Chemical Logistics Market size is estimated at USD 282.8 billion in 2024 and is set to cross USD 476.8 billion by the end of 2037, registering more than 4.1% CAGR during the forecast period i.e., between 2025-2037. In 2025, the industry size of chemical logistics is evaluated at USD 294.4 billion.
The primary growth driver of the chemical logistics market is the increasing demand for chemicals across various industries including industrial and manufacturing, pharmaceutical and healthcare, and agriculture and agrochemicals.
Growth in sectors such as automotive, aerospace, electronics, and consumer goods drives the need for raw chemicals and specialty chemicals used in manufacturing processes. For instance, according to the International Organization of Motor Vehicle Manufacturers (OICA), total production of automobiles in the U.S. was 10.6 million in 2023, contributing to significant growth in the automotive sector. Moreover, rising demand for pharmaceutical products and biochemical, including active pharmaceutical ingredients (APIs) and vaccines, fuels the need for specialized logistics solutions that ensure safe and compliant handling.
Growth Drivers
Challenges
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
4.1% |
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Base Year Market Size (2024) |
USD 282.8 billion |
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Forecast Year Market Size (2037) |
USD 476.8 billion |
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Regional Scope |
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Mode of Transportation (Roadways, Railways, Airways, Waterways, Pipelines)
Roadway segment is set to capture around 45.2% chemical logistics market share by the end of 2037 and is expected to expand at a CAGR of 3.3% from 2025 to 2037. Road transport provides flexible routing and direct access to various locations, including those not served by rail or sea. This flexibility is crucial for delivering chemicals to diverse industrial sites, warehouses, and distribution centers.
The use of specialized road vehicles, such as tankers and container transport, allows for the safe and compliant handling of various types of chemicals, including hazardous materials. The tank container fleet keeps expanding on the back of global chemical demand. The International Tank Container Organization (ITCO) 2023 reports that the global tank container fleet grew by 8.65% in 2022 to 801,800 units in 2023.
Services (Transportation & Distribution, Storage & Warehousing, Customs & Security, Green Logistics, Consulting & Management Services)
Transportation and distribution segment in the chemical logistics market is expected to register over 3.5% growth and hold a market share of 50.1% through 2037. The rising global trade of chemical products is driving a high demand for efficient transportation and distribution services. Advanced and reliable logistics handle international chemical shipments effectively by complying with environmental regulations. Furthermore, transportation and distribution services equipped with advanced technologies such as IoT, real-time GPS tracking, and automated inventory management systems are widely employed by end users as they streamline operations smoothly.
Our in-depth analysis of the chemical logistics market includes the following segments:
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Mode of Transportation |
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Services |
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End user |
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APAC Market Forecast
Asia Pacific chemical logistics market size is estimated to increase from USD 120.4 billion in 2025 to USD 192.8 billion by 2037, expanding at a CAGR of 4.0%. The chemical companies are targeting the region and building their manufacturing units to earn high profits. The swift rise in the chemical industry is anticipated to directly boost the demand for logistics services. India, China, Australia, Japan, and South Korea are some of the high-earning marketplaces in the region.
India holds 6th position as a chemical producer across the world and 3rd in Asia Pacific, contributing 7% to the country’s GDP. The rapidly expanding chemical sector is directly fuelling the demand for logistics services in the country. As per the estimations by the India Brand Equity Foundation, the chemical sector of India is projected to reach USD 300 billion by 2030. In May 2024 the organic and inorganic chemical exports reached USD 4.7 billion.
Europe Market Statistics
Europe chemical logistics market is set to exhibit around 5.2% CAGR till 2037 owing to the strong presence of chemical manufacturers such as BASF, INEOS, and Shell Chemicals. DSV is one of the trusted chemical logistic solution and transport service providers in the region. The rising exports of petrochemicals are anticipated to augment the demand for logistics services in the coming years. Countries such as the UK, France, and Germany are significant marketplaces for petrochemicals such as ethylene.
The UK is leading in the research and manufacturing of zero-carbon vehicles, which is directly driving the supply chain prospects for chemicals required in developing automobiles. Croda International Plc. and Johnson Matthey Plc. are leading chemical companies in the country.
The leading companies in the chemical logistics market are adopting several organic and inorganic strategies such as the integration of advanced technologies, collaborations, mergers, and regional expansions to reach a wider consumer base. Industry giants are tapping into high-potential chemical markets such as Asia Pacific, Latin America, and MEA to earn more. The chemical logistics market players are also collaborating with technology companies and local logistic service providers to increase their market reach.
Some of the key players include:
Author Credits: Saima Khursheed
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