Global Contract Logistics Market Set for 4.2% Growth in 2024

The Global Contract Logistics 2024 Report from Ti Insight indicates a return to pre-pandemic demand and growth patterns in the contract logistics market. According to Ti's latest market data, the global contract logistics market experienced a 3.5% growth in real terms in 2023, up from 3% in 2022, with a projected growth of 4.2% in 2024.

Emerging economies are driving this growth, particularly the Asia Pacific region, which saw a 7.5% year-over-year increase in 2023. In comparison, North America and Europe grew by 1.6% and 0.2% respectively. The report, compiled by Ti's researchers and analysts, utilizes data from the GSCi knowledge portal.

“In contrast to other logistics segments, the global contract logistics market largely remains resilient against economic headwinds,” said Paul Chapman, Senior Editor at Ti. “We are also seeing continued consolidation in the market as companies seek to secure market position through acquisition.”

Key findings include the Asia Pacific region leading growth again in 2024 with a projected 7.1% increase, while Europe and North America are expected to see growth rates below the global average. The report also mentions that warehouse costs have been rising steadily but have slowed into Q4 2023 and that nearly 60% of surveyed companies plan to increase outsourcing of their supply chain management.

DHL Supply Chain remains the global leader in contract logistics, with revenues nearly double those of its closest competitor, GXO. DHL dominates the North American and European markets and ranks third in the Asia Pacific region.

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