Third-party Logistics Market Analysis Report By Service, By Transport, By End Use And Segment Forecasts From 2021 To 2028

Report ID: MN17618444  |  Published: July 2021  |  No of Pages: 219
Format: Electronic (PDF)  |  Industry: Automotive & Transport


The global third-party logistics market was prized by USD 889.01 billion in 2020. It is estimated to witness an 8.5% CAGR from 2021 to 2028.


The growth of new-fangled technology, enlargement of the logistics infrastructure in the Middle East and Asia, and the speedy expansion of the worldwide e-commerce segment are the factors estimated to considerably add to the escalation of the market for third-party logistics (3PL).

Shippers are concentrating on subcontracting the logistics movements to improve their procedure as well as price efficiency. The improved running capital plus globalization have initiated the requirement for well-organized inventory administration services.


Furthermore, the reformation of the brick & mortar business form goes on to offer active development of the industry. The global supply chain is altering and becoming additionally customer-centric. This facilitates the companies to contract out their supply chain actions, to concentrate on receptiveness and adaptableness.

The rules & regulations of the customs department and the unpredictable worldwide certification process require proficiency to manage the composite supply chain movement. Therefore, medium and small-sized establishments are, moreover, powering the third-party logistics services.

Effect of Covid-19

The outbreak of coronavirus has disturbed the global supply chain function. The disaster has positioned exceptional stress on the logistics and transport means. The shippers are in front of uncertainty in the traffic of the merchandise due to the lockdowns in specific nations. The logistics systems are disturbed, owing to the inequality of demand and supply plus the shortage of capability for the long haul as well as last-mile completion services. The inadequate workforce, along with abridged operational time, is more restrictive to the logistics actions.

Transport Insight

In 2020, the section of the roadway held more than 59.0% revenue share of the third-party logistics market. The increasing public-private joint venture type and augmented stress on the logistics infrastructure are estimated to impel the enlargement of the roadways division, during the forecast period. Besides, several government proposals are powering the expansion of the road transportation division.

Airways are projected to come out like the highest increasing sector, growing by 9.4% CAGR, during the forecast period. The current eruption of the coronavirus has placed limitations on the international air cargo traffic, causing a huge fall in the airlift capability, so raising the carrier charges.

Service Insight

In 2020, the Domestic Transportation Management (DTM) sector retained the leading, more than 32.0% revenue share of the third-party logistics (3PL) market. The Domestic Transportation Management (DTM) services are carried out, together with a source of the shipment to their end location.

Increasing fuel surcharges, escalating transporter expenses, a rise in cross-docking services, and the rising business movements between the receiving docks to a storehouse are the factors, inspiring the escalation of the domestic transportation management sector. The increasing end-user demand in the subdivisions, like healthcare and retail, plus the stable GDP development of the diverse nations are, additionally, supporting the expansion of the section.

The continuous enlargement in global trade and industry actions, in addition to a growth in the e-commerce segment, has initiated escalation in the requirement for worldwide transport administration services. Across boundary logistics actions and business liberalization approach have augmented the worldwide dealings, thus impelling the expansion of the segment.

End-Use Insight

In 2020, the manufacturing segment seized the biggest, above 24.0%, revenue share of the third-party logistics market. Since the industry comprises a composite supply chain procedure, manufacturing plus logistics are closely connected. The manufacturing division includes the buying of the raw materials and additional components from diverse resources, through the state.


The participation of a variety of distributors and dealers creates the logistics action a tiresome work. On account of the profits presented, in the conditions of better customer services, vendor as well as inventory administration, low-priced transport, growth of business procedure, and visibility of supply chain, the manufacturing segment is subcontracting the logistics actions.

Regional Insight

In 2020, Asia Pacific held the highest revenue share and is estimated to appear like the speedily developing local market, throughout the forecast period. The rising trans-provincial business passageway, as well as gateways, is anticipated to generate enlargement openings for the suppliers of third-party logistics.

The attentiveness of sourcing and manufacturing, in China, has been directed towards the planned move of the automotive, technology, and pharmaceuticals divisions in new countries. This type of move is anticipated to boost the enlargement of the 3PL market, in the nations like Vietnam, South Korea, India, and Japan. The current expansion of the logistics infrastructure and growing importance of the transport system in budding nations is estimated to push the enlargement of the market for third-party logistics.

By way of the leadership of the U.S, in the expansion of the local market, North America retained a major share, in 2020. The fixed track capability, through the U.S., has directed the shippers to go in the direction of the devoted services of contract carriage. The increasing requirement for the cold storage space, within the region, is anticipated to increase the expansion of the market, during the near future. Besides, the attendance of major companies, together with XPO Logistics, Inc., and C.H. Robinson Worldwide (CHRW) Inc. encourages the development of the provincial market.


With the ambition to power their provincial competence, major companies are concentrating on the policies such as mergers & acquisitions, joint ventures with medium and small-sized companies. The crucial companies are contracting out the logistics services to native companies, to retain their high-profit margin along with the low down overhead expenditure.

The companies are concentrating on presenting technically motivated services, like instantaneous tracking of the shipment, and optimization of the route. Moreover, the companies are trying to retain total visibility above the complete supply chain, with no overstraining the customers. The growth of shipper-carrier interaction enhances sharing of the information and clearness between both the participants, generating positive business surroundings.

Some of the companies for the third-party logistics market are:

    • United Parcel Service of America, Inc.
    • Kuehne + Nagel
    • FedEx
    • DSV
    • C.H. Robinson Worldwide, Inc.
    • Nippon Express
    • J.B. Hunt Transport, Inc.
    • DB Schenker Logistics
    • CEVA Logistics
    • BDP International

Report Scope

Report Attribute


The market size value in 2021

USD 956.80 billion

The revenue forecast in 2028

USD 1,691.86 billion

Growth rate

CAGR of 8.5% from 2021 to 2028

The base year for estimation


Historical data

2016 - 2019

Forecast period

2021 - 2028

Quantitative units

Revenue in USD billion and CAGR from 2021 to 2028

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Service, transport, end-use, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA

Country scope

U.S.; Canada; Germany; U.K.; France; China; India; Japan; Australia; Brazil; Mexico

Key companies profiled

BDP International; C.H. Robinson Worldwide, Inc.; CEVA Logistics; DSV; DB Schenker Logistics; FedEx; J.B. Hunt Transport, Inc.; Kuehne + Nagel; Nippon Express; United Parcel Service of America, Inc.

Customization scope

Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope

Pricing and purchase options

Avail of customized purchase options to meet your exact research needs. 

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2028. For this study, Million Insights has segmented the global third-party logistics market report based on service, transport, end-use, and region:

• Service Outlook (Revenue, USD Billion, 2016 - 2028)
    • Dedicated Contract Carriage (DCC)/Freight Forwarding
    • Domestic Transportation Management (DTM)
    • International Transportation Management (ITM)
    • Warehousing & Distribution (W&D)
    • Value-Added Logistics Services (VALs)

• Transport Outlook (Revenue, USD Billion, 2016 - 2028)
    • Roadways
    • Railways
    • Waterways
    • Airways

• End-use Outlook (Revenue, USD Billion, 2016 - 2028)
    • Manufacturing
    • Retail
    • Healthcare
    • Automotive
    • Others

• Regional Outlook (Revenue, USD Billion, 2016 - 2028)
    • North America
        • U.S.
        • Canada
    • Europe
        • Germany
        • U.K.
        • France
    • The Asia Pacific
        • China
        • India
        • Japan
        • Australia
    • Latin America
        • Brazil
        • Mexico
    • MEA

What questions do you have? Get quick response from our industry experts. Request More information
Key questions answered in the report include
key questions
We also offers customization on reports based on specific client requirement.
Request for Customization

Choose License Type

Research Assistance

Ryan Manuel
Ryan Manuel

Research Support Specialist, USA

  1. Phone: +1-408-610-2300
  2. Toll Free: +1-866-831-4085
  3. Email: [email protected]
Connect With Expert
  • World's largest premium report database
  • Transparent pre & post sale customer engagement model
  • Unparalleled flexibility in terms of rendering services
  • Safe & secure web experience
  • 24*5 Research support service

Get a Free Sample

FREE sample contains market data points, ranging from trend analyses to market estimates & forecasts. See for yourself...