles, and consumer goods. The region's manufacturing activities drive demand for logistics services to transport raw materials, components, and finished products within Asia and to export markets worldwide. Asia is the global hub of production, creating and exporting an extensive range of products and services. Asia accounted for 40% of global manufacturing value added and 60% of global manufacturing production in 2019. Asian manufacturers are skilled in a wide range of industries, including equipment, electronics, textiles, cars, chemicals, and more. They also support productivity, creativity, and economic expansion both locally and globally.

Asian manufacturing expanded and evolved quite quickly. This process was influenced by a number of variables, including labor migration, trade liberalization, foreign investment, industrialization programs, and technical improvement. As a result, a few Asian nations became major centers of global manufacturing with expertise in many industries and production phases. For instance, China emerged as the global factory for mass production, Taiwan and South Korea gained prominence in the semiconductor and display industries, Hong Kong and Singapore developed into major hubs for trade, Japan emerged as a leader in high-tech industries like electronics and automobiles, and Southeast Asian nations became cheap labor and raw material, suppliers.

AsiaPacific role as a manufacturing hub has been a major driver of the logistics market in the region. The continued growth of manufacturing activities, coupled with ongoing infrastructure development and technological advancements, is expected to further fuel the demand for the logistics market.

Inquiry before buying @ https://bit.ly/3wxVIta

Drivers – General Logistics Market

? The Rising E-commerce Industry Propel The General Logistics Market:?

The surge in e-commerce indeed fuels the demand for logistics services. As online shopping continues to grow, so does the need for efficient and reliable transportation, warehousing, and delivery systems. With the rise of giants like Amazon offering same-day or next-day delivery, customer expectations for fast shipping have increased across the board. This necessitates a robust logistics network to fulfill orders promptly.

The International Trade Administration (ITA) estimates that the worldwide B2B e-commerce industry will be worth USD$36 trillion by 2026. worldwide e-commerce sales for B2B companies have been continuously increasing each year over the previous ten years. Most of this B2B sales value is driven by heavy industries such as sophisticated manufacturing, energy, healthcare, and professional business services. By 2027, it is anticipated that global B2C e-commerce sales will reach USD$5.5 trillion, growing at a consistent 14.4% compound annual growth rate. E-commerce customers expect fast and reliable delivery, driving the need for efficient last-mile delivery solutions. Logistics companies are innovating with technologies such as route optimization, and delivery drones to meet these demands and ensure timely delivery to customers.

The e-commerce sector has experienced rapid growth, with companies such as Amazon, Walmart, Alibaba, and others ensuring consumers can easily obtain the products they need with a few smartphone clicks. The expansion and diversification of the logistics business have been made possible by the rise of the e-commerce sector.

? The Expansion Of Global Trade Activities Propels the Market Growth:

The expansion of global trade agreements serves as a significant catalyst for growth in the logistics market. These agreements, whether bilateral, regional, or multilateral, aim to reduce trade barriers, streamline customs procedures, and facilitate the movement of goods across borders. As trade barriers are lowered and market access is enhanced, businesses gain access to new markets and opportunities for expansion. This increased trade activity drives demand for logistics services to support the movement and distribution of goods across international borders. Logistics providers play a crucial role in helping businesses navigate complex regulatory requirements, manage transportation logistics, and optimize supply chain operations to capitalize on the benefits of expanded trade agreements.?

For instance, The free trade agreement (FTA) between the EU and New Zealand was signed on July 10, 2023, and it offers intriguing new prospects for import and export activities. The United Kingdom and India are negotiating a free trade agreement (FTA). The United Kingdom is eager to reach the Indian market for transportation equipment, electrical equipment, medical gadgets, chemicals, automobiles and their parts, wines, spirits, Scotch, and some fruits and vegetables. A free trade agreement on vital minerals was reached in 2023 between the United States and Japan.?

Additionally, global trade agreements often stimulate investment in transportation infrastructure and logistics hubs, further boosting the growth of the logistics market. the expansion of global trade agreements creates a favorable environment for the logistics industry, driving increased demand for services and contributing to the overall growth and globalization of supply chains.

Challenges – General Logistics Market

? Last Mile Delivery And Technology Adoption Is A Challenge To Logistics Market:

Last-mile delivery and technology adoption pose significant challenges to the logistics market, impacting the efficiency, cost-effectiveness, and reliability of transportation, warehousing, and distribution operations. The last-mile delivery segment, in particular, presents complex challenges due to urban congestion, delivery scheduling, address accuracy, delivery flexibility, and parcel theft concerns. Urban congestion creates bottlenecks and delays in delivering goods to densely populated areas, intensified by limited parking, narrow streets, and traffic congestion. Coordinating delivery schedules to meet customer preferences and ensure timely deliveries is a logistical challenge, especially during peak periods and times of high demand.

Adopting and integrating new technologies such as Internet of Things (IoT), artificial intelligence (AI), route optimization software, and delivery drones into existing logistics operations can be complex and challenging, requiring significant investments in technology infrastructure, workforce training.

Market Landscape

In 2023, the Major players in the general logistics market are DB Schenker, A.P. Moller–Maersk, C.H. Robinson Worldwide, Inc., FedEx, Geodis, Kuehne+Nagel, Nippon Express, Deutsche Post AG (DHL Group), DSV, and United Parcel Service, Inc., and Others.

Developments:

? Nippon Express Holdings, Inc. announced the acquisition of several cargo-partner subsidiaries based mainly in Central and Eastern Europe that provide logistics services. The acquisition was completed on January 4, 2024, through a special purpose company that is a wholly-owned subsidiary of Nippon Express Europe GmbH, itself a European holding subsidiary of Nippon Express Holdings.

? On May 17, 2023, FedEx Express, a globally recognised express delivery company and a part of FedEx Corp., has introduced its comprehensive logistics solutions for hazardous materials to local businesses in Cebu. More than 2,200 different hazardous commodities classes 1 through 9—including paints, fragrances, bleaches, and lithium-battery-powered electronics—can now be sent with more ease to international markets.

? On March 21, 2023, The US-based logistics and transport firms S&M Moving Systems West and Global Diversity Logistics will be acquired by DSV, according to agreements signed. Along with supporting DSV's expanding cross-border services to Latin America, these purchases will fortify DSV's position in the semiconductor sector and its new operations at the Phoenix-Mesa Gateway Airport.