Freight Forwarding Market Share

North American Market Statistics

North America industry is poised to dominate majority revenue share of 32% by 2037. The industrial and manufacturing industries of North America are the backbone of the region's economy. These businesses require the seamless transportation of components, finished items, and raw materials over large distances.

Because of the wide variety of goods and industries that are encompassed by manufacturing and industrial activities, there is a constant demand for dependable logistics, which makes freight forwarding a crucial component of the region's economic growth and competitiveness.

There has been an increasing government initiative and infrastructure spending to assist land-based (road and rail) transportation in the United States. For instance, the most recent iteration of several federal discretionary grant programs for transportation is the 2022 RAISE program. While the initiative will focus on requiring grantees to show how they plan to integrate transportation and land-use planning, it will also advance many other aims concurrently. 

APAC Market Analysis

The Asia Pacific region will also encounter huge growth for the freight forwarding market during the forecast period and will hold the second position owing to the growing population. The rapid urbanization process has led to significant investments in freight forwarding hubs, smart warehouses, and contemporary transportation networks, all of which have improved the competitiveness and efficiency of the freight forwarding sector. Asia Pacific nations have been actively engaged in cross-border trade, which has been made possible by several trade agreements and economic alliances.

The market in China is to be supported by increasing production, imports, and exports of semiconductor chips. For instance, only about USD 3.7 billion worth of semiconductor equipment is exported from China, whereas the country imports over USD 34.6 billion worth of machinery. To increase semiconductor manufacturing, China is giving priority to sophisticated manufacturing clusters.

Real-time tracking of shipments, route optimization, and better management of the truck fleet is enabled by the growing adoption of technologies such as global positioning system (GPS) trackers, telematics & fleet management systems in Korea. The freight forwarding market is expanding because of the growing emphasis on improving and expanding road networks, such as expressways and highways, to streamline cargo transportation and boost the effectiveness of trucking operations.

In response to the surge in crude oil prices worldwide, the Japanese government implemented various subsidies which is augmenting the market growth in the region. For instance, in January 2022, the Japanese government initiated a fuel oil, gasoline, kerosene, and gasoil subsidy scheme to lessen the impact of elevated oil costs on the economy while it recovered from the epidemic. Gasoil and kerosene prices were lowered by Yen 20.20/l and Yen 20.10/l, respectively, as a result of the subsidies.