Agentic AI In The Supply Chain And Logistics Market Size and Share
Agentic AI In The Supply Chain And Logistics Market Analysis by Mordor Intelligence
The Agentic AI In The Supply Chain And Logistics Market size is estimated at USD 8.67 billion in 2025, and is expected to reach USD 16.84 billion by 2030, at a CAGR of 14.20% during the forecast period (2025-2030). This growth reflects a decisive pivot from reactive processes to autonomous, multi-agent decision-making that ingests structured and unstructured signals in real time. Demand intensifies as enterprises push beyond point solutions toward end-to-end orchestration that balances cost, speed, and resilience. Software-centric ecosystems dominate, yet implementation services surge as firms race to retrofit legacy ERP and WMS environments. Vertical demand patterns show early retail leadership giving way to food-and-beverage acceleration, while hybrid deployments gain traction as companies reconcile data sovereignty with cloud scalability. [1]MIT Technology Review Insights, “Building Supply Chain Resilience with AI,” technologyreview.com
Key Report Takeaways
- By component, software platforms held 54.2% of the agentic AI in the supply chain and logistics market share in 2024, whereas services are projected to post a 16.4% CAGR through 2030.
- By application, demand forecasting captured 32.1% of the agentic AI in the supply chain and logistics market size in 2024, yet transportation routing is advancing at a 15.8% CAGR to 2030.
- By industry vertical, retail and e-commerce accounted for 30.1% share of the agentic AI in the supply chain and logistics market size in 2024, while food and beverage is expanding at a 15.6% CAGR through 2030.
- By deployment mode, cloud-based models commanded 60.11% of the agentic AI in the supply chain and logistics market share in 2024, whereas hybrid configurations are registering a 16.2% CAGR on mounting security and latency needs.
- By geography, North America led with 39.3% revenue share in 2024; Asia-Pacific is projected to outpace all regions with a 16.1% CAGR through 2030.
Global Agentic AI In The Supply Chain And Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Explosive e-commerce order volume and SKU proliferation | +2.8% | Global, high in North America and Asia-Pacific | Short term (≤ 2 years) |
| Rising real-time visibility demands from Tier-1 retailers | +2.1% | North America and Europe, expanding to APAC | Medium term (2-4 years) |
| Cost-down pressure from volatile freight and fuel prices | +1.9% | Global, strongest in emerging markets | Short term (≤ 2 years) |
| Multi-agent reinforcement learning for dynamic pricing and routing | +1.7% | North America and Europe, pilots in APAC | Medium term (2-4 years) |
| Cloud-native agent toolkits in major SCM suites | +1.2% | Global, led by NA and Europe | Long term (≥ 4 years) |
| Synthetic supply-chain data for low-data regions | +0.8% | Latin America, Africa, SEA | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Explosive E-commerce Order Volume and SKU Proliferation
Online order counts have risen 67% since 2024, while SKU breadth jumped 45%, overwhelming deterministic planning tools. Agentic systems ingest clickstream, IoT, and POS signals to rebalance inventory, trigger micro-fulfillment, and orchestrate drop-ship networks at millisecond cadence. Case studies from large-format retailers indicate 35% stock-out reduction and 28% excess-inventory decline after deploying autonomous agents that continuously learn optimal allocation patterns. The near-term impact on the agentic AI in the supply chain and logistics market is pronounced because enterprises can quantify ROI within a single peak season.
Rising Real-Time Visibility Demands from Tier-1 Retailers
Mandatory sustainability and provenance disclosures push suppliers to surface granular, shipment-level data. Agentic platforms fuse IoT telemetry, satellite imagery, and natural-language supplier correspondence to publish carbon, labor, and location metrics without manual reconciliation. Retail compliance teams report cycle-time cuts of up to 60% in producing audit files once autonomous agents automate evidence collection and anomaly detection. These visibility imperatives accelerate mid-term purchasing decisions across the agentic AI in the supply chain and logistics market. [2]IBM Research, “Agentic AI for Digital Twin,” ibm.com
Cost-Down Pressure from Volatile Freight and Fuel Prices
Freight-rate swings of up to 40% during 2024 heighten carrier-mix and mode-shift complexity. Multi-modal agents ingest real-time spot indices and weather feeds to replumb route matrices, consolidate loads, and orchestrate backhauls on the fly. Large parcel networks have documented 22% fuel savings by shifting from scheduled runs to continuously-learning routing heuristics. The urgency of operational cost control is driving immediate spend within the agentic AI in the supply chain and logistics market.
Growing Adoption of Multi-Agent Reinforcement Learning for Dynamic Pricing and Routing
Reinforcement architectures deploy fleets of collaborative agents that negotiate capacity, price, and path simultaneously. Simulation studies show 18% transport-cost reductions and 25% service-level gains over rule-based optimizers. As pilot programs scale, enterprises integrate reward signals—cost, carbon, service—into compound utility functions that update autonomously. Mid-term investments in advanced learning accelerate as talent pools mature and compute cost declines.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Vendor lock-in and integration complexity with legacy ERP/WMS | -1.6% | Global, acute in large enterprises | Medium term (2-4 years) |
| Shortage of qualified AI engineers with domain expertise | -1.1% | North America and Europe, rising in APAC | Long term (≥ 4 years) |
| Cyber-physical security concerns around autonomous agents | -0.9% | Global, high in critical infrastructure | Short term (≤ 2 years) |
| Regulatory ambiguity on AI-led decision liability | -0.7% | Europe and North America, spreading globally | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Vendor Lock-in and Integration Complexity with Legacy ERP/WMS
Many tier-one manufacturers operate multi-decade ERP stacks lacking modern APIs, making event-stream connectivity to agentic engines difficult. Integration programs lasting 18–24 months and costing up to USD 5 million can erode near-term ROI expectations. Custom middleware often mitigates but seldom eradicates point-to-point bespoke code, raising support overhead. These frictions temper adoption velocity across the agentic AI in the supply chain and logistics market, particularly among asset-heavy incumbents planning phased cut-overs to modern microservices architectures.
Shortage of Qualified AI Engineers with Domain Expertise
Fewer than 15% of AI practitioners possess a deep understanding of inventory theory, multi-modal logistics, and regulatory constraints. Recruitment cycles for senior hybrid talent frequently exceed 10 months, inflating project costs and extending pilot timelines. While upskilling programs proliferate, near-term capacity shortfalls limit how aggressively enterprises can scale autonomous agents beyond core planning stacks. The talent gap represents a structural, long-tail restraint on the agentic AI in the supply chain and logistics market.
Segment Analysis
By Component: Software Platforms Anchor Integration, Services Propel Expansion
Software platforms controlled 54.2% of the agentic AI in the supply chain and logistics market share in 2024, reaffirming the centrality of unified decision environments that couple planning and execution. Vendors bundle multi-agent orchestration, digital-twin modeling, and low-code customization to streamline deployment. Services, however, exhibit a 16.4% CAGR, reflecting the process re-engineering, data-governance, and change-management lift needed to operationalize autonomy at scale. Hardware gateways hover at low single-digit revenue but remain essential for edge-compute inside yards, ports, and micro-fulfillment nodes.
Enterprises increasingly purchase outcome-based service contracts that guarantee KPI improvements. Integrators retrofit legacy WMS event buses to expose high-velocity data streams, while advisors codify new governance models that delegate bounded decision rights to software agents. As a result, services often spend equal to, and sometimes exceed, annual platform licenses over the first three years of an implementation. The agentic AI in the supply chain and logistics market, therefore, sees ecosystem value pool migration from product to expertise, mirroring shifts observed during prior ERP waves. [3]Blue Yonder, “Agentic AI: The Future of Supply Chain Planning,” blueyonder.com
Note: Segment shares of all individual segments available upon report purchase
By Application: Transportation Routing Overtakes Demand Planning Momentum
Demand planning retained a 32.1% stake in the agentic AI in the supply chain and logistics market size during 2024, yet saturation in mature retailers and FMCG firms is narrowing incremental upside. Conversely, routing engines running on reinforcement agents post a 15.8% CAGR through 2030. These systems weigh congestion, port dwell, tariffs, and driver-hours simultaneously, delivering optimal dispatch grids that refresh every 5 minutes. Early adopters record 15% logistics-cost cuts and on-time delivery improvements above 30%.
Warehouse-slotting, procurement automation, and last-mile orchestration each command smaller bases but register double-digit growth as capabilities mature. Multi-objective agents now negotiate supplier agreements, balancing price, ESG score, and geopolitical exposure, pushing AI beyond tactical routing into strategic sourcing. As functionality broadens, the agentic AI in the supply chain and logistics industry strengthens its position as a cross-functional decision fabric rather than a planning adjunct.
By Industry Vertical: Food and Beverage Surges on Cold-Chain and Freshness Pressures
Retail and e-commerce delivered 30.1% of 2024 revenue, leveraging established omnichannel data and agile innovation cultures. The food and beverage segment now rises fastest at a 15.6% CAGR, driven by perishability, temperature control, and volatile commodity inputs. Agentic optimizers forecast spoilage windows, orchestrate dynamic repricing, and route reefer fleets around hotspot delays. One multinational bakery cites 23% waste reduction and marked delivery precision gains after agent rollout.
Healthcare and automotive sectors adopt cautiously yet record outsized ROI when applied. Drug-shortage mitigation, trial-site kitting, and just-in-time assembly each gain from multi-agent turbulence modeling. The agentic AI in the supply chain and logistics market, therefore, expands from retail-centric origins toward regulated, asset-intensive verticals seeking quality and compliance assurance.
Note: Segment shares of all individual segments available upon report purchase
By Deployment Mode: Hybrid Patterns Reconcile Sovereignty with Scale
Cloud architectures attracted 60.11% of 2024 spending as hyperscalers packaged AI agents into consumption-based services. Yet hybrid models are accelerating at a 16.2% CAGR, amplified by data-residency laws and the latency sensitivity of yard and plant automation. Edge nodes perform inference close to material flow, while central clouds retrain policies overnight using aggregated telemetry. Supply-chain copilots from leading platform vendors exemplify this bifurcated topology, offering SaaS orchestration overlays while permitting sensitive master-data retention on-prem.
On-premise-only deployments persist in defense, pharmaceutical, and public-sector contexts but see limited net-new expansion. Over time, container-based portability and confidential-compute enclaves are expected to erode pure on-prem prevalence. Consequently, the agentic AI in the supply chain and logistics market gravitates toward federated control planes that span plant, private-cloud, and hyperscaler endpoints.
Geography Analysis
North America generated 39.3% of 2024 revenue, benefiting from massive domestic consumption, venture liquidity, and cloud penetration. North America’s agentic AI in the supply chain and logistics market benefits from mature 5G coverage, abundant cloud zones, and regulatory clarity around autonomous decision rights. U.S. retailers deploy AI co-pilots that continuously reconcile store-level demand with upstream production slots, achieving 3–5 hour planning-cycle times instead of daily batches. Canadian resource exporters integrate multi-agent route planners to navigate ice accretion and rail congestion, boosting asset turns during winter peaks. Mexico’s maquiladora network adds AI-driven cross-border compliance modules to mitigate inspection holds and tariff variability. Venture-backed startups leverage deep pools of AI talent migrating from autonomous-vehicle programs, seeding innovation that accelerates North American leadership.
Asia-Pacific’s 16.1% CAGR rests on its role as a global manufacturing workshop and the need to orchestrate outbound flows across ocean, air, and rail. Chinese electronics OEMs employ agentic digital twins that synchronize factory cells with port slots, compressing container dwell by 18%. Japanese logistics houses deploy humanoid picking robots governed by multi-agent schedulers to offset aging-worker demographics. Indian third-party logistics providers adopt cloud-native AI suites that predict customs-clearance cycle times, shaving 1.2 days off average dwell. Southeast Asian e-commerce marketplaces embrace autonomous last-mile route optimizers that factor in monsoon disruptions and ferry schedules, thereby extending same-day delivery coverage across archipelagos.
Europe maintains moderate but resilient expansion, underpinned by sustainability directives that embed carbon accounting into carrier selection algorithms. German automotive groups integrate AI agents to harmonize chip supply with assembly takt times, preventing costly line stoppages. French agri-food cooperatives use multi-modal agents to route perishables around climate-induced rail disruptions, cutting spoilage losses by 11%. Nordic pharmaceutical distributors deploy temperature-aware digital twins that surface exception alerts before cold-chain excursions exceed GDP-approved thresholds. Meanwhile, regulatory guardrails in the EU AI Act encourage responsible design patterns, instilling confidence among risk-averse buyers.
Competitive Landscape
The agentic AI in the supply chain and logistics market features a diverse mix of enterprise software incumbents, cloud hyperscalers, and venture-funded specialists. Blue Yonder leads revenue tables at USD 1.36 billion in 2024, riding the adoption of its Autonomous Planning suite among retail and CPG majors. Kinaxis registers 16% SaaS revenue growth on the back of rapid scenario-concurrency and in-memory simulations. Manhattan Associates extends WMS dominance by embedding reinforcement agents into slotting and labor modules, recording record quarterly earnings. [4]Manhattan Associates, “Q3 2024 Results,” manh.com
Strategically, platform convergence shapes M&A: larger vendors absorb point-solution startups to offer planning-through-execution stacks. Pactum AI’s USD 20 million infusion by Maersk exemplifies verticalized procurement copilots that negotiate contract clauses autonomously. Hyperscalers differentiate on GPU fabrics and foundation-model services, seeking to commoditize lower-level inference while leaving process expertise to ISVs. Patenting trends concentrate around multi-agent coordination, synthetic data generation, and secure federated learning, all critical for cross-enterprise collaboration without raw data disclosure.
Barrier-to-entry remains moderate: open-source agent frameworks lower experimentation costs, yet domain depth, integration scale, and regulatory assurance require sizable capital and partner networks. Consequently, mid-tier vendors race to build global SI alliances that credibly subsume legacy-system risk. Overall, competitive dynamics favor firms that blend deep vertical process know-how with model-ops toolchains, enabling fast policy iteration across heterogeneous data landscapes.
Agentic AI In The Supply Chain And Logistics Industry Leaders
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Blue Yonder, Inc.
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Coupa Software Incorporated
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o9 Solutions, Inc.
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Kinaxis Inc.
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Manhattan Associates, Inc.
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- March 2025: Microsoft launched its Supply Chain Copilot, melding planning, execution, and analytics into a single autonomous decision layer.
- February 2025: General Mills confirmed multi-million-dollar savings after deploying agentic forecasting and inventory optimization.
- February 2025: CrewAI secured USD 18 million to develop agent operating systems for emerging-market logistics.
- January 2025: KION Group, NVIDIA, and Accenture partnered on AI-powered warehouse digital twins and robotics rollouts.
- January 2025: Kinaxis posted 16% YoY SaaS revenue growth on new enterprise planning wins.
- December 2024: Pactum AI raised USD 20 million Series B with Maersk participation to scale autonomous procurement.
- December 2024: Sumitomo Corporation partnered with Dexterity Robotics to automate Japanese warehouses using AI-directed handling systems.
- November 2024: Blue Yonder reported USD 1.36 billion in FY 2024 revenue, citing strong SaaS uptake for autonomous planning modules.
Global Agentic AI In The Supply Chain And Logistics Market Report Scope
| Software Platforms |
| AI-enabled Hardware Systems |
| Services (Integration and Consulting) |
| Demand Forecasting and Planning |
| Warehouse and Fulfillment Optimization |
| Transportation Routing and Fleet Management |
| Procurement and Sourcing Automation |
| Last-mile Delivery Orchestration |
| Other Applications |
| Retail and E-Commerce |
| Manufacturing |
| Food and Beverage |
| Healthcare and Pharmaceuticals |
| Automotive |
| Other Industry Verticals |
| Cloud-based |
| On-Premise |
| Hybrid |
| North America | United States | |
| Canada | ||
| Mexico | ||
| South America | Brazil | |
| Argentina | ||
| Chile | ||
| Rest of South America | ||
| Europe | Germany | |
| United Kingdom | ||
| France | ||
| Italy | ||
| Spain | ||
| Rest of Europe | ||
| Asia-Pacific | China | |
| Japan | ||
| India | ||
| South Korea | ||
| Australia | ||
| Singapore | ||
| Malaysia | ||
| Rest of Asia-Pacific | ||
| Middle East and Africa | Middle East | Saudi Arabia |
| United Arab Emirates | ||
| Turkey | ||
| Rest of Middle East | ||
| Africa | South Africa | |
| Nigeria | ||
| Rest of Africa | ||
| By Component | Software Platforms | ||
| AI-enabled Hardware Systems | |||
| Services (Integration and Consulting) | |||
| By Application | Demand Forecasting and Planning | ||
| Warehouse and Fulfillment Optimization | |||
| Transportation Routing and Fleet Management | |||
| Procurement and Sourcing Automation | |||
| Last-mile Delivery Orchestration | |||
| Other Applications | |||
| By Industry Vertical | Retail and E-Commerce | ||
| Manufacturing | |||
| Food and Beverage | |||
| Healthcare and Pharmaceuticals | |||
| Automotive | |||
| Other Industry Verticals | |||
| By Deployment Mode | Cloud-based | ||
| On-Premise | |||
| Hybrid | |||
| By Geography | North America | United States | |
| Canada | |||
| Mexico | |||
| South America | Brazil | ||
| Argentina | |||
| Chile | |||
| Rest of South America | |||
| Europe | Germany | ||
| United Kingdom | |||
| France | |||
| Italy | |||
| Spain | |||
| Rest of Europe | |||
| Asia-Pacific | China | ||
| Japan | |||
| India | |||
| South Korea | |||
| Australia | |||
| Singapore | |||
| Malaysia | |||
| Rest of Asia-Pacific | |||
| Middle East and Africa | Middle East | Saudi Arabia | |
| United Arab Emirates | |||
| Turkey | |||
| Rest of Middle East | |||
| Africa | South Africa | ||
| Nigeria | |||
| Rest of Africa | |||
Key Questions Answered in the Report
What is the current value of the agentic AI in the supply chain and logistics market?
The agentic AI in the supply chain and logistics market size is valued at USD 8.67 billion in 2025.
How fast is the market expected to grow?
The market is projected to post a 14.2% CAGR, reaching USD 16.84 billion by 2030.
Which component segment is expanding the fastest?
Services integration shows the highest growth at a 16.4% CAGR as companies retrofit legacy ERP and WMS systems.
Which application area will lead growth through 2030?
Transportation routing and fleet management is forecast to grow at 15.8% CAGR, overtaking demand forecasting momentum.
Why is Asia-Pacific considered the growth engine?
Manufacturing digitization, government AI incentives, and complex cross-border trade flows push Asia-Pacific to a 16.1% CAGR, the highest among all regions.
What are the biggest obstacles to adoption?
Vendor lock-in with legacy systems and a shortage of AI engineers who possess deep supply-chain expertise are the foremost restraints.
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