Cambodia Freight And Logistics Market Analysis by Mordor Intelligence
The Cambodia freight and logistics market size is estimated at USD 1.41 billion in 2025, and is expected to reach USD 1.71 billion by 2030, at a CAGR of 3.92% during the forecast period (2025-2030). The Cambodia freight and logistics market is benefiting from record garment and footwear exports, sustained foreign direct investment into Special Economic Zones, and a USD 36.6 billion government master plan that is modernizing roads, ports, railways, and airports. Freight volumes are rising as the Phnom Penh–Sihanoukville Expressway cuts road transit times to two hours, while the July 2025 opening of Techo International Airport unlocks new air-cargo routes and draws premium shippers. International alliances such as the Regional Comprehensive Economic Partnership and a 2024 Cambodia–South Korea FTA are broadening trade lanes, and the USD 1.7 billion Funan Techo Canal promises a 30% cut in ocean-freight costs once operational. Competitive intensity is escalating as global players fold in scale, typified by DSV’s combination with DB Schenker, even as informal border fees and an underbuilt rail network temper near-term efficiency gains.
Key Report Takeaways
- By end user industry, wholesale and retail trade accounted for 33.95% of the Cambodia freight and logistics market size in 2024, while manufacturing registers the fastest-rising CAGR at 4.24% between 2025-2030.
- By logistics function, freight transport led with 60.70% of the Cambodia freight and logistics market share in 2024; courier, express, and parcel (CEP) is projected to expand at a 4.90% CAGR between 2025-2030.
- By freight transport, road freight transport captured 69.60% revenue share in 2024; air freight transport is forecast to record a 5.00% CAGR between 2025-2030.
- By warehousing and storage type, non-temperature controlled facilities dominated with 91.57% share in 2024; temperature controlled is expected to scale fastest at 4.00% CAGR between 2025-2030.
- By CEP service, domestic CEP commanded a 64.11% share in 2024; international CEP is set to outpace with a 5.08% CAGR between 2025-2030.
- By freight forwarding, sea and inland waterways freight forwarding held 73.18% revenue share in 2024; air freight forwarding is set to grow at 4.47% CAGR between 2025-2030.
Cambodia Freight And Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Surging garment and footwear exports to US and EU driving logistics volumes | +1.2% | Main lanes to US and EU | Medium term (2-4 years) |
| Government-led infrastructure upgrades Phnom Penh–Sihanoukville expressway, port expansion driving growth | +0.8% | Phnom Penh – Sihanoukville corridor | Long term (≥ 4 years) |
| SEZ-driven manufacturing FDI boosting 3PL outsourcing in Cambodia | +0.7% | Key SEZs near Phnom Penh and Bavet | Medium term (2-4 years) |
| Belt and Road rail rehabilitation Phnom Penh–Poipet enhancing regional connectivity | +0.6% | Cross-border trade with Thailand | Long term (≥ 4 years) |
| Regional trade integration through RCEP and ASEAN connectivity enhancing cross-border logistics | +0.5% | Regional, with primary impact on ASEAN and Asia-Pacific trade corridors | Medium term (2-4 years) |
| Cold-chain demand observed from expanding aquaculture and agro-processing | +0.4% | Coastal provinces (Sihanoukville, Kep) | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Surging Garment and Footwear Exports to US and EU Driving Logistics Volumes
Exports of textiles and apparel climbed to USD 13.92 billion in 2024, up 23% year on year, reinforcing a steady uptick in containerized volumes moving to North America and Europe. Just-in-time models push shippers toward faster modes, and factory clusters inside SEZs negotiate fixed-rate contracts with major ocean carriers to secure capacity during peak seasons. The Regional Comprehensive Economic Partnership widens duty-free access to 15 economies, easing tariff pressure on Cambodian exporters and amplifying demand for third-party logistics providers equipped with digital freight platforms.
Government-Led Infrastructure Upgrades Driving Growth
The USD 1.9 billion Phnom Penh–Sihanoukville Expressway reduces door-to-port trucking costs, supporting the Cambodia freight and logistics market as heavy haul operators redeploy fleets to higher-density corridors. Sihanoukville Autonomous Port’s expansion dovetails with a USD 16 billion Bay of Lights plan that adds deeper berths and smart-yard automation. Techo International Airport, 90% complete, opens new perishables lanes for mango and banana exporters ready to pay air-freight premiums.
Belt and Road Rail Rehabilitation Enhancing Regional Connectivity
The 386 km Phnom Penh–Poipet rail upgrade restores a direct land bridge into Thailand for the first time in 45 years, trimming transit to Laem Chabang Port by 12 hours and promising a modal shift once service frequencies rise. Parallel feasibility studies on a Phnom Penh-Bavet link aim to capture Vietnam-bound electronics transit, and the Funan Techo Canal, designed for 3,000 dwt vessels, offers a seawater route that circumvents Mekong River draft limits[1]South China Morning Post Journalist, “Funan Techo Canal Project Launch,” scmp.com .
Cold-Chain Demand from Aquaculture and Agro-Processing
The Asian Development Bank’s USD 41 million fisheries program is underpinning new hatcheries along Kampot and Kep coasts, spurring 8,000 m² of temperature-controlled warehouse projects led by private operators[2]Asian Development Bank, “Cambodia Sustainable Fisheries Project,” adb.org . Seafood exporters eye same-day connections once Techo International Airport opens, while upstream feed suppliers contract reefer trucking lanes to maintain quality compliance with EU sanitary standards.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Underdeveloped rail network limiting multimodal efficiency in the country | -0.5% | Nationwide long-haul corridors | Long term (≥ 4 years) |
| Logistics costs becoming a significant share of GDP owing to informal fees and border delays | -0.8% | Key land crossings with Vietnam and Thailand | Short term (≤ 2 years) |
| Low warehouse automation and digitalization witnessed in Cambodia | -0.3% | Manufacturing and distribution hubs | Medium term (2-4 years) |
| Dependence on Thai and Vietnamese trans-shipment ports leading to challenges | -0.4% | International ocean routes | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Underdeveloped Rail Network Limiting Multimodal Efficiency
Only 652 km of active track keeps rail’s share at 1.66% of load picked (tons) in 2024, forcing shippers to lean on costlier road moves and capping multimodal savings. Despite a USD 10 billion rail revamp plan, the northeastern hinterland remains unreachable by rail, prolonging dependence on high-emission trucking.
Logistics Costs Elevated by Informal Fees and Border Delays
World Bank diagnostics underline opaque facilitation payments at land checkpoints that lift door-to-door costs, particularly for small exporters lacking the scale to negotiate brokerage rates[3]World Bank Group, “Cambodia Logistics Performance Diagnostics,” openknowledge.worldbank.org . Multi-leg transshipment via Vietnamese and Thai ports compounds charges, and a fragmented domestic trucking base dominated by family-run fleets limits the adoption of digital freight tools that could improve transparency.
Segment Analysis
By End User Industry: Retail Trade Leadership Challenged by Manufacturing Growth
Wholesale and retail trade held 33.95% of 2024 spending, underpinned by Cambodia’s rising middle-class consumption and omnichannel grocery chains scaling Phnom Penh warehousing. Manufacturing is the momentum segment, posting a 4.24% CAGR (2025-2030) as Chinese and South Korean investors inject USD 3.2 billion into SEZ green-field plants across textiles, e-bikes, and steel[4]Yuanta Securities Cambodia, “FDI Inflows into SEZs,” yuantacambodia.com.kh .
Construction logistics remain linked to mega-projects such as the metro rail build, whereas agriculture, fishing, and forestry leverage new cold-chain solutions to widen export baskets beyond rice. Cambodia's freight and logistics market share for the fledgling healthcare vertical grows as vaccine throughput rises.
Note: Segment shares of all individual segments available upon report purchase
By Logistics Function: Freight Transport Dominance Meets CEP Innovation
Freight transport held a 60.70% stake in 2024, as export-oriented factories continue to dispatch bulk volumes to Sihanoukville and principal ASEAN gateways. The segment is growing at 3.84% CAGR between 2025-2030, aided by duty-free access under RCEP and upgraded expressways that reduce road wear. CEP, though only 7.79% of 2024 revenue, expands at 4.90% CAGR (2025-2030) as domestic e-commerce users climb toward 2.9 million by 2029. Warehouse and Storage, and Freight Forwarding both benefit from manufacturers outsourcing non-core activities, while value-added services rise as multinationals demand pick-and-pack and labeling functions close to plant sites.
In volume terms, freight tonnage aligns with Cambodia's freight and logistics market patterns, where road transport retains 68.99% of the load picked (tons), but CEP parcels post double-digit growth every quarter, driven by social-commerce sales to secondary cities. Cross-border CEP operators are piloting automated sorters near Bavet to streamline last-mile hand-offs into Vietnam.
By Courier, Express, and Parcel (CEP): Domestic CEP Strength Challenged by International Growth
Domestic CEP held 64.11% market share in 2024, feeding Phnom Penh and Siem Reap’s vibrant online-retail scene. International CEP grows at a 5.08% CAGR (2025-2030) as cross-border parcels surge to and from China’s e-commerce hubs. J&T Express tops regional parcel volume, but DHL and FedEx enjoy premium yields on outbound express consignments to US buyers.
Technology is a differentiator: sortation robots are under pilot in three hubs, and AI-driven route optimization cuts delivery windows to under 24 hours on core city pairs. Cambodia's freight and logistics market competitiveness turns on whether local players can match these investments.
By Warehousing and Storage: Conventional Storage Dominance Meets Cold-Chain Innovation
Non-temperature controlled warehousing accounts for 91.57% of revenue share in 2024, supporting garment exporters that seldom need climate control. The emerging cold-chain slice grows 4.00% CAGR (2025-2030) as aquaculture output swells and modern grocery retailers demand fresh produce quality. Manufacturers represent a significant share of temperature-controlled uptake in 2024, yet wholesale and retail claimed a significant share as omnichannel grocers build Phnom Penh cross-docks.
Automation remains nascent; only 5% of warehouses deploy conveyor picking, but land-constrained developers are platooning mezzanine racking to boost cubic yield. The Cambodia freight and logistics industry is increasingly piloting solar rooftops to trim utility bills.
By Freight Transport: Road Supremacy Faces Air Freight Disruption
Road freight transport hauled 69.60% of revenue share in 2024, with the Phnom Penh ring-road upgrade easing city congestion. Yet air freight transport advances at a 5.00% CAGR (2025-2030) on the strength of express e-commerce parcels and high-value electronics bound for Seoul and Los Angeles. Sea and inland waterways freight transport dominates ton-km, reflecting long-haul maritime legs, while the rail share languishes, pending full rehabilitation. Pipelines serve a niche fuel trade to the capital’s power plants.
Modal diversification aligns with policy; the Comprehensive Intermodal Transport and Logistics System blueprint targets sea-rail linkages so that Cambodia's freight and logistics market efficiency rises alongside sustainability metrics.
Note: Segment shares of all individual segments available upon report purchase
By Freight Forwarding: Sea and Inland Waterways Lead, Air Forwarding Rises
Sea and inland waterways freight forwarding contributed 73.18% of 2024 forwarding income, capturing manufacturers’ preference for full-container-load economics to US and EU buyers. Cambodia freight and logistics market size for air freight forwarding will climb alongside the 4.47% CAGR (2025-2030) forecast as fashion, electronics, and pharma shippers exploit Techo International Airport’s on-airport cool-chain zone.
Digital visibility tools are diffusing; top ten forwarders now offer milestone APIs to Cambodian exporters seeking proof-of-delivery data for Western retailers. Sustainability enters bid criteria too, CMA CGM/CEVA and DHL are bundling bio-fuel surcharges, mirroring global mandates on emissions reporting.
Geography Analysis
Cambodia freight and logistics market activity clusters around Phnom Penh, Sihanoukville, and border towns that straddle ASEAN corridors. The capital region anchors value-added logistics with 3PL campuses near the Outer Ring Road, leveraging proximity to Techo International Airport, which targets 15 million passengers and substantial belly-hold capacity once operational in July 2025. Express shuttles are already trial midnight truck-air transfers to synchronize with early-morning flights.
Sihanoukville amplifies gateway importance through an expanded container terminal capable of 1.3 million TEU and cranes sized for Panamax vessels. The USD 16 billion Bay of Lights redevelopment sprinkles logistics parks along new access roads, positioning the area to process rising agro-product exports and attract ship-side assembly investments.
Border geographies thrive. Bavet’s SEZs lie 170 km from Ho Chi Minh City, benefitting from through-billed feeder services that shorten port dwell times. Poipet leverages the railway reconnect to Thailand to court rubber and bicycle manufacturers seeking cheaper land. In Cambodia’s landlocked north, road corridors carry bulk crops to southern ports, but the upcoming Funan Techo Canal provides new hope for waterborne routes that bypass Vietnamese transshipment and pare logistics costs by 30%. Coastal Kep gains prominence through aquaculture clusters, catalyzing cold-chain warehouse demand underwritten by Asian Development Bank funding.
Competitive Landscape
The Cambodia freight and logistics market remains fragmented yet tilts toward consolidation as multinationals chase network scale. DSV’s April 2025 absorption of DB Schenker integrates 160,000 staff across 90 countries, creating procurement muscle that pressures smaller forwarders on rates. Global brands dominate international air and ocean lanes; DHL’s rollout of Xcelerate airport-to-airport service secures first-mover advantage on time-critical pharma.
Domestic trucking is dispersed, with thousands of family-run fleets handling 69.60% of inland tonnage, but capital barriers stall fleet renewal. Regional express names such as J&T Express resort to aggressive pricing that drags yield, prompting incumbents to differentiate through reliability guarantees. Cold-chain is an attractive white-space with only a handful of purpose-built facilities; niche specialists forming joint ventures with seafood exporters are well placed to capture value.
Technology deployment deepens the competitive market. Major 3PLs operate cloud TMS plus real-time visibility dashboards, whereas many local forwarders rely on spreadsheets. Sustainability likewise shapes bids; Maersk and Hapag-Lloyd’s Gemini Cooperation pledges 90% schedule reliability and dual-fuel vessels, appealing to EU importers who must report maritime Scope 3 emissions starting in 2026.
Cambodia Freight And Logistics Industry Leaders
-
DHL Group
-
DSV A/S (incl. DB Schenker)
-
A.P. Moller - Maersk
-
Cambodia Post (CP)
-
J&T Express
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- May 2025: Kuehne + Nagel introduced its Roadmap 2026 strategy, partnering with Evonik to advance logistics innovation and sustainable air-freight programs in Asia.
- April 2025: DSV A/S closed its EUR 14.3 billion (USD 15.78 billion) buyout of DB Schenker, forming a EUR 40.3 billion (USD 44.47 billion) revenue group expected to extract DKK 9 billion (USD 1.33 billion) in annual synergies by 2028.
- March 2025: Phnom Penh launched a USD 2 billion four-line metro rail project in cooperation with the Asian Infrastructure Investment Bank, aimed at easing urban congestion and boosting freight fluidity.
- February 2025: Maersk and Hapag-Lloyd inaugurated the Gemini Cooperation, promising 90% on-time performance on East-West lanes and deploying dual-fuel vessels on Southeast Asia rotations.
Research Methodology Framework and Report Scope
Market Definitions and Key Coverage
Our study defines the Cambodia freight and logistics market as every paid domestic or cross-border movement of goods, covering freight transport by road, rail, inland waterway, sea, and air, plus freight forwarding, courier-express-parcel, warehousing, and contract logistics services whose origin, transit point, or destination lies inside Cambodian territory.
Exclusion: passenger transport activities fall outside this scope.
Segmentation Overview
- End User Industry
- Agriculture, Fishing, and Forestry
- Construction
- Manufacturing
- Oil and Gas, Mining and Quarrying
- Wholesale and Retail Trade
- Others
- Logistics Function
- Courier, Express, and Parcel (CEP)
- By Destination Type
- Domestic
- International
- By Destination Type
- Freight Forwarding
- By Mode of Transport
- Air
- Sea and Inland Waterways
- Others
- By Mode of Transport
- Freight Transport
- By Mode of Transport
- Air
- Pipelines
- Rail
- Road
- Sea and Inland Waterways
- By Mode of Transport
- Warehousing and Storage
- By Temperature Control
- Non-Temperature Controlled
- Temperature Controlled
- By Temperature Control
- Other Services
- Courier, Express, and Parcel (CEP)
Detailed Research Methodology and Data Validation
Primary Research
Mordor analysts supplemented desk findings through in-depth calls with Cambodian trucking fleets, third-party logistics providers, garment exporters, and warehouse developers operating in Phnom Penh, Sihanoukville, Poipet, and Bavet. These conversations verified prevailing rate cards, seasonality patterns, and utilization thresholds, and they highlighted emerging demand pockets such as SEZ-linked cross-docking solutions.
Desk Research
We began with publicly available macro and sector data from the National Institute of Statistics, the Ministry of Public Works and Transport, the General Department of Customs and Excise, World Bank trade dashboards, the ASEAN Freight Transport Working Group, and UNCTAD maritime statistics. Company filings, port authority annual reports, reputable news captured via Dow Jones Factiva, and financial snapshots from D&B Hoovers added micro-level context. These sources establish historical volumes, tariff benchmarks, fleet additions, and policy milestones that anchor the model. The list above is illustrative; many additional documents were consulted for clarification and data validation.
Market-Sizing and Forecasting
A top-down demand-pool build starts with Cambodia's freight expenditure share of GDP, adjusted by detailed merchandise trade, manufacturing output, and e-commerce parcel counts. Results are then cross-checked through selective bottom-up roll-ups that multiply sampled average selling prices by road tonnage, TEU throughput, and CEP parcel volumes gathered during interviews. Key variables include garment export growth, fuel price trends, logistics-cost-to-GDP ratio shifts, port capacity additions, and warehouse absorption rates. Forecasts to 2030 deploy multivariate regression supported by ARIMA smoothing to capture cyclical trade swings while honoring expert consensus on infrastructure delivery timelines. Where primary data gaps appear, regional proxies are scaled using per-capita income and modal share differentials.
Data Validation and Update Cycle
Iterative cross-checks compare model outputs with independent indicators such as container calls, diesel sales, and customs duty receipts. Variances trigger peer review among analysts before sign-off. The report is refreshed every twelve months, with interim updates when material policy or capacity events occur, ensuring clients receive the latest calibrated view.
Why Mordor's Cambodia Freight and Logistics Baseline Earns Decision-Maker Trust
Published estimates often diverge because firms pick different service mixes, currency bases, and refresh cadences.
Key Gap Drivers include whether postal services are folded into freight, how unofficial fees are treated, and if figures are converted to constant or current dollars before inflation adjustments.
Benchmark comparison
| Market Size | Anonymized source | Primary gap driver |
|---|---|---|
| USD 1.41 B (2025) | Mordor Intelligence | - |
| USD 1.82 B (2024) | Global Consultancy A | Broader scope bundles postal and last-mile retail delivery, limited cross-checks on tariff declines |
| USD 1.91 B (2025) | Industry Association B | Relies on announced project values and assumes full spend realization without operator interviews |
| USD 2.78 B (2022) | Trade Journal C | Includes downstream distribution costs and quotes in constant 2020 dollars with no inflation conversion |
The comparison shows that when service boundaries, inflation treatment, and verification depth vary, headline values swing widely. By aligning scope tightly to paid freight activities and employing transparent variable tracking that is revisited every year, Mordor Intelligence provides a balanced, repeatable baseline that decision-makers can rely on.
Key Questions Answered in the Report
What is the current size of the Cambodia freight and logistics market?
The market is valued at USD 1.41 billion in 2025 and is set to reach USD 1.71 billion by 2030.
Which logistics function holds the largest share?
Freight Transport leads with 60.70% Cambodia freight and logistics market share in 2024.
What infrastructure projects will most influence industry growth?
The Phnom Penh–Sihanoukville Expressway, Techo International Airport, and the Funan Techo Canal are the headline projects expected to reshape freight flows.
Which end-user industry is expanding quickest?
Manufacturing grows at a 4.24% CAGR between 2025-2030 as SEZ investment accelerates.
How significant are informal fees to logistics costs?
World Bank studies indicate that informal payments and border delays depress competitiveness, shaving 0.8% off projected CAGR if unaddressed.
What opportunities exist in cold-chain logistics?
Demand is rising from aquaculture and agro-processing, with temperature-controlled warehousing forecast to grow at 4.00% CAGR between 2025-2030.
Page last updated on: