Global freight logistics market to reach $11.39 trillion by 2035, with Asia-Pacific leading growth

Global Freight and Logistics Market to Reach $11.39 Trillion by 2035, Asia-Pacific Leads Growth

The global freight and logistics market is expected to continue expanding at a compound annual growth rate (CAGR) of 5.28%, from $6.81 trillion in 2025 to $11.39 trillion by 2035. Asia-Pacific dominates with nearly 43% market share, as infrastructure investment and digital transformation reshape supply chain dynamics.

Key Developments

According to the latest "Freight and Logistics Market Size, Share & Growth Report 2035" released by market research firm MRFR, the global freight and logistics market is valued at $6.81 trillion in 2025, projected to reach $7.17 trillion in 2026, and climb to $11.39 trillion by 2035. Growth is primarily driven by the continued recovery of global goods trade—WTO forecasts merchandise trade growth of 3.3% annually by the late 2020s—as well as investment plans exceeding $1.4 trillion by Asian and Middle Eastern governments in ports, highways, and rail corridors during this decade.

By logistics function, freight transportation contributes 56.8% of market revenue, reflecting the dominance of road, rail, and maritime trunk transport. Freight forwarding is expected to grow at a CAGR of 5.58%, with cross-border e-commerce and supply chain complexity driving demand for intermediary coordination. Warehousing and storage reached $680 billion in 2025, driven mainly by the expansion of e-commerce fulfillment centers.

Among end-user industries, wholesale and retail trade accounts for 30.8%, while manufacturers, influenced by reshoring and regionalization trends, are expected to grow at a CAGR of 5.55%.

Supply Chain Impact

E-commerce sales surpassed $6.3 trillion in 2024 and are expected to exceed $8 trillion by 2027. Every additional $1 billion in online retail spending generates approximately 12 to 15 million parcels, placing immense pressure on last-mile and mid-mile transport networks and prompting carriers to expand automated sortation and micro-fulfillment facilities.

At the same time, the world faces structural constraints. The American Trucking Associations estimates a U.S. driver shortage of 82,000 in 2024, which could widen to 160,000 by 2031. Nearly 40% of commercial drivers in Europe are over age 55. Driver shortages will continue to push up operating costs and limit transport network expansion. In addition, diesel costs account for 30% to 40% of road freight operating costs, and fuel price volatility along with capital pressure from the transition to alternative energy sources make reinvestment challenging for small and medium-sized operators.

Regional Impact

Regional Impact

• Asia-Pacific: China's Belt and Road Initiative and India's "Gati Shakti" National Master Plan (involving investment of over $1.2 trillion) are accelerating the construction of multimodal transport corridors, reducing transit times, and developing inland markets. The Asia-Pacific market is growing at 5.92%, the fastest globally.
• Europe: Accounting for approximately 24% of the global market, the EU's new "Combined Transport Directive" is shifting road freight to rail and waterways by extending incentives through 2030.
• North America: Accounting for approximately 22%, with a market size approaching $1.5 trillion in 2025. The nearshoring trend is reshaping freight flows along the U.S.-Mexico border, driving cross-border logistics demand.