Asia-Pacific Pharmaceutical Logistics Market Analysis by Mordor Intelligence
The Asia-Pacific Pharmaceutical Logistics Market size is estimated at USD 163 billion in 2025, and is expected to reach USD 225.21 billion by 2030, at a CAGR of 6.68% during the forecast period (2025-2030).
The impressive growth rate mirrors the region’s rapid transition into a globally integrated manufacturing and distribution hub. Demand for complex biologics, sustained policy support in China and India, and large‐scale investments by logistics majors underpin this trajectory.[1]National Medical Products Administration, “China to deepen medical, healthcare reform in 2024,” english.nmpa.gov.cn Rising vaccine manufacturing capacity, expanding e-commerce channels for medicines, and accelerated cold-chain upgrades across ASEAN nations further sustain momentum. Meanwhile, sustainability targets and the need for end-to-end temperature assurance spur innovation in packaging, modal diversification, and digital visibility solutions. Together, these factors position the Asia Pacific pharmaceutical logistics market as both a growth engine and a test bed for advanced supply-chain technologies.
Key Report Takeaways
- By service type, transportation services led with 63% of the Asia-Pacific pharmaceutical logistics market share in 2024; value-added services and others are projected to post a 4.70% CAGR through 2030, reflecting growing demand for integrated supply-chain offerings
- By mode of operation, non-cold-chain activities accounted for 56% of the Asia-Pacific pharmaceutical logistics market size in 2024, whereas cold-chain logistics are forecast to advance at a 5.10% CAGR through 2030 on the back of biologics and vaccine requirements
- By product type, prescription drugs represented 36% of the Asia-Pacific pharmaceutical logistics market share in 2024; cell and gene therapies are expected to expand at a 5.70% CAGR through 2030 as decentralized manufacturing models scale.
- By geography, China held 28% of the Asia Pacific pharmaceutical logistics market in 2024, while India is projected to register the fastest growth at a 5.80% CAGR through 2030, owing to policy incentives and export ambitions.
Asia-Pacific Pharmaceutical Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rising biologics & vaccine volumes | +1.2% | Global, with concentration in Singapore, South Korea, and China | Medium term (2-4 years) |
| Expansion of regional pharma manufacturing hubs | +1.0% | China, India, with spillover to Southeast Asia | Long term (≥ 4 years) |
| Growth of e-commerce pharma distribution | +0.8% | APAC core markets, expanding to emerging economies | Short term (≤ 2 years) |
| National Essential-Drugs hub reforms (China, India) | +0.7% | China, India, with regional supply chain effects | Medium term (2-4 years) |
| ASEAN GDP enforcement accelerating cold-chain upgrades | +0.6% | ASEAN member states, particularly Indonesia, Thailand, and Vietnam | Medium term (2-4 years) |
| AI-enabled route-optimization lowering spoilage rates | +0.5% | Global implementation with early adoption in developed APAC markets | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Rising biologics and vaccine volumes
Demand for biologics reshapes infrastructure requirements across the Asia Pacific pharmaceutical logistics market as manufacturers commission modular plants capable of switching among multiple vaccine programs. Sanofi’s USD 595 million Modulus facility in Singapore illustrates the region’s capacity build-up and the consequent need for end-to-end cryogenic logistics capable of maintaining critical quality attributes.[2]Sanofi, “Sanofi opens USD 595M vaccine manufacturing facility in Singapore,” pharmamanufacturing.comSamsung Biologics added 180,000 L of capacity at its fifth plant in 2025, while BioNTech chose Singapore for a regional mRNA hub, both exerting upward pressure on specialized storage and real-time monitoring networks. Such investments raise the baseline for temperature assurance, documentation, and security in the Asia Pacific pharmaceutical logistics market.
Expansion of regional pharma manufacturing hubs
Continued consolidation in China and India spreads manufacturing volumes across purpose-built industrial zones, prompting a redesign of distribution corridors. China’s centralized procurement now covers 500 medicines, pushing logistics providers to handle larger shipment lots at lower per-unit prices while ensuring service levels. India, targeting USD 350 billion in pharmaceutical exports by 2047, increases finished-dose and API throughput that must move efficiently to ports and airports. New biologics plants in South Korea and specialized peptide facilities underline the breadth of manufacturing activity. These developments heighten demand for harmonized quality processes, customs facilitation, and multimodal connectivity in the Asia Pacific pharmaceutical logistics market.
Growth of e-commerce pharma distribution
Digital pharmacy growth accelerates last-mile complexity, as online platforms promise rapid fulfillment and traceable delivery of prescription and OTC medicines. Regional digital pharmacy sales are projected to top USD 35.33 billion by 2026, requiring reliable pick-pack mechanisms and compliant temperature regimes for sensitive drugs. Governments encourage generic substitutions, expanding SKU diversity handled by logistics providers. Telehealth’s adoption jumped from 11% in 2019 to 46% during the pandemic, creating demand for home-delivery models with stringent proof-of-delivery and data security. Logistics operators respond with micro-fulfillment centers and API-integrated routing systems, embedding the Asia Pacific pharmaceutical logistics market firmly within the broader digital-health ecosystem.
National essential-drug hub reforms (China, India)
Policy frameworks in Asia’s two largest economies deepen cost containment and traceability imperatives. China’s three-medical linkage reform achieved average price cuts of 63% in 2024, translating into high-throughput distribution from centralized procurement hubs to hospital networks. [3]Pharmaphorum, “Navigating new risks: China’s Anti-Espionage Law,” pharmaphorum.comIndia’s new Good Distribution Practices mandate QR codes on packs and a real-time interface with regulators, compelling upgrades to serialization, scanning, and reverse-logistics processes. For logistics providers, compliance now extends beyond temperature and security to include digital proof of chain-of-custody and rapid recall capabilities across the Asia Pacific pharmaceutical logistics market.
Restraints Impact Analysis
| Restraint | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| High cold-chain infrastructure cost | -0.9% | Global, with an acute impact on developing APAC markets | Long term (≥ 4 years) |
| Complex multi-country regulatory compliance | -0.7% | ASEAN region, China-India trade corridors | Medium term (2-4 years) |
| Scarcity of biologics-trained staff in Tier-2 cities | -0.5% | China, India, Southeast Asia secondary markets | Medium term (2-4 years) |
| Carbon-emissions scrutiny on air freight corridors | -0.4% | Global, with a focus on Asia-Pacific air routes | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
High cold-chain infrastructure cost
Specialized storage rooms, validated reefers, and multi-temperature warehouses require significant capital, challenging smaller operators. Although AI-based forecasting lowers capacity wastage, the absolute upfront spend remains high, slowing network roll-out in emerging markets. Rural pilots that tested freeze-preventive boxes underscored performance benefits yet revealed payload weight penalties that limited wide uptake. Higher adoption of reusable thermal packaging addresses waste but necessitates investment in cleaning and reverse logistics circuits.
Complex multi-country regulatory compliance
Fragmented legislation across Asia erodes scale benefits. Indonesia’s GDP certificates, China’s evolving data security statutes, and Vietnam’s amended pharmaceutical laws each introduce new documentation and inspection layers. Operators must maintain country-specific SOPs while keeping harmonized quality management systems, which increases overhead. This complexity slows cross-border lead times and demands continuous training across the Asia Pacific pharmaceutical logistics market.
Segment Analysis
By Service Type: Transportation Dominates Amid Value-Added Growth
Transportation services represented 63% of the Asia Pacific pharmaceutical logistics market revenue in 2024, underscoring the region’s heavy reliance on multimodal distribution networks that link dense manufacturing clusters with hospitals, pharmacies, and export gateways. Road freight captured the bulk of domestic flows thanks to flexible scheduling and last-mile reach, while air networks handled time-critical biologics under active temperature control. Sea freight volumes grew as manufacturers shifted slower-moving products to lower-carbon lanes, and rail connections provided an alternate corridor along the China–Europe axis. Digital control towers integrating GPS, IoT, and blockchain tools now orchestrate modal transfers, enhancing visibility and regulatory compliance across the Asia Pacific pharmaceutical logistics market.
Value-added services expanded to a 4.70% CAGR and included inventory optimization, regulatory documentation, and quality assurance. Pharmaceutical shippers require GDP-certified warehousing that offers controlled ambient, refrigerated, and frozen zones within single facilities, as well as secondary packaging and labeling services. Real-time temperature dashboards, automated picking systems, and predictive replenishment algorithms elevate service expectations. As a result, logistics providers increasingly pursue end-to-end contracts that bundle transport, storage, and compliance, moving the Asia Pacific pharmaceutical logistics market toward integrated supply-chain orchestration.
By Mode of Operation: Cold-Chain Acceleration Despite Non-Cold Dominance
non-cold-chain activities, representing 56% of 2024 revenue, continue to underpin essential medicine distribution. Bulk generics, solid orals, and many medical devices travel under controlled ambient conditions, leveraging well-established cross-dock networks. High SKU velocity in e-commerce channels further reinforces investment in regional sorting centers and automated parcel hubs. These dynamics keep non-cold infrastructure upgrades firmly on the capex agenda in the Asia Pacific pharmaceutical logistics market.
Cold-chain revenue grows more rapidly at a 5.10% CAGR as biologics, vaccines, and gene therapies proliferate. Facilities such as Sanofi’s Singapore site adopt modular layouts with rapid temperature-recovery features to mitigate excursion risks. Cytiva’s new South Korean plant adds upstream filtration capacity, prompting carriers to introduce dedicated cryogenic lanes. Standard-setting under ASEAN GDP narrows performance variability, compelling even smaller distributors to deploy continuous data loggers. Consequently, the cold-chain segment garners disproportionate technology investment within the Asia Pacific pharmaceutical logistics market.
By Product Type: Prescription Drugs Lead While Cell Therapies Surge
Prescription medicines held 36% of the Asia Pacific pharmaceutical logistics market share in 2024, buoyed by aging demographics and chronic disease burdens. Volumes move through a mix of hospital tenders and pharmacy retail, with distributors maintaining high service levels to prevent stockouts. Branded generics from India and China continue to penetrate Southeast Asian markets, ensuring robust demand for compliant transportation and storage.
Cell and gene therapies, though nascent in volume, exhibit the fastest revenue expansion at 5.70% CAGR. Personalized products, stringent time-temperature thresholds, and reverse logistics for reusable cryo-shippers differentiate this sub-segment. China, Japan, and Australia host the bulk of APAC clinical trials, compressing development timelines and necessitating agile supply chains Investments in controlled-rate freezers, vapor-phase liquid nitrogen storage, and blockchain authentication define the logistical response within the Asia Pacific pharmaceutical logistics market.
Geography Analysis
China commanded 28% of regional revenue in 2024 as centralized volume purchases amplified shipment consolidation from manufacturers to public hospitals. The nation’s share of the global drug development pipeline grew to 28% in 2023, intensifying requirements for validated storage and multimodal connectivity. Ongoing reforms continue to streamline reimbursement yet complicate data management obligations under new security statutes. Logistics firms respond by enhancing bonded warehouse capacity near free-trade zones and deploying AI-driven customs documentation tools.
India, with a USD 50 billion domestic pharmaceutical base, posts the fastest 5.80% CAGR through 2030. Production-linked incentive schemes and a focus on biopharmaceutical exports stimulate cold-chain developments around Hyderabad and Pune. UPS’s launch of a temperature-controlled cross-dock in Hyderabad demonstrates rising third-party investment aligned with Good Distribution Practice standards.[4]Press Information Bureau, “India's Pharmaceutical Market Valued at USD 50 Billion,” pib.gov.in On the policy front, mandatory QR codes and track-and-trace architecture improve visibility but require significant IT alignment across the Asia Pacific pharmaceutical logistics market.
A collective group of Japan, South Korea, Singapore, Australia, and key ASEAN members adds growth and diversification potential. Japan’s plan to approve 43 innovative drugs in 2025, including gene therapies, elevates demand for ultra-cold lanes and domestically based cryogenic storage. South Korea’s bio-cluster expansion, underscored by Samsung Biologics and Cytiva projects, places Incheon and Sejong on the global biologics map. Singapore leverages free-trade stature and stringent regulatory oversight to host regional distribution centers, while Australia emerges as an mRNA supply-chain nucleus anchored by Aurora Biosynthetics. Indonesia and Vietnam pursue self-sufficiency policies, driving greenfield warehouse builds and multi-temperature fleet acquisitions. Collectively, these developments fortify the Asia Pacific pharmaceutical logistics market against supply risks while distributing opportunity across multiple jurisdictions.
Competitive Landscape
The Asia Pacific pharmaceutical logistics market is moderately fragmented. DHL continues to deepen exposure via the 2025 acquisition of CRYOPDP, adding specialized clinical trial capacity across 15 countries. UPS follows a similar path, integrating Andlauer Healthcare and expanding cross-dock infrastructure in India. Kuehne+Nagel invests in real-time monitoring and reusable packaging pools to court advanced-therapy manufacturers.
Regional champions such as SF Express, Kerry Logistics, and Zuellig Pharma leverage domestic reach, dedicated regulatory teams, and longstanding healthcare contracts to defend market share. SF Express reported RMB 134.4 billion (USD 18.5 billion) in first-half 2024 revenue, though it faces intensifying domestic rivalry. Zuellig builds exclusive vaccine hubs that allow same-day fulfillment across multiple ASEAN capitals.
Technology adoption acts as a performance wedge. Nippon Express’s warehouse automation and 5G IoT roll-out relieve labor shortages while improving spoilage control. Blockchain pilots secure chain-of-identity data for cell therapies, and AI route optimizers rebalance modal choices in favor of lower-carbon options. Competitive gaps therefore depend less on fleet size and more on digital readiness, regulatory depth, and sustainability credentials in the Asia Pacific pharmaceutical logistics market.
Asia-Pacific Pharmaceutical Logistics Industry Leaders
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Kuehne + Nagel
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DSV Panalpina
-
Bio Pharma Logistics
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DB Schenker
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DHL
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- May 2025: Glovax commenced construction of the Philippines’ first vaccine plant with 50 million-dose annual capacity
- April 2025: UPS agreed to acquire Frigo-Trans and BPL to expand European temperature-controlled corridors, complementing Asia outbound flows.
- March 2025: DHL Group acquired CRYOPDP, adding 600,000 annual shipments of clinical material across 15 countries and reinforcing its life-sciences strategy.
- February 2025: Aurora Biosynthetics launched in Sydney with AUD 200 million (USD 124.56 million) support to provide end-to-end GMP RNA-therapeutics manufacturing
Asia-Pacific Pharmaceutical Logistics Market Report Scope
Pharmaceutical logistics is a method the healthcare system uses to ensure consistent support, a supply of medical tools and assistance, waste removal, cleaning, sterilization, and other relevant support activities for the control process.
Asia-Pacific Pharmaceutical Logistics Market report provides insights into the market Market Overview, Market Dynamics, Pharmaceutical Value Chain / Supply Chain Analysis, Technological Trends, Investment Scenarios, Government Regulations and Initiatives, Insights on the 3PL market in Asia-Pacific (Market Size and Forecast), Impact of Covid-19 on Pharmaceutical Logistics Market and Industry Attractiveness - Porter's Five Forces Analysis.
The Asia-Pacific Pharmaceutical Logistics market is segmented by product (Generic Drugs, Branded Drugs), by mode of operation (Cold Chain Transport, Non-Cold Chain Transport), by application (Bio Pharma, Chemical Pharma, Specialized Pharma), by mode of transport (Air, Rail, Road, and Sea) and by geography (China, India, Japan, South Korea, Singapore, Australia, and Rest of APAC). The report offers market size and forecast for Asia-Pacific Pharmaceutical Logistics Market in value (USD billion) for all the above segments.
| Transportation | Road Freight |
| Air Freight | |
| Sea Freight | |
| Rail Freight | |
| Warehousing & Storage | |
| Value-added Services and Others |
| Cold-Chain Logistics |
| Non-Cold-Chain Logistics |
| Prescription Drugs |
| OTC Drugs |
| Biologics & Biosimilars |
| Vaccines & Blood Products |
| Clinical Trail Materials |
| Cell & Gene Therapies |
| Medical Devices & Diagnostics |
| Veterinary Medicine |
| Others |
| China |
| India |
| Japan |
| South Korea |
| Singapore |
| Australia |
| Indonesia |
| Thailand |
| Vietnam |
| Rest of Asia Pacific |
| By Service Type | Transportation | Road Freight |
| Air Freight | ||
| Sea Freight | ||
| Rail Freight | ||
| Warehousing & Storage | ||
| Value-added Services and Others | ||
| By Mode of Operation | Cold-Chain Logistics | |
| Non-Cold-Chain Logistics | ||
| By Product Type | Prescription Drugs | |
| OTC Drugs | ||
| Biologics & Biosimilars | ||
| Vaccines & Blood Products | ||
| Clinical Trail Materials | ||
| Cell & Gene Therapies | ||
| Medical Devices & Diagnostics | ||
| Veterinary Medicine | ||
| Others | ||
| By Country | China | |
| India | ||
| Japan | ||
| South Korea | ||
| Singapore | ||
| Australia | ||
| Indonesia | ||
| Thailand | ||
| Vietnam | ||
| Rest of Asia Pacific |
Key Questions Answered in the Report
What is the growth outlook for the Asia Pacific pharmaceutical logistics market to 2030?
The market is projected to rise from USD 163 billion in 2025 to USD 225.21 billion in 2030 at a 6.68% CAGR, fueled by biologics, supportive policies, and digital transformation.
Which service segment contributes most to revenue?
Transportation services remain dominant, holding 63% of regional revenue in 2024 thanks to extensive road, air, sea, and rail networks that link manufacturing clusters with end users.
Why is cold-chain logistics expanding faster than non-cold-chain?
Biologics, vaccines, and gene therapies require stringent temperature control, resulting in a 5.10% CAGR for cold-chain activities compared with slower growth in ambient segments.
How are policy reforms shaping logistics demand in China and India?
Centralized procurement in China and QR code–based traceability in India consolidate volumes, mandate GDP compliance, and accelerate investment in large, automated distribution centers.
What role does technology play in reducing spoilage and emissions?
AI-enabled route optimization, IoT sensors, and blockchain tracing cut biologics spoilage by up to 15% and support modal shifts to lower-emission transport options across the region.
Who are the leading companies driving competitive dynamics?
Global majors such as DHL, UPS, and Kuehne+Nagel combine with regional specialists like SF Express, Kerry Logistics, and Zuellig Pharma to deliver integrated, technology-rich solutions.
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