Automotive Logistics Market Size
The global automotive logistics market was valued
at USD 234.72 Billion in 2021 and is expected to reach around USD 282.66 Billion by 2029, at a CAGR of about 6.3% between 2022 and 2029.
Automotive Logistics Market Overview
Automotive logistics is also referred to as transportation
and warehousing of the finished vehicles along with their systems and components
in the automotive supply chain. It provides transportation of spare parts, seamless
warehousing services for finished vehicles and production materials in
order to ensure a very smooth flow of operations.
Automotive logistics include the inbound
transportation management of components and raw materials, garage transportation
management of the entire production process along with vehicle and spare parts
transportation management, which includes the distribution processing delivery,
loading & unloading, information processing and object processing.
COVID-19 Impact Analysis on Automotive Logistics Market
The outbreak of COVID-19 caused a severe impact
on the global economies and has the potential for ripple effects in the automotive
industry and its supply chain for the upcoming years to come. Many OEMs and suppliers
from all the tiers are in the process to restructure their supply chain model,
right from sourcing their raw material to the final product.
The pandemic of COVID-19 has made the automakers
to hence diversify their supply chains and focus on the localization of their
production facility. During the pandemic, there was a strict ban on public
gatherings, cross border transfers and similar, which incurred enormous losses
for the manufacturers which heavily depended on the raw material supply from a single
region. Most of the semiconductors that are used in the vehicles are sourced
from China & Taiwan, however, due to the cross-border transfer bans, manufacturers
have been incapable to fulfill the unexpected rebound that occurred in demand
due to the post lockdown capacity constraints. The OEMs hence aim to restock the
inventories and boost the demand or the shortage of raw materials, thus enhancing
and emerging in 2021.
Automotive Logistics Market Dynamics
Automotive Logistics Market Drivers
- Digitalization
of the operations
- Increasing
efficiency in the finished vehicle logistics operations
- Infrastructure
Development in Developing Countries to Boost the Usage of Logistics
Automotive Logistics Market Restraints
- Shortage
of truck drivers
- Logistics
Players Require High Initial Capital Investment
Automotive Logistics Market Opportunities
- Usage
of Blockchain for Efficient Logistics Operations
- Implementation/Usage
of Driverless Vehicles
Automotive
Logistics Market Segmental
Analysis
The global automotive logistics market is
segmented into type, activity, mode of transport, distribution and logistics
solutions.
Automotive Logistics Market, By Type
Based on the type, the global automotive logistics
market is segmented into automobile parts and finished vehicles, wherein the
automobile parts type dominated the segment by accounting for more than 75% of
the share in 2021. This segment includes the revenue which is generated from
the logistics of spare parts from both the aftermarket as well as the
automobile manufacturers. Apart from this, the strict regulations by the
government for carbon emission is generating the need to upgrade standard
aftermarket parts for the vehicles already in the market, thus supporting the development
of this segment.
Revenue generated from the logistics of the finished vehicles comes under the finished vehicles type segment and is expected to grow rapidly due to the increasing demand for electric and the low emission vehicles. This rising demand is accredited to favorable government initiatives and the tax credit availability after purchasing these vehicles.
Automotive Logistics Market Key Players
- XPO Logistics, Inc.
- DB Schenker
- DHL
- DSV
- Kuehne + Nagel
- SNCF
- Ryder System, Inc.
- BLG LOGISTICS GROUP AG & Co. KG
- Imperial Logistics
- CEVA Logistics
- Deutsche Post AG
- Hellmann Worldwide Logistics
- Penske Automotive Group, Inc.
- CFR Rinkens
- Expeditors International of Washington, Inc.
- Kerry Logistics Network
- Nippon Express Co. Ltd.
- Schnellecke group ag & co. Kg
- Others