Third-Party Logistics (3PL) Market Research Report—Global Forecast till 2030

Third-Party Logistics Market Research Report Information By Service (Domestic Transportation, International Transportation, Value-Added Warehousing, Distribution, and Others), By Mode of Transport (Railways, Roadways, Waterways, and Airways), By Application (Manufacturing, Retail, Healthcare, Automotive, and Others), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) – Market Forecast Till 2030

ID: MRFR/PNT/8518-HCR | | Region: Global | 190 Pages         

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Global Third-Party Logistics Market Overview:


Third-Party Logistics Market Size was valued at USD 1022.8 billion in 2021. The third-party logistics market industry is projected to grow from USD 1111.78 Billion in 2022 to USD 1993.54 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 8.70% during the forecast period (2022 - 2030). increase in trading activities due to ization, and growth in the manufacturing industry are the key market drivers enhancing the market growth.


Global Third-Party Logistics Market


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Third-Party Logistics Market Trends




  • Increase in trading activities owing to globalization to boost the market growth




Globalization is primarily driven by the expansion of the economy and the dynamism of the market. As globalization has increased, several trade-related activities have been seen to increase. As a result, manufacturers and merchants find it challenging to effectively monitor these operations. 3PL businesses assist these producers in monitoring and managing these activities. The market is anticipated to be driven by this factor. For instance, in 2019, Nepal and China signed the protocol of implementing agreement on transit and transport along with 6 other agreements to enable Nepal to access Chinese sea and land port.


The expansion of the market is another important driver of the third-party logistics sector's expansion. For customers who are budget conscious and demand a greater selection of high-quality products with prompt delivery, third-party logistics services are more important. As a result, the globalization-related increase in trading activity drives the third-party logistics market's expansion.


Figure 1: Parcel Shipping volume globally in top 5 countries from 2014-2021 (in billion units)


Parcel Shipping volume ly in top 5 countries from 2014-2021 (in billion units)


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Moreover, in the market, there has been an increase in the focus of manufacturers and merchants on their core businesses and subcontracting out tasks like logistics where they lack expertise. Here, promoting specialized production and distribution is the main objective. By balancing the needs of various client shippers throughout the transportation and distribution operations, third party logistics organizations can make greater use of transportation assets and achieve economies of scale. Supply chains get longer and more complex as a result of outsourcing and offshoring. As of 2020, the program called “Move to 4.0” was launched to support the transformation of existing manufacturing companies in Europe by diversifying or transforming their businesses through innovative technologies and new business models. Such significant growth in the manufacturing industry is anticipated to drive the third-party logistics market during the forecast period.


However, the expansion of the e-commerce industry due to the adoption of online platforms by small traders are support the e-commerce which is another factor driving the growth of the third-party logistics market revenue.


Third-Party Logistics Market Segment Insights:


Third-Party Logistics Service Insights


The third-party logistics market segmentation, based on service, includes domestic transportation, international transportation, value-added warehousing, distribution, and others. The domestic transportation third-party logistics segment held the majority share in 2021 contribution to around ~65-67% in respect to the third-party logistics market revenue. This is primarily owing to the third-party logistics giants are acquiring other logistics service providers to expand their businesses and market share. For instance, in May 2020, Rhenus Group acquired the logistics group LOXX, which specializes in general cargo, less-than-truckload (LTL), and full truckload (FTL) business segments to improve the LTL and domestic transportation capabilities of the company in Germany.


Third-Party Logistics Mode of Transport Insights


The third-party logistics market segmentation, based on mode of transport, includes railways, roadways, waterways, and airways. The roadways segment dominated the market in 2021 and the airways mode of transport is projected to be the faster-growing segment during the forecast period, 2022-2030. This is due to the improvement of road infrastructure and increase in cross border trades between landlocked countries across the globe. Moreover, higher traffic congestion on the highways is an essential factor for the growth of railway logistics transportation. Hence, rising mode of transportation options for third-party logistics positively impacts the market growth.


May 2022: Deutsche Post AG announced the opening of new logistics terminal for road freight in Sofia, which acted as an important hub in eastern Europe for road freight services to provide fast and easy access to logistics solutions to its customers in the Sofia region, thereby allowing Deutsche Post AG to expand further on its logistics capacities. Such developments are broadened the growth opportunity for the third-party logistics industry.


Third-Party Logistics Application Insights


The third-party logistics market data has been bifurcated by application into manufacturing, retail, healthcare, automotive, and others. The automotive segment dominated the market in 2021 and healthcare segment is projected to be the faster-growing segment during the forecast period, 2022-2030. Many automobile manufacturers are partnering with specialist automotive third-party logistics service providers to find effective solutions and penetrate in new market, for safe and efficient movement of products in various countries.


March 2020: XPO Logistics Inc. Has signed a long-term partnership agreement with Mercedes-Benz parts logistics to manage UK parts distribution through an integrated, digitally managed transportation network. This partnership has further broadened the growth opportunity for the third-party logistics industry.


Figure 2:  Third-Party Logistics Market, by Application, 2021 & 2030 (USD Billion)


Third-Party Logistics Market, by Application, 2021 & 2030 (USD Billion)


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Additionally, factors such as value-based care & cost management to the end-users, patients and demand for reliable, real-time tracking and monitoring solutions to ensure safety protocols fuels the demand for third-party logistics solutions in the healthcare industry.


Third-Party Logistics Regional Insights


By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. Asia-Pacific Third-Party Logistics market accounted for USD 438.78 billion in 2021 and is expected to exhibit a significant CAGR 42.90% growth during the study period. This is attributed to significant opportunity for third-party logistics providers is anticipated to arise from the expanding trans-regional trade corridors and ports. Technology, pharmaceuticals, and the automobile industry have strategically shifted to other nations as a result of the concentration of manufacturing and sourcing in China.


Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.


Figure 3:  THIRD-PARTY LOGISTICS MARKET SHARE BY REGION 2021 (%)


THIRD-PARTY LOGISTICS MARKET SHARE BY REGION 2021 (%)


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


North America third-party logistics market accounts for the second-largest market share due to the increase in partnership among leading logistics service providers for incorporation of new projects. Furthermore, various initiatives undertaken by the governmental bodies to accelerate the third-party logistics market enhance their capabilities and boost their position in the market. Further, the United States third-party logistics market held the largest market share, and the Canada third-party logistics market was the fastest growing market in the European region


The Asia-Pacific Third-Party Logistics Market is expected to grow at the fastest CAGR from 2022 to 2030. This is due to booming e-commerce industry in emerging countries and increased adoption of outsourced logistics services in the region is driving the growth of the third-party logistics market during the forecast period. Moreover, China third-party logistics market held the largest market share, and India's third-party logistics market was the fastest-growing market in the Asia-Pacific region


Third-Party Logistics Key Market Players & Competitive Insights


Major market players are spending a lot of money on R&D to increase their product lines, which will help the third-party logistics market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the third-party logistics industry must offer cost-effective products and services to expand and survive in an increasingly competitive and rising market environment.


One of the primary business strategies adopted by manufacturers in the third-party logistics industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, the third-party logistics industry has provided transparency and reduced disruptions in supply chain. The third-party logistics market major player such as C.H. Robinson Worldwide of the United States, BDP International Inc. of the United States, CEVA Logistics of Switzerland, Kerry Logistics of Hong Kong, FedEx Corporation of the United States, Nippon Express of Japan, DSV Panalpina A/S of Denmark, and others are working to expand the market demand by investing in research and development activities.


C.H. Robinson Worldwide Inc. (U.S.) is a  provider for supply chain solutions headquartered in Minnesota that serves a wide network of industries. It partners with a wide variety of transportation companies to offer cost efficient transport solutions to its clients. In addition, it provides supply chain solutions involving the sourcing of fresh fruits and other perishable items around the world under the Robinson Fresh trade name. For instance, February 2022, C.H. Robinson Worldwide Inc. Expanded its Asian reach by opening a new office in Beijing with its favorable location in the Chaoyang district, this location offered easier access for customers to access the services of the firm in Asia.


Also, DSV Panalpina A/S of Denmark provides transport and logistics services. It offers air freight, air freight compliance, and carrier and sea air freight services, as well as freight container logistics services. In addition, it offers logistics solutions for automotive, consumer products, healthcare, and others. For instance, in February 2022, DSV expanded its warehousing capacity by constructing additional warehouses in Limburg. These warehouses offered additional crossdock, storage and offices for the customers and employees of the road and solutions divisions as well as the joint shared services center.


Key Companies in the third-party logistics market include



  • H. Robinson Worldwide of the United States

  • BDP International Inc. of the United States

  • CEVA Logistics of Switzerland

  • Kerry Logistics of Hong Kong

  • FedEx Corporation of the United States

  • Nippon Express of Japan

  • DSV Panalpina A/S of Denmark, among others


Third-Party Logistics Industry Developments


September 2022: FedEx corporation expanded FedEx international connect plus (FICP) an international day-definite, e-commerce shipping service, to four more markets across the Asia-Pacific, The Middle East and Africa.


Third-Party Logistics Market Segmentation:


Third-Party Logistics Service Outlook



  • Domestic Transportation

  • International Transportation

  • Value-added Warehousing

  • Distribution

  • Others


Third-Party Logistics Mode of Transportation Outlook



  • Railways

  • Roadways

  • Waterways

  • Airways


Third-Party Logistics Application Outlook



  • Manufacturing

  • Retail

  • Healthcare

  • Automotive

  • Others


Third-Party Logistics Regional Outlook



  • North America

    • US

    • Canada



  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

    • Rest of Europe



  • Asia-Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

    • Australia

    • Rest of Asia-Pacific



  • Rest of the World

    • Middle East

    • Africa

    • Latin America





Report Scope:

Report Attribute/Metric Details
Market Size 2021 USD 1022.8 billion
Market Size 2022 USD 1111.78 billion
Market Size 2030 USD 1993.54 billion
Compound Annual Growth Rate (CAGR) 8.70% (2022-2030)
Base Year 2021
Market Forecast Period 2022-2030
Historical Data 2018 & 2020
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Service, Mode of transportation, Application, and Region
Geographies Covered North America, Europe, Asia Pacific, and Rest of the World
Countries Covered The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled C.H. Robinson Worldwide of the United States, BDP International Inc. of the United States, CEVA Logistics of Switzerland, Kerry Logistics of Hong Kong, FedEx Corporation of the United States, Nippon Express of Japan, DSV Panalpina A/S of Denmark, and others
Key Market Opportunities Increase in trading activities due to the ization
Key Market Dynamics Growth in manufacturing industry Expansion of e-commerce industry


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Frequently Asked Questions (FAQ) :

The third-party logistics market size was valued at USD 1022.8 Billion in 2021.

A 3PL provider focuses on the day-to-day operations of your supply chain logistics while a 4PL focuses on optimizing your entire supply chain.

The third-party logistics market is projected to grow at a CAGR of 8.70% during the forecast period, 2022-2030.

Asia-Pacific had the largest share in the third-party logistics market

The key players in the third-party logistics market are C.H. Robinson Worldwide of the United States, BDP International Inc. of the United States, CEVA Logistics of Switzerland, Kerry Logistics of Hong Kong, FedEx Corporation of the United States, Nippon Express of Japan, DSV Panalpina A/S of Denmark, and others.

The domestic transportation third-party logistics category dominated the market in 2021.

The roadways mode of transportation had the largest share in the third-party logistics market.