Automotive Logistics Market

Automotive Logistics Market worth $472.9 billion by 2025

The report "Automotive Logistics Market by Activity (Warehouse, Transport), Logistics Service (Inbound, Outbound, Reverse, Aftermarket), Mode of transport (Roadways, Railways, Maritime, Airways), Distribution, and Region - Global Forecast to 2025", The automotive logistics market is estimated to be USD 284.1 billion in 2018 and is projected to reach USD 472.9 billion by 2025, at a CAGR of 7.55%. Increasing vehicle production and infrastructure development in emerging countries will drive the market during the forecast period.

Browse 65 market data Tables and 50 Figures spread through 167 Pages and in-depth TOC on "Automotive Logistics Market by Activity (Warehouse, Transport), Logistics Service (Inbound, Outbound, Reverse, Aftermarket), Mode of transport (Roadways, Railways, Maritime, Airways), Distribution, and Region - Global Forecast to 2025"

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Transportation is estimated to be the largest segment of the automotive logistics market during the forecast period

Increasing global vehicle production has increased the demand for logistics services for the transportation of automotive components, accessories, spare parts, and finished vehicles. Due to low labor costs and taxes, Asia has become the hub of automotive production. It accounts for 55% of the global passenger car and LCV production. In the automotive logistics supply chain, transportation of components, accessories, spare parts, and finished vehicles is more expensive. These vehicles and components are exported to Europe and North America and require a multimodal mode of transport. According to experts, the introduction of electric vehicles will cause major changes in the automotive logistics supply chain. The logistics services for transportation and handling of batteries are expected to account for significant part of inbound logistics.

Maritime logistics is estimated to be the fastest growing mode of transport in the automotive logistics market

The transportation of cargo through waterways is more economical than roadways and railways. It does not require a huge capital investment in construction and maintenance, except in the case of canals. Various countries such as France, Germany, Spain, China, India, and Brazil are working toward increasing the share of maritime transport in the logistics industry through investments and favorable policies. For instance, the European Union is working on 5 priority infrastructure projects that include 3 rail-marine projects and 2 inland waterways projects. Thus, marine logistics is estimated to witness the fastest growth during the forecast period.

Increased vehicle production and the presence of key OEMs would drive the Asia Oceania automotive logistics market

Asia Oceania has emerged as a hub for automotive production in recent years because of changing consumer preferences, increasing disposable income of the middle-class, and cost advantages for OEMs. China and Japan have the largest vehicle production in the region. Vehicles are exported from China, Japan, and South Korea to Europe and North America. China is the largest market for automotive logistics because of its huge vehicle production. With the One Belt, One Road (OBOR) initiative, China plans to improve infrastructure connectivity in East Asia, Southeast Asia, South Asia, Central Asia, and Europe. The OBOR project bodes well for the automotive logistics industry as it would lead to seamless connectivity from Asia to Europe.

The automotive logistics market is consolidated and dominated by a few global players. The key players in the market are DHL (Germany), XPO (US), SNCF (France), Kuehne + Nagel (Switzerland), and DSV (Denmark).

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Automotive Logistics Market Size,  Share & Growth Report
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