Supply Chain Innovations Fuel Automotive Logistics Market to $433.6 Billion by 2031

Growing vehicle production, EV demand, and global trade drive automotive logistics market growth, supported by tech advancements and supply chain optimization.

WILMINGTON, DE, UNITED STATES, August 14, 2025 /EINPresswire.com/ -- According to a new report published by Allied Market Research, titled, “Automotive Logistics Market by Service (Warehousing, Transportation), by Type (Finished Vehicles, Automotive Parts), by Mode of Transport (Land, Air, Sea), by Distribution Area (Domestic, International): Global Opportunity Analysis and Industry Forecast, 2021 - 2031” The global automotive logistics market was valued at USD 241.7 billion in 2021, and is projected to reach USD 433.6 billion by 2031, growing at a CAGR of 6.1% from 2022 to 2031.

The automotive logistics market encompasses the transportation, warehousing, and distribution of vehicles, automotive parts, and related components across global supply chains. It plays a critical role in ensuring the smooth flow of raw materials to manufacturers and finished vehicles to dealers and end customers. The market is supported by advancements in supply chain management, the rise of electric vehicles (EVs), globalization of automotive production, and increasing demand for faster, more efficient logistics solutions.

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𝗠𝗮𝗿𝗸𝗲𝘁 𝗗𝘆𝗻𝗮𝗺𝗶𝗰𝘀
1. Growing Vehicle Production and Sales
The rising global demand for automobiles, including passenger cars, commercial vehicles, and EVs, is a major driver for the automotive logistics market. As automotive production expands to meet consumer needs, logistics providers are under pressure to enhance transportation efficiency, streamline operations, and reduce lead times.

2. Technological Advancements in Logistics
Digitalization, IoT, telematics, and blockchain are transforming automotive logistics. Real-time tracking, predictive analytics, and automated warehouse operations are improving supply chain visibility and operational efficiency, helping manufacturers and logistics providers reduce costs and respond quickly to disruptions.

3. Expansion of Electric Vehicle (EV) Supply Chains
The growth of the EV market is reshaping automotive logistics, with specialized requirements for transporting batteries and EV components. This is creating opportunities for logistics companies to develop customized solutions that meet safety, compliance, and temperature-controlled transport standards.

4. Global Trade and Supply Chain Challenges
Trade fluctuations, port congestion, and geopolitical tensions can disrupt automotive supply chains, affecting delivery times and costs. Logistics providers are increasingly adopting flexible routing strategies, nearshoring, and multi-modal transport to mitigate these risks.

5. Sustainability and Green Logistics
Environmental concerns are driving the adoption of eco-friendly transport solutions, such as electric trucks, alternative fuels, and carbon-neutral shipping. Automotive OEMs and logistics companies are aligning with sustainability goals to reduce the carbon footprint of supply chains.

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𝗦𝗲𝗴𝗺𝗲𝗻𝘁 𝗢𝘃𝗲𝗿𝘃𝗶𝗲𝘄
The automotive logistics market is segmented on the basis of service, mode of transport, type, distribution area, and region. By service, it is segmented into warehousing, and transportation. By mode of transport, it is segmented into land, air, and sea. By type, it is classified into finished vehicles and automotive parts. By distribution area, the market is categorized into domestic and international. By region, the report is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

𝗥𝗲𝗴𝗶𝗼𝗻𝗮𝗹 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀
Asia-Pacific
Asia-Pacific is projected to lead the global automotive logistics market, driven by the rapidly growing e-commerce sector in emerging economies across the region. Government initiatives to enhance logistics infrastructure, along with Japan’s robust economy, are fueling market expansion. Additionally, advancements in infrastructure and increased trade facilitation through agreements like the South Asian Preferential Trade Agreement (SAPTA) are expected to further accelerate the region’s automotive logistics industry growth during the forecast period.

Europe & North America
Europe’s market is supported by advanced logistics networks, regulatory focus on sustainability, and the strong presence of global automotive brands. North America benefits from technological integration in logistics and strong trade networks, although challenges in labor availability and transportation costs remain key considerations.

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𝗖𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝘃𝗲 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀
The automotive logistics market is competitive, with global players like United Parcel Service of America, Inc., Kuehne+Nagel International AG, A.P. Moller – Maersk A/S, DSV A/S, geodis SA, C.H. Robinson Worldwide, Inc., Deutsche Post DHL Group, FedEx Corporation, Schenker Deutschland AG, Hellmann Worldwide Logistics, CEVA Logistics AG, Nippon Express Co., Ltd. These companies focus on technology integration, expanding global footprints, and developing tailored logistics solutions for automotive clients.

Strategic Initiatives
Major players are investing in automation, AI-driven supply chain optimization, and green logistics solutions to meet OEM demands. Partnerships between automakers and logistics providers are increasingly common, aimed at enhancing efficiency, reducing costs, and ensuring timely delivery in global markets

𝗞𝗲𝘆 𝗳𝗶𝗻𝗱𝗶𝗻𝗴𝘀 𝗼𝗳 𝘁𝗵𝗲 𝘀𝘁𝘂𝗱𝘆
• By service, the warehousing segment is anticipated to exhibit significant growth in the near future.
• By type, the finished vehicles segment is anticipated to exhibit significant growth in the near future.
• By mode of transportation, the sea segment is anticipated to exhibit significant growth in the near future.
• By distribution area, the international segment is anticipated to exhibit significant growth in the near future.
• By region, Asia-Pacific is anticipated to register the highest CAGR during the forecast period.

David Correa
Allied Market Research
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