Global and Emerging Logistics Hubs

Over the past 35 years, global trade has increased by nearly 600%, propelling the growth of logistics hubs in virtually every country around the world.

These hubs are connected via hub-and-spoke systems centered around 30 global logistics hubs - including the likes of Los Angeles, Chicago, Hong Kong, Tokyo, London and Paris - that form the backbone of today’s global supply chain.

However, as emerging markets grow and new centers of production materialize, 20 emerging markets are on the verge of becoming global logistics hubs over the next decade, including South Florida, Bajio, Busan, Suzhou, Berlin and Amsterdam.

These locations warrant close attention from the marketplace, as logistics hubs are typically home to large clusters of distribution facilities that are highly sought after by major real estate investors and logistics operators.

David Egan, CBRE’s head of U.S. industrial research told the Wall Street Journal:

“Emerging logistics centers benefit from infrastructure investment, pro-trade policies and direct connections to both manufacturing centers and growing populations of consumers, companies flock to cities with these traits, part of a global ‘hub and spoke’ system for manufacturing supply chains and distribution networks”

“These places tend to cluster around major transportation hubs, major ports, major manufacturing and major consumption,” Mr. Egan said. “They’re places where cargo and people come together.”

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Related: Top 20 U.S. Ports: Competition Heats-Up for Discretionary Cargo