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  • Automotive Logistics Market Analysis | 2023-2028

    Automotive Logistics Market Analysis | 2023-2028

    Automotive Logistics Market Analysis | 2023-2028
    Report code - SR1218 Delivery - 2 Weeks
    Automotive Logistics Market Size, Share, Dynamics, Trends, Forecast, & Growth Analysis See more...

    Market Insights

    "The automotive logistics market was estimated at USD 185.06 billion in 2022 and is likely to grow at a CAGR of 5.73% during 2023-2028 to reach USD 259.09 billion in 2028".

    Automotive-Logistics-Market-Insights

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    Market Dynamics

    Introduction

    Automotive logistics is the process of planning, managing, and executing the movement of automotive goods from suppliers to manufacturers, and from manufacturers to consumers. It encompasses a wide range of activities, including Transportation, Warehousing, Inventory management, Customs clearance, and Order fulfillment. Automotive logistics is a complex and challenging field, as it requires the coordination of a wide range of stakeholders and the ability to adapt to changing conditions. However, it is also a vital part of the automotive industry, as it ensures that the right goods are in the right place at the right time.

    Automotive Logistics Market Report Overview

    Market Size in 2028

    USD 259.09 Billion

    Market Size in 2022

    USD 185.06 Billion

    Market Growth (2023-2028)

    CAGR of 5.73%

    Base Year of Study

    2022

    Trend Period

    2017-2021

    Forecast Period

    2023-2028

    Market Drivers

    An increase in vehicle production globally, rapid growth and development of supply chain management systems coupled with advanced material planning systems, and the growing importance of contract logistics offering integrated warehousing and transportation solutions are some of the factors expected to accelerate the progress of the market during the forecast period.

    Challenges

    • Global Supply Chain Disruptions: The automotive logistics sector is highly dependent on global supply chains. Disruptions due to geopolitical tensions, natural disasters, or pandemics (as experienced with COVID-19) can significantly impact the timely delivery of automotive components and vehicles.
    • Complex Regulatory Environment: Different regions have varying regulatory frameworks related to transportation, customs, and safety standards. Navigating this complex regulatory environment poses a challenge for automotive logistics providers, especially when operating across borders.
    • Technological Integration: While technology can enhance efficiency, integrating new technologies like IoT, blockchain, and advanced analytics into existing logistics systems can be challenging. Upgrading systems and ensuring compatibility across the entire supply chain requires substantial investment and coordination.
    • Environmental Concerns and Regulations: Increasing environmental awareness and regulations aimed at reducing carbon emissions present challenges for the automotive logistics market. Meeting emission standards while maintaining cost-effectiveness is a delicate balance.
    • Capacity Constraints: Fluctuations in demand, especially during economic downturns or unexpected events, can lead to capacity constraints. Adequate warehousing and transportation resources must be available to handle peak demand periods without causing delays.

    Opportunities

    • E-commerce Growth: The rise of online car sales and the increasing demand for automotive components through e-commerce channels present an opportunity for logistics providers to optimize their processes and tap into a growing market.
    • Advanced Analytics and AI: Leveraging advanced analytics, artificial intelligence, and machine learning can provide insights for route optimization, demand forecasting, and inventory management. This can lead to cost savings and improved overall efficiency.
    • Electric Vehicle (EV) Logistics: The shift towards electric vehicles presents new opportunities for logistics providers. This includes transporting batteries, managing charging infrastructure logistics, and adapting to the unique requirements of EV components.
    • Collaborative Partnerships: Forming strategic partnerships and collaborations within the automotive supply chain can enhance efficiency. Collaborative efforts between OEMs, suppliers, and logistics providers can lead to streamlined processes and reduced costs.
    • Sustainable Practices: The growing emphasis on sustainability opens opportunities for logistics providers to adopt eco-friendly practices. This includes using electric or hybrid vehicles, optimizing routes to reduce fuel consumption, and adopting green packaging solutions.
    • Diversification of Services: Offering a broader range of services, such as last-mile delivery, reverse logistics, and value-added services, can be a strategic move. Diversification can help logistics providers stay competitive and provide comprehensive solutions to their automotive clients.
    • Autonomous Vehicles: The development and eventual integration of autonomous vehicles into the logistics sector could revolutionize transportation, offering opportunities for increased efficiency and reduced operating costs. However, this also requires substantial investment in technology and regulatory adaptation.

    Segments Analysis

    Segmentations

    List of Sub-Segments

    Dominant and Fastest-Growing Segments

    Activity-Type Analysis

    Warehousing and Transportation [Roadways, Railways, Airways, and Waterways]

    The transportation segment is estimated to register a high growth rate in the market.

    Service-Type Analysis

    Inbound, Outbound, Reverse, and Aftermarket

    The inbound services segment is estimated to account for the major share of the market during the forecast period.

    Distribution-Type Analysis

    Domestic and International

    The domestic distribution segment is estimated to hold the larger share of the market over the forecast period.

    Regional Analysis

    North America, Europe, Asia-Pacific, and Rest of the World

    Asia-Pacific is estimated to witness significant growth in the market during 2023-2028.

    By Activity Type

    "The transportation segment held more than 75% market share in 2022 and is estimated to register a high growth rate in the market".

    • The market is segmented as warehousing and transportation.
    • The transportation segment held more than 75% market share in 2022 and is estimated to register a high growth rate in the market on account of the development of road infrastructure, the improvised delivery time of the product, and favorable taxation policies, utilizing connected fleet and digital platforms for transportation, boosting the overall industry progress during the forecast period.
    • On the other hand, warehousing is also estimated to witness significant growth in the global automotive logistics market over the forecast period owing to improvement in infrastructure for stocking vehicles and auto components.

    By Service Type

    "The inbound services segment held more than 60% market share in 2022 and is estimated to account for the major share of the market during the forecast period".

    • The market is segmented as inbound, outbound, reverse, and aftermarket.
    • The inbound services segment held more than 60% market share in 2022 and is estimated to account for the major share of the market during the forecast period, owing to the growing demand for raw materials and auto components from vehicle manufacturers. Further, rising demand for automotive accessories and their replacement is expected to fuel the aftermarket segment of the market over the forecast period.

    By Distribution Type

    "The domestic distribution segment market shares more than 55% in 2022 and is estimated to hold the larger share of the market over the forecast period".

    • The market is segmented as domestic and international.
    • The domestic distribution segment market shares more than 55% in 2022 and is estimated to hold the larger share of the market over the forecast period on account of the increase in intra-continent regional transportation of automotive components. In addition, escalation in import and export activities of finished vehicles and automotive products is expected to propel the international segment progress during 2023-28.

    Regional Analysis

    "Asia-Pacific held more than 25% market share in 2022 and is estimated to witness significant growth in the market during 2023-2028".

    • On account of increasing vehicle sales, rapid increase in the number of vehicle registrations, and increasing vehicle production facilities in the regional market.

    "On the other hand, Europe is expected to depict sizeable progress in the market owing to the growing demand for electric vehicles across the region during the forecast period".

    "North America is also likely to offer substantial progress opportunities in the global automotive logistics market over the forecast period".

    Automotive-Logistics-Market-Regional-Analysis

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    Key Players

    The following are the key players in the Automotive Logistics Market (arranged alphabetically).

    • CEVA Logistics
    • DHL International GmbH
    • DSV
    • Hellmann
    • Imperial Logistics
    • Kuehne + Nagel International AG
    • Ryder System, Inc.
    • SCHNELLECKE GROUP AG & CO. KG
    • SNCF Group
    • XPO Logistics, Inc.

    Note: The above list does not necessarily include all the top players in the market.

    Are you the leading player in this market? We would love to include your name. Write to us at sales@stratviewresearch.com

    Report Features

    This report provides intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the dynamics and will enable strategic decision-making for the existing players as well as those willing to enter the global automotive logistics market.

    What Deliverables Will You Get in this Report?

    Key questions this report answers

    Relevant contents in the report

    How big is the sales opportunity?

    In-depth analysis of the Automotive Logistics Market.

    How lucrative is the future?

    The market forecast and trend data and emerging trends.

    Which regions offer the best sales opportunities?

    Global, regional and country-level historical data and forecasts.

    Which are the most attractive market segments?

    Market segment analysis and Forecast.

    Which are the top players and their market positioning?

    Competitive landscape and Market share analysis.

    How complex is the business environment?

    Porter’s five forces, PEST and Life cycle analysis.

    What are the factors affecting the market?

    Drivers & challenges.

    Will I get the information on my specific requirements?

    10% free customization.

    Research Methodology

    • This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.
    • More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles have been leveraged to gather the data.
    • We conducted more than 10 detailed primary interviews with the market players across the value chain in all four regions and with industry experts to obtain both qualitative and quantitative insights.

    Report Customization Options

    Stratview Research offers one of the following free customization options to our respectable clients:

    Company Profiling

    • Detailed profiling of additional market players (up to 3 players)
    • SWOT analysis of key players (up to 3 players)

    Segmentation

    • Current segmentation of any one of the activity types by distribution type.

    Competitive Benchmarking

    • Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances.

    Custom Research: Stratview Research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com.

    Frequently Asked Questions (FAQs)

    Automotive logistics basically includes services that are required to transport automotive vehicles and/or goods within a country/region or from one region to another, depending on the type of distribution channel.

    The automotive logistics market was estimated at USD 185.06 billion in 2022.

    The automotive logistics market is likely to reach USD 259.09 billion in 2028.

    The automotive logistics market is likely to grow at a CAGR of 5.73% during 2023-2028.

    An increase in vehicle production globally, rapid progress and development of supply chain management systems coupled with advanced material planning systems, and the growing importance of contract logistics offering integrated warehousing and transportation solutions are some of the factors expected to accelerate the progress of the market during the forecast period.

    Asia-Pacific is expected to largest share of the market during the assessment period.

    CEVA Logistics, DHL International GmbH, DSV, Hellmann, Imperial Logistics, Kuehne + Nagel International AG, Ryder System, Inc., SCHNELLECKE GROUP AG & CO. KG, SNCF Group, and XPO Logistics, Inc. are the key companies in the market.

    The transportation segment has the largest share of the market during the estimated time.

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