Market Overview
| Study Period | 2017 - 2030 |
|---|---|
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 23.80 Billion |
| Market Size (2030) | USD 29.06 Billion |
| Growth Rate (2025 - 2030) | 4.07% CAGR |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
|
Netherlands Road Freight Transport Market Analysis by Mordor Intelligence
The Netherlands road freight transport market size stands at USD 23.80 billion in 2025 and is forecast to reach USD 29.06 billion by 2030, reflecting a 4.07% CAGR between 2025-2030. Demand growth in the Netherlands road freight transport market is anchored in the country’s role as Europe’s logistics gateway, where 170 million consumers live within 300 miles of Dutch borders. Hinterland trucking volumes flow steadily from Rotterdam, Europe’s largest port, and from Amsterdam Schiphol, the continent’s fourth-largest cargo airport, reinforcing domestic lane density. E-commerce expansion among 13.9 million Dutch online shoppers, coupled with sustained manufacturing sector output, continues to push shipment frequency upward. Meanwhile, regulatory initiatives—distance-based truck tolls, zero-emission zones, and hydrogen-truck subsidies—encourage rapid fleet modernization and shape investment priorities across the Netherlands road freight transport market.
Key Report Takeaways
- By end user industry, manufacturing led with a 35.68% Netherlands road freight transport market share in 2024; wholesale and retail trade is forecast to post the fastest 4.69% CAGR between 2025-2030.
- By destination, domestic freight captured 64.06% of the Netherlands road freight transport market size in 2024, while International freight is projected to expand at a 4.78% CAGR over 2025-2030.
- By truckload specification, full-truck-load held 83.88% of the revenue share in 2024; less-than-truck-load is advancing at a 4.56% CAGR between 2025-2030.
- By containerization, non-containerized freight accounted for 86.95% of the revenue share in 2024, whereas containerized freight is forecast to grow at a 4.16% CAGR between 2025-2030.
- By distance, long-haul freight possessed 71.97% of the revenue share in 2024 and is expanding at a 4.28% CAGR between 2025-2030.
- By goods configuration, solid goods commanded 72.55% of the revenue share in 2024; fluid goods is projected to rise at a 4.39% CAGR between 2025-2030.
- By temperature control, non-temperature-controlled freight held 94.86% of the revenue share in 2024, while temperature-controlled freight is growing at a 4.48% CAGR between 2025-2030.
Netherlands Road Freight Transport Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Green public-spending surge for road and multimodal corridors | +0.8% | National, concentrated in Randstad | Medium term (2-4 years) |
| Mandatory distance-based truck toll (2026) | +0.6% | Nationwide, higher on long-haul routes | Short term (≤ 2 years) |
| E-commerce urban-logistics boom | +1.2% | Amsterdam, Rotterdam, The Hague urban cores | Short term (≤ 2 years) |
| Accelerated hydrogen-truck subsidy window (2024-26) | +0.4% | National industrial corridors | Medium term (2-4 years) |
| Zero-emission zones in 30+ cities from 2025 | +0.7% | Urban areas, expanding from 14 to 18 cities | Short term (≤ 2 years) |
| Real-time freight data-exchange mandate | +0.3% | National, EU-wide coordination | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
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Green Public-Spending Surge for Road and Multimodal Corridors
Government funding totaling EUR 1 billion (USD 1.10 billion) for hydrogen auctions and EUR 40 million (USD 44.14 million) under the SWIM framework is refocusing infrastructure priorities on multimodal connectivity. Investments in intermodal terminals shorten dwell time and raise first-mile and last-mile trucking volumes. Enhanced corridor capacity produces freight-flow clustering around upgraded hubs, strengthening lane density within the Netherlands road freight transport market. Deployment of public charging and hydrogen refueling points establishes the energy backbone for commercial vehicle electrification, while meeting EU Green Deal timelines. As projects roll out, operators gain predictable network improvements that support higher truck utilization and lower empty-run ratios[1]“Netherlands – Market Overview,” U.S. International Trade Administration, trade.gov .
Mandatory Distance-Based Truck Toll (2026) Incentivizing Fleet Renewal
The July 2026 toll introduces variable per-kilometer charges that discount electric and hydrogen trucks, trimming operating costs for early adopters. Toll proceeds are earmarked for road upgrades, creating a reinforcing cycle of efficiency gains. Transport firms have already altered capital budgets, with sector investment sentiment up 23.6% in January 2025 despite profit headwinds. The policy accelerates retirement of diesel assets, prompting OEM order backlogs for low-emission trucks. Price signals also encourage route optimization, reducing empty mileage and smoothing congestion peaks[2]“Hydrogen Auction Program,” Government of the Netherlands, government.nl .
E-Commerce Urban-Logistics Boom
Online sales of EUR 36 billion (USD 39.73 billion) in 2024 and parcel volumes from Asian webshops rising 34.4% in Q3 2024 intensify urban distribution demands. Operators respond by deploying micro-fulfillment centers inside city limits and expanding locker networks, with PostNL reaching 1,070 automated units. Delivery windows compress, raising trip frequency and supporting growth in the Netherlands road freight transport market. Cargo bikes and electric vans capture last-mile slots restricted by zero-emission rules, improving delivery density while cutting congestion. Cross-border e-commerce funnels additional containers through Rotterdam and Schiphol, enlarging the drayage pool.
Accelerated Hydrogen-Truck Subsidy Window (2024-26)
A time-bound subsidy equalizes hydrogen truck purchase prices with diesel, driving rapid order placement ahead of the program sunset. Long-haul carriers favor hydrogen’s extended range, aligning fleet renewal with duty-cycle needs. Infrastructure roll-out along Rotterdam–German border corridors establishes predictable refueling nodes, mitigating range anxiety. The compressed adoption window pulls demand forward, lifting medium-term growth in the Netherlands road freight transport market. Scale build-out lowers per-vehicle maintenance costs and spurs ancillary investment in hydrogen production.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Severe long-haul driver shortage | -0.9% | Nationwide, acute on cross-border lanes | Long term (≥ 4 years) |
| High excise-duty fuel price escalator | -0.7% | Nationwide, hardest on long-distance operations | Short term (≤ 2 years) |
| Port and road congestion around Rotterdam | -0.5% | Rotterdam-Amsterdam-Utrecht logistics triangle | Medium term (2-4 years) |
| Scarcity of fast-charging grid capacity | -0.4% | Rural corridors and secondary cities | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Severe Long-Haul Driver Shortage and Ageing Workforce
Nearly 47% of Dutch transport firms cited labor scarcity as their top constraint in January 2025. Retiring drivers outpace new entrants, especially on arduous international routes. Wage hikes of 7% phased from July 2024 to January 2026 underline the talent squeeze. Automation promises relief yet remains years from broad deployment. Persistent shortages cap capacity expansion in the Netherlands road freight transport market and inflate freight rates, nudging shippers toward rail and inland waterways[3]“Trucking Toll Update,” TLN Dutch Transport Association, tln.nl.
High Excise-Duty Fuel Price Escalator (2025 Onwards)
Diesel reached EUR 1.84 (USD 2.03) per liter by July 2025 after successive excise hikes. Elevating operating costs squeeze margins and expedite payback periods for low-emission trucks. SMEs with aging fleets face acute cash-flow strain, encouraging mergers or market exits. Carriers hedge fuel exposure and retrofit aerodynamic aids, yet the escalator’s progression maintains upward pressure on linehaul pricing within the Netherlands road freight transport market[4]“eFTI Regulation,” European Commission, ec.europa.eu.
Segment Analysis
By End User Industry: Manufacturing Segment Leading in the Market
Manufacturing generated 35.68% of 2024 revenue, underscoring its position as the freight backbone for the Netherlands road freight transport market. High-tech, chemical, and food-processing clusters import raw inputs through Rotterdam and export finished goods across EU neighbors, creating balanced traffic that limits empty miles. The segment leverages proximity to dense consumer markets, maintaining consistent load factors and anchoring carrier revenues.
Wholesale and Retail Trade is projected to lead expansion, rising at a 4.69% CAGR between 2025-2030 as omnichannel commerce proliferates. Parcel fragmentation favors frequent truck dispatches, boosting Less-than-Truck-Load penetration. Construction freight rides public infrastructure outlays yet faces labor shortages that constrain project timelines. Agriculture, Fishing & Forestry sustains niche demand for temperature-controlled and time-sensitive moves, while Oil and Gas, Mining and Quarrying realigns toward renewable-equipment haulage. Collectively, diversified shipper needs widen service scope across the Netherlands road freight transport market.
Note: Segment shares of all individual segments available upon report purchase
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By Destination: Domestic Heavyweights with Fast-Growing Cross-Border Flow
Domestic lanes supplied 64.06% of value in 2024, reflecting compact geography and Randstad density that support day-trip operations and high trailer utilization. Zero-emission zones reshape city-center routing, compelling fleet electrification and micro-hub adoption.
International traffic, however, is growing at 4.78% CAGR between 2025-2030 as the Netherlands road freight transport market extends reach into Germany, Belgium, and France. Cross-border e-commerce and regionalized supply chains elevate container drayage and inland transshipment. Advanced customs expertise gives Dutch carriers an edge in post-Brexit clearance and EU digital documentation compliance, lifting revenue per kilometer.
By Truckload Specification: FTL Anchors Volume, LTL Accelerates
Full-Truck-Load billed for 83.88% of 2024 revenue, fueled by steady containerized imports and steady export pallets that fill trailers end-to-end. Scale efficiency, simpler routing, and lower handling risks keep FTL profitable despite driver scarcity.
Less-than-Truck-Load advances at a 4.56% CAGR between 2025-2030, propelled by e-commerce fragmentation and inventory-light retailing. Digital platforms enhance consolidation, raising load factors and bridging the service gap between parcel and FTL. Future toll incentives and urban restrictions may shift more volume into multi-stop LTL networks within the Netherlands road freight transport market.
By Containerization: Specialized Bulk Leads while Boxes Gain Ground
Non-Containerized freight captured 86.95% of 2024 revenues, dominated by chemicals, fuels, and construction materials that demand tailored equipment. Tankers and tippers provide the flexibility and safety required for hazardous and oversized cargoes.
Containerized freight is forecast to grow 4.16% CAGR between 2025-2030 as standardized equipment supports end-to-end digital tracking and intermodal transfers. Rotterdam’s hub status ensures a steady pipeline of import containers needing hinterland drayage, and cross-dock centers near Venlo and Moerdijk distribute goods deeper into Europe. Better box utilization and data-rich tracking make containers attractive to shippers targeting fast replenishment cycles in the Netherlands road freight transport market.
By Distance: Long-Haul Dominance Reinforced
Long-Haul moves represented 71.97% of value in 2024 and are set to climb at a 4.28% CAGR between 2025-2030. Extended routes knit Dutch ports to German industrial basins and Eastern European consumption zones, highlighting the country’s gateway role. The mandatory toll sharpens cost awareness, encouraging careful lane selection and potential modal shifts for the very longest stretches.
Short-Haul traffic supports urban replenishment and last-mile parcel delivery but faces congestion and zero-emission compliance costs. While e-commerce keeps volumes growing, margin pressure and tight city access windows challenge small carriers in the Netherlands road freight transport market.
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By Goods Configuration: Solid Shipments Rule, Liquids Accelerate
Solid Goods, at 72.55% share in 2024, form the broad foundation—covering consumer goods, machinery, and building materials. Predictable flows enable high asset turnover and facilitate backhaul pairing.
Fluid Goods, though smaller, is projected to grow at a 4.39% CAGR between 2025-2030, mirroring petrochemical throughput and emerging hydrogen value chains. Specialized tank fleets comply with ADR rules and command premium rates, enticing investment despite higher capital costs. The dual base diversifies revenue streams for carriers in the Netherlands road freight transport market.
By Temperature Control: Ambient Still Prevalent, Cold Chain Scales Up
Non-Temperature-Controlled cargo held 94.86% share in 2024 as most manufactured goods tolerate ambient conditions. Operators optimize trailer pools for dry freight, yielding low empty repositioning.
Temperature-Controlled loads are expanding at 4.48% CAGR between 2025-2030, led by pharmaceuticals, fresh produce, and floriculture exports. GDP and HACCP rules necessitate validated equipment, data-logging sensors, and stringent SOPs, creating barriers that shelter margins. Cold chain development widens service portfolios in the Netherlands road freight transport market while attracting consolidation from global 3PLs.
Geography Analysis
Domestic activity anchors growth as 170 million consumers sit within a one-day truck radius. Randstad cities generate dense pickup and delivery cycles, supported by GDP growth of 0.8% in Q3 2024. Zero-emission zones influence route design and spark electric vehicle procurement. Capital subsidies and public charging deployment keep carriers engaged despite elevated equipment prices.
Cross-border volumes expand swiftly, feeding the Netherlands road freight transport market with higher-yield loads bound for Germany, Belgium, and France. EU e-commerce returns flow into Dutch sorting hubs, combining with Asian direct imports channeled via Schiphol cargo flights. Inland waterways holding 11.7% modal share ease port congestion and spawn additional first-mile trucking for barge connections.
Regional shifts emerge as Rotterdam congestion diverts traffic to secondary ports and inland terminals, dispersing economic benefit. Government multimodal corridors and hydrogen refueling projects funnel fresh capacity toward eastern border crossings, supporting export-heavy industrial parks. OECD projects GDP gains of 1.3% in 2025 and 1.1% in 2026, sustaining household consumption and underpinning steady freight creation.
Competitive Landscape
Competition remains fragmented despite headline consolidation. DSV’s EUR 14.3 billion (USD 15.78 billion) acquisition of DB Schenker in April 2025 doubles network scale and reshapes European alignment. Yet, numerous domestic specialists thrive through niche expertise, high service flexibility, and localized customer relationships. Technology adoption forms the new battleground: Raben Group’s 200 automations saving EUR 6 million (USD 6.62 million) annually showcase efficiency gains through robotics and process mining.
Sustainability credentials differentiate tenders as shippers seek emission transparency under ISO 14083. Fleet electrification and hydrogen trials grant early movers access to urban contracts restricted by zero-emission criteria. Digital brokerage platforms match fragmented capacity with shipper demand, raising load factors and compressing spot-rate volatility. Nonetheless, driver scarcity and fuel cost escalators raise entry barriers, nudging smaller operators toward cooperative networks or exit.
Strategic moves highlight capital reallocation into technology and green assets. PostNL secured EUR 100 million (USD 110.36 million) Schuldschein financing in June 2025 to fortify parcel automation and EV rollout. Kuehne + Nagel pledged EUR 1.2 billion (USD 1.32 billion) for digital and sustainability programs that include Dutch facilities upgrades. As regulatory complexity rises, carriers capable of integrating compliance, visibility, and low-carbon operations strengthen pricing power within the Netherlands road freight transport market.
Netherlands Road Freight Transport Industry Leaders
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A.P. Moller - Maersk
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DACHSER
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Jan de Rijk Logistics
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DSV A/S (including DB Schenker)
-
DHL Group
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- June 2025: PostNL placed EUR 100 million (USD 110.36 million) Schuldschein financing to fund locker expansion and fleet electrification.
- April 2025: DSV A/S completed its EUR 14.3 billion (USD 15.78 billion) purchase of DB Schenker, becoming Europe’s largest logistics provider.
- March 2024: Raben Group acquired Muller Fresh Food Logistics, deepening temperature-controlled capacity.
- February 2024: Kuehne + Nagel announced a EUR 1.2 billion (USD 1.32 billion) European investment program focused on digitization and sustainability.
Netherlands Road Freight Transport Market Report Scope
Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil and Gas, Mining and Quarrying, Wholesale and Retail Trade, Others are covered as segments by End User Industry. Domestic, International are covered as segments by Destination. Full-Truck-Load (FTL), Less than-Truck-Load (LTL) are covered as segments by Truckload Specification. Containerized, Non-Containerized are covered as segments by Containerization. Long Haul, Short Haul are covered as segments by Distance. Fluid Goods, Solid Goods are covered as segments by Goods Configuration. Non-Temperature Controlled, Temperature Controlled are covered as segments by Temperature Control.
End User Industry
| Agriculture, Fishing, and Forestry |
| Construction |
| Manufacturing |
| Oil and Gas, Mining and Quarrying |
| Wholesale and Retail Trade |
| Others |
Destination
| Domestic |
| International |
Truckload Specification
| Full-Truck-Load (FTL) |
| Less than-Truck-Load (LTL) |
Containerization
| Containerized |
| Non-Containerized |
Distance
| Long Haul |
| Short Haul |
Goods Configuration
| Fluid Goods |
| Solid Goods |
Temperature Control
| Non-Temperature Controlled |
| Temperature Controlled |
| End User Industry | Agriculture, Fishing, and Forestry |
| Construction | |
| Manufacturing | |
| Oil and Gas, Mining and Quarrying | |
| Wholesale and Retail Trade | |
| Others | |
| Destination | Domestic |
| International | |
| Truckload Specification | Full-Truck-Load (FTL) |
| Less than-Truck-Load (LTL) | |
| Containerization | Containerized |
| Non-Containerized | |
| Distance | Long Haul |
| Short Haul | |
| Goods Configuration | Fluid Goods |
| Solid Goods | |
| Temperature Control | Non-Temperature Controlled |
| Temperature Controlled |
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Market Definition
- Agriculture, Fishing, and Forestry (AFF) - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the AFF industry players on road freight transport service. The end user players considered are the establishments primarily engaged in growing crops, raising animals, harvesting timber, harvesting fish & other animals from their natural habitats and providing related support activities. Herein, across the value chain, Logistics Service Providers (LSPs) play a crucial role in acquisition, storage, handling, transportation, and distribution activities for the optimal & continuous flow of inputs (seeds, pesticides, fertilizers, equipment, and water) from manufacturers or suppliers to the producers and smooth flow of output (produce, agro-goods) to distributors/ consumers. This includes both termperature controlled and non-temperature controlled logistics, as and when required according to the shelf life of goods being transported or stored.
- Construction - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the construction industry players, on road freight transport service. The end user players considered are the establishments primarily engaged in constructing, repairing and renovating residential & commercial buildings, infrastructure, engineering works, subdividing and developing land. Logistics Service Providers (LSPs) play a crucial role in increasing profitability of construction projects by maintaing the inventory of raw materials & equipment, time-critical supplies and by providing other value added services for effective project management.
- Containerized Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Full-Truck-Load (FTL) services. FTL road freight transport is characterized as a full single load not combined with other shipments. It comprises of shipments (i) devoted to the goods of a single shipper (ii) taken directly from a point of origin to one or more destination points (iii) comprising of bulk mail truck transportation (iv) comprising of both Container (Full Container Load, FCL)/Non-Container trucking services (v)comprsing of goods requiring temperature controlled or non-temperature controlled transportation services (vi) comprising of bulk liquid tankering (vii) invoving trucking of waste (viii) hazardous material trucking. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- Export Trends and Import Trends - Overall logistics performance of an economy is positively and significantly (statistically) correlated to its trade performance (exports and imports). Hence, in this industry trend, total value of trade, major commodities/ commodity groups and the major trade partners, for the studied geography (country or region as per the scope of report) have been analysed alongside the impact of major trade/logistics infrastructure investments & regulatory environment.
- Fluid Goods - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users for the transport of bulk liquids, that are often used in extraction, manufacturing, food processing, agriculture industries among others. It includes transportation of liquids like (i) Chemicals/ hazardous goods (for instance acids) (ii) Water (potable as well as waste) (iii) Oil and gas (upstream as well as downstream like gasoline, fuel, crude oil, or propane), (iv) Food grade bulk liquids (like milk, or juice), (v) Rubber, (vi) Agrichemical products, among others. These goods are generally transported through tanker trucking.
- Fuel Price - Fuel price spikes can cause delays and diruption for logistics service providers (LSPs), while drops in the same can result in higher short-term profitability and increased market rivalry to offer consumers with the best deals. Hence, the fuel price variations have been studied over the review period and presented along with the causes as well as market impacts.
- Full-Truck-Load (FTL) Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Full-Truck-Load (FTL) services. FTL road freight transport is characterized as a full single load not combined with other shipments. It comprises of shipments (i) devoted to the goods of a single shipper (ii) taken directly from a point of origin to one or more destination points (iii) comprising of bulk mail truck transportation (iv) comprising of both Container (Full Container Load, FCL)/Non-Container trucking services (v)comprsing of goods requiring temperature controlled or non-temperature controlled transportation services (vi) comprising of bulk liquid tankering (vii) invoving trucking of waste (viii) hazardous material trucking. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- GDP Distribution by Economic Activity - Nominal Gross Domestic Product and distribution of the same, across major economic sectors in the geography studied (country or region as per scope of the report) have been studied and presented in this industry trend. As GDP is positively related to the profitability and growth of logistics industry, this data has been used in adjunction to the input-output tables/ supply-use tables for analyzing the potential major contributing sectors towards the logistics demand.
- GDP Growth by Economic Activity - Growth of Nominal Gross Domestic Product across major economic sectors, for the geography studied (country or region as per scope of the report) have been presented in this industry trend. This data has been utilized for assessing the growth of logistics demand from all the market end users (economic sectors considered here).
- Inflation - Variations in both Wholesale Price Inflation (YoY change in producer price index) and Consumer Price Inflation have been presented in this industry trend. This data has been used to assess the inflationary environment as it plays a vital role in smooth functioning of the supply chain, directly impacting the logistics operational cost components e.g., pricing of tyres, driver wages & benefits, energy/fuel prices, maintenace costs, toll charges, warehousing rents, custom brokerage, forwarding rates, courier rates etc. hence impacting the overall freight and logistics market.
- Key Industry Trends - The report section named "Key Industry Trends" include all the key variables/parameters studied to better analyze the market size estimates and forecasts. All the trends have been presented in the form of data points (time series or latest available data points) along with analysis of the paramter in the form of concise market relevant commentary, for the geography studied (country or region as per the scope of report).
- Key Strategic Moves - The action taken by a company to differentiate from its competitor or used as a general strategy is referred to as a key strategic move (KSM). This includes (1) Agreements (2) Expansions (3) Financial Restructuring (4) Mergers and Acquisitions (5) Partnerships, and (6) Product Innovations. Key players (Logistics Service Providers, LSPs) in the market have been shortlisted, their KSM have been studied and presented in this section.
- Less than-Truck-Load (LTL) Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on Less than-Truck-Load (LTL) services. LTL road freight transport is characterized as multiple shipments combined onto a single truck for multiple deliveries within a network. It comprises of establishments (i) primarily engaged in general and specialized freight trucking of less than complete truck-loads, (ii) characterized by the use of terminals to consolidate shipments, generally from several shippers, into a single truck for haulage between a load assembly terminal and a disassembly terminal, where the load is sorted and shipments are re-routed for delivery (iv) Less than-Container-Load (LCL) shipping/ Groupage Shipping in case of trucking services. The activities in scope include (i) local pick-up, (ii) line-haul, and (iii) local delivery. Related value added services (VAS) of sorting, consolidation, deconslidation are included in the other services segment of freight and logistics market.
- Logistics Performance - Logistics Performance and Logistics Costs are the backbone of trade, and influences trade costs, making countries compete globally. Logistics performance is influenced by market wide adopted supply chain management strategies, government services, investments & policies, fuel/ energy costs, inflationary environment etc. Hence, in this industry trend, the logistics performance of the geography studied (country/ region as per the scope of report) has been analysed and presented over the review period.
- Major Truck Suppliers - Market share of truck brands is influenced by factors like geographical preferences, portfolio of truck types, truck prices, local production, truck repair & maintenance service peneteration, customer support, technological innovations (like electric vehicles, digitalization, autonomous trucks), fuel efficiency, financing options, annual maintenance costs, availability of substitutes, marketing startegies etc. Hence, the distribution (share % for base year of the study) of truck sales volume for leading truck brands and commentary on current market scenario & market anticipation over the forecast period have been presented in this industry trend.
- Manufacturing - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the Manufacturing industry players, on road freight transport service. The end user players considered are the establishments primarily engaged in the chemical, mechanical or physical transformation of materials or substances into new products. Logistics Service Providers (LSPs) play a crucial role in maintaining a smooth flow of raw materials across the supply chain, enabling timely delivery of finished goods to distributors or end customers and storing & supplying the raw materials to clients for just-in-time manufacturing.
- Modal Share - Freight Modal Share is influenced by factors like modal productivity, government regulations, containerization, distance of shipment, temperature control requirements, type of goods, international trade, terrain, speed of delivery, shipment weight, bulk shipments, etc. Also, modal share by tonnage (tons) and modal share by freight turnover (ton-km) differ as per average distance of shipments, weight of major commodity groups transported in the economy and number of trips. This industry trend represents the distribution of freight transported by mode of transport (tons as well as ton-km), for the study base year.
- Oil and Gas, Mining and Quarrying - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the extraction industry players, on road freight transport service. The end user players considered are the establishments that extract naturally occurring mineral solids, such as coal and ores; liquid minerals, such as crude petroleum; and gases, such as natural gas. Logistics Service Providers (LSPs) covers entire phases from upstream to downstream and plays a crucial role in the transportation of machinery, drilling equipments, extracted minerals, crude oil & natural gas and refined/ processed products from one place to another.
- Other End Users - Other end user segment captures the external (outsourced) logistics expenditure incurred by the financial services (BFSI), real estate, educational services, healthcare, and professional services (administrative, waste management, legal, architectural, engineering, design, consulting, scientific R&D), on road freight transport service. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of supplies and documents to/from these industries such as transporting any equipment or resources required, shipping confidential documents and files, movement of medical goods & supplies (surgical supplies and instruments, including gloves, masks, syringes, equipment) to name a few.
- Producer Price Inflation - It indicates inflation from viewpoint of the producers viz. the average selling price received for their output over a period of time. Annual change (YoY) of producer price index is reported as wholesale price inflation in the "Inflation" industry trend. As WPI captures dynamic price movements in most comprehensive way, it is widely used by governments, banks, industry, business circles and is deemed important in formulation of trade, fiscal and other economic policies. The data has been used in adjunction to consumer price inflation for better understanding the inflationary environment.
- Road Freight Pricing Trends - Freight pricing by mode of transport (USD/tonkm), over the review period, has been presented in this industry trend. The data has been used in assessing the inflationary environment, impact on trade, freight turnover (tonkm), road freight transport market demand and hence the road freight transport market size.
- Road Freight Tonnage Trends - Freight tonnage (weight of goods in tons) handled by mode of transport, over the review period, has been presented in this industry trend. The data has been used as one of the parameters apart from average distance per shipment (km), freight volume (tonkm), and freight pricing (USD/tonkm) to assess the freight transport market size.
- Road Freight Transport - Hiring a road freight transport logistics service provider (LSP) or haulier (outsourced logistics), for the transport of commodities constitutes road freight transport market. The scope of study includes (i) road transport of goods reported by hauliers registered in the reporting countries (ii) transport of raw materials or manufactured goods (solids as well as fluids) (iii) transport using commerical motor vehicles (rigid trucks or tractor-trailers, (iv) Full-Truck-Load (FTL) or Less than-Truck-Load (LTL) transport (v) containerized or non-containerized transport (vi) temperature controlled or non-temperature controlled trasnport, (vii) short haul or long haul (Over-the-road, OTR) transport, (viii) used office or household goods transport (movers and packers), (ix) other specialized cargo transport (dangerous goods, oversized cargo) and (x) outsourced first mile/ middle mile/last mile delivery shipments undertaken by road freight transport players. The scope does not include (i) transport undertaken by hauliers registered in other countries (ii) last mile meal delivery market (iii) grocery delivery market (iv) transportation via road network undertaken/ reported by Courier, Express, and Parcel (CEP) players.
- Road Length - As infrastructure plays a vital role in an economy's logistics performance, variables like length of roads, distribution of road length by surface category (paved v/s unpaved), distribution of road length by road classification (expressways v/s highways v/s other roads), have been analysed and presented in this industry trend.
- Segmental Revenue - Segmental Revenue has been triangulated or computed and presented for all the major players in the market. It refers to the road freight transport market specific revenue earned by the company, over the base year of study, in the geography studied (country or region as per the scope of report). It is computed through the study and analysis of major parameters like financials, service portfolio, employee strength, fleet size, investments, number of countries present in, major economies of concern, etc. that have been reported by the company in its annual reports, webpage. For companies having scarce financial disclosures, paid databases like D&B Hoovers, Dow Jones Factiva have been resorted to and verified through industry/expert interactions.
- Short Haul Road Freight Transport - The segment captures the external (outsourced) logistics expenditure incurred by the road freight transport service end users on local trucking (less than 100 miles). It includes the road transport of goods (i) within a single administrative area and its hinterland, (ii) by smaller trucks and pickup trucks (iii) via containerized as well as dry bulk services (iv) intermodal from ports, container terminals or airports, and (v) outsourced first mile/ last mile delivery shipments undertaken by road freight transport players.
- Transport and Storage Sector GDP - Value and growth of Transport and Storage Sector GDP has a direct relation to the freight and logistics market size, and hence road freight transport market size. Therefore, this variable has been studied and presented over the review period, in value terms (USD) and as share % of total GDP, in this industry trend. The data has been supported by concise and relevant commentary around the investments, developments, and current market scenario.
- Trends in E-Commerce Industry - Enhanced internet connectivity and boom in smartphone penetration, coupled with increasing disposable incomes, has led to a phenomenal growth in the e-commerce market globally. Online shoppers require fast and efficient delivery of their orders leading to an increase in the demand for logistics services especially e-commerce fulfilment services. Hence, the Gross Merchandise Value (GMV), historial and projected growth, breakup of major commodity groups in e-commerce industry for the studied geography (country or region as per scope of the report) have been analysed and presented in this industry trend.
- Trends in Manufacturing Industry - Manufacturing industry involves the transformation of raw materials into finished products, while logistics industry ensures the efficient flow of raw materials to the factory, and the transport of manufactured products to the distributors & consumers. Demand-Supply of both industries are highly cross-linked and critical for a seamless supply chain. Hence, the Gross Value Added (GVA), breakup of GVA into major manufacturing sectors, and growth of manufacturing industry over the review period have been analysed and presented, in this industry trend.
- Trucking Fleet Size By Type - Market share of truck types is influenced by factors like geographical preferences, major end user industries, truck prices, local production, truck repair & maintenance service peneteration, customer support, technological disruptions (like electric vehicles, digitalization, autonomous trucks) etc. Hence, the distribution (share % for base year of study) of truck parc volume by type of truck, market disruptors, truck manufacturing investments, truck specifications, truck use & import regulations, and market anticipation over the forecast period have been presented in this industry trend.
- Trucking Operational Costs - The prime reasons for measuring/ benchmarking logistics performance of any trucking company are to reduce operational costs and increase profitability. On the other hand, measuring operational costs helps to identify whether and where to make operational changes to control expenses and identify areas for improved performance. Hence, in this industry trend, trucking operational costs and the variables involved viz. driver wages & benefits, fuel prices, repairs & maintenance costs, tyre costs etc. have been studied over the base year of study, and presented for the geography studied (country or region as per the scope of report).
- Wholesale and Retail Trade - This end user industry segment captures the external (outsourced) logistics expenditure incurred by the wholesalers and retailers, on road freight transport service. The end user players considered are the establishments primarily engaged in wholesaling or retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. Logistics Service Providers (LSPs) plays a crucial role in the reliable movement of supplies to and finished products from production houses to the distributors and finally to the end customer covering activites like material sourcing, transportation, order fulfillment, warehousing & storage, demand forecasting, inventory management etc.
| Keyword | Definition |
|---|---|
| Cabotage | Road transport by a motor vehicle registered in a country performed on the national territory of another country. |
| Cross Docking | Cross docking is a logistics procedure where products from a supplier or manufacturing plant are distributed directly to a customer or retail chain with marginal to no handling or storage time. Cross docking takes place in a distribution docking terminal; usually consisting of trucks and dock doors on two (inbound and outbound) sides with minimal storage space. The name ‘cross docking’ explains the process of receiving products through an inbound dock and then transferring them across the dock to the outbound transportation dock. |
| Cross Trade | International road transport between two different countries performed by a road motor vehicle registered in a third country. A third country is a country other than the country of loading/embarkation and than the country of unloading/disembarkation. |
| Dangerous Goods | The classes of dangerous goods carried by Road are those defined by the fifteenth revised edition of the UN Recommendations on the Transport of Dangerous Goods, United Nations, Geneva 2007. They include Class 1: Explosives; Class 2: Gases; Class 3: Flammable Liquids; Class 4: Flammable solids- substances liable to spontaneous combustion; substances which, on contact with water, emit flammable gases; Class 5: Oxidizing substances and organic peroxides; Class 6: Toxic and infectious substances; Class 7: Radioactive material and Class 8: Corrosive substances, Class 9: Miscellaneous dangerous substances and articles. |
| Direct Shipment | Direct shipment is a method of delivering goods from the supplier or the product owner to the customer directly. In most cases, the customer orders the goods from the product owner. This delivery scheme reduces transportation and storage costs, but requires additional planning and administration. |
| Drayage | A drayage is a form of trucking service that connects the different modes of shipping (intermodal), such as ocean freight or air freight. It’s a short-haul trip that transports goods from one place to another, usually before or after its long-haul shipping process. Drayage trucks move cargo to and from various destinations, such as container ships, storage lots, order fulfillment warehouses, and rail yards. Typically, drayage only transports goods in short distances and operates only in one metropolitan area. It also requires only one trucker in a single shift. But despite this, but it plays an important role in long-haul shipping because it gets the goods to the cargo and vice versa. It makes intermodal transport much more efficient and enables the seamless transfer of goods to the end customer. |
| Dry van | A dry van is a type of semi-trailer that's fully enclosed to protect shipments from outside elements. Designed to carry palletized, boxed or loose freight, dry vans aren't temperature-controlled (unlike refrigerated “reefer” units) and can't carry oversized shipments (unlike flatbed trailers). |
| Final Demand | Final demand includes all types of commodities (goods as well as services) consumed as final use and might include personal consumption, or consumption by government, by businesses as capital investment, and as exports. includes all types of commodities (goods as well as services) consumed as final use and might include personal consumption, or consumption by government, by businesses as capital investment, and as exports. |
| Flatbed Truck | A flatbed truck is a type of truck with rigid design. It has a back body that is flatly shaped for easy loading and unloading of goods. The flatbed truck is mostly used to transport heavy, oversized, wide and indelicate goods such as machinery, building supplies or equipment. Due to the truck open body, the goods transported with it must not be vulnerable to rain. By functionality, the flatbed truck is comparable to a flatbed trailer. |
| Inbound Logistics | Inbound logistics is the way materials and other goods are brought into a company. This process includes the steps to order, receive, store, transport and manage incoming supplies. Inbound logistics focuses on the supply part of the supply-demand equation. |
| Intermediate Demand | Intermediate demand includes goods, services, and maintenance and repair construction sold to businesses, excluding capital investment. |
| International Loaded | Place of loading of goods in reporting country (i.e., country in which the vehicle performing the transport is registered) and place of unloading in a different country. |
| International Unloaded | Place of unloading of goods in reporting country (i.e., country in which the vehicle performing the transport is registered) and place of loading in a different country. |
| OOG cargo | Out of Gauge (OOG) cargo is any cargo that can not be loaded into six-sided shipping containers simply because it is too large. The term is a very loose classification of all cargo with dimensions beyond the maximum 40HC container dimensions. That is a length beyond 12.05 meters – a width beyond 2.33 meters – or a height beyond 2.59 meters. |
| Pallets | Raised platform, intended to facilitate the lifting and stacking of goods. |
| Part load | A part load describes goods which only fills a truck partially. In essence, the quantity of the shipment is bigger than the Less Than Truckload (LTL) shipment. Also, the shipment cannot fully occupy a truck i.e. its capacity is much lower than a Full Truckload (FTL) shipment. |
| Paved Road | Road surfaced with crushed stone (macadam) with hydrocarbon binder or bituminized agents, with concrete or with cobblestone. |
| Reverse Logistics | Reverse logistics comprises of the sector of supply chains that process anything returning inwards through the supply chain or traveling ‘backward’ through the supply chain. |
| Road Freight Transport Service | Hiring a trucking agency for transport of commodities (raw materials or manufactured goods including both solids and liquids) form the origin to a destination within the country (domestic) or cross-border (international) constitutes road freight transport market. The service might be Full-Truck-Load or Less than-Truck-Load, containerized or non-containerized, temperature controlled or non temperature controlled, short haul or long haul. |
| Tautliner vehicle | Tautliner and curtainsider are used as generic names for curtain sided trucks/trailers. The curtains are permanently fixed to a runner at the top and detachable rails/poles at front and rear, allowing the curtains to be drawn open and forklifts used all along the sides for easy and efficient loading and unloading. When closed for travel, vertical load restraint straps are attached to a rope rail beneath the truck bed, connecting the truck bed and curtain along both sides. Winches at either end of the curtain tension it, hence the 'Tautliner' name. This stops the curtain from flapping or drumming in the wind and can also help retain light loads from slipping sideways. |
| Transport for hire or reward | The carriage for remuneration of goods. |
| Unpaved Road | Road with a stabilized base not surfaced with crushed stone, hydrocarbon binder or bituminized agents, concrete or cobblestone. |
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Research Methodology
Mordor Intelligence follows a four-step methodology in all our reports.
- Step-1: Identify Key Variables: In order to build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built on the basis of these variables.
- Step-2: Build a Market Model: Market-size estimations for the forecast years are in nominal terms. Inflation is considered to be a part of the pricing, and the average selling price (ASP) is varying throughout the forecast period for each country
- Step-3: Validate and Finalize: In this important step, all market numbers, variables and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
- Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms
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