Retail Oil And Gas Logistics Market Size and Share
Retail Oil And Gas Logistics Market Analysis by Mordor Intelligence
The Retail Oil And Gas Logistics Market size is estimated at USD 24.22 billion in 2025, and is expected to reach USD 29.88 billion by 2030, at a CAGR of 4.29% during the forecast period (2025-2030).
Momentum originates from refinery expansions, LNG bunkering corridors, and a rapid digital shift that links tank telemetry with AI-driven route optimisers. Mega-mergers such as DSV’s USD 15.7 billion (EUR 14.3 billion) purchase of Schenker and Sunoco’s USD 9.1 billion offer for Parkland consolidate capacity, deepen depot density, and unlock scale-led cost savings. Operators channel more capital into rail and pipeline modes that curb emissions, while unattended micro-fuel stations, wet-hosing fleets, and blockchain custody software reshape last-mile economics. Tougher compliance under IMO 2020, Euro VII, and EPA rules inflates near-term expenses but accelerates investment in telematics, e-sealing, and alternative-fuel assets that future-proof fleets for a lower-carbon era.
Key Report Takeaways
- By service type, transportation captured 53% of the retail oil and gas logistics market share in 2024; value-added services are projected to advance at an 8.10% CAGR to 2030.
- By fuel type, diesel led with 41% of the retail oil and gas logistics market share in 2024, while LNG posts the fastest forecast growth at 9.50% through 2030.
- By end user, fuel retailers accounted for 53% of revenue in 2024; industrial customers are set to climb at a 3.50% CAGR over the same period.
- By geography, Asia-Pacific provided 32% of revenue in 2024 and is growing at a 5.02% CAGR to 2030.
Global Retail Oil And Gas Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Surge of unattended micro-fuel stations requiring just-in-time resupply | +0.8% | Global, with early adoption in North America & EU | Medium term (2-4 years) |
| Government mandates for e-sealing & GPS telemetry on fuel tankers | +0.6% | Global, led by North America regulatory framework | Short term (≤ 2 years) |
| AI-driven dynamic routing platforms optimizing last-mile deliveries | +0.5% | APAC core, spill-over to North America | Medium term (2-4 years) |
| Growing bulk wet-hosing demand from urban delivery & commercial fleets | +0.4% | North America & EU urban centers | Short term (≤ 2 years) |
| Roll-out of LNG truck-stop corridors and small-scale bunkering hubs | +0.3% | Global, concentrated in major freight corridors | Long term (≥ 4 years) |
| Blockchain-based custody-transfer systems reducing fuel shrinkage | +0.2% | Global, early deployment in high-value markets | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Surge of Unattended Micro-Fuel Stations Requiring Just-in-Time Resupply
Automated micro-stations equipped with IoT tank gauges are proliferating along rural corridors and secondary highways. Sensors transmit live inventory readings, triggering resupply once thresholds are reached. California’s statewide telematics mandate supplies granular fleet data that refines predictive demand models. Logistics firms that guarantee near-zero stockouts win premium contracts, while retailers slash working-capital needs and cut labour costs through 24/7 unmanned operations.
Government Mandates for E-Sealing & GPS Telemetry on Fuel Tankers
Regulators now require tamper-evident seals linked to GPS feeds. The US Bureau of Land Management’s 43 CFR 3173.2 obliges sealed valves, imposing civil penalties for breaches. Combined e-seal/GPS packages create continuous custody chains, reduce theft, and trim insurance premiums. Lower inspection overhead offsets initial hardware spend, driving rapid industry-wide adoption.
AI-Driven Dynamic Routing Platforms Optimising Last-Mile Deliveries
Machine-learning engines ingest live traffic, weather, and tank-level data to redraw routes on the fly. A US Department of Energy pilot cut freight energy use by 15% with smarter dispatch planning[1]U.S. Department of Energy, “Technology Integration Freight Pilot,” energy.gov. Hauliers align drop windows with POS sales trends, eliminate emergency top-offs, and embed predictive maintenance into idle gaps, lifting fleet productivity and shrinking delivered-per-gallon cost.
Growing Bulk Wet-Hosing Demand from Urban Delivery & Commercial Fleets
Urban fleets prize on-site refuelling that keeps vans and excavators productive. Although convenience stores sell 80% of US gasoline, more commercial operators bypass forecourts in favour of mobile wet-hosing that locks in fixed nightly prices. Special-purpose tankers with spill-containment skids service multiple depots, generating recurring revenue for carriers that couple fuel with data dashboards.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| High capex for ADR/DOT-compliant tankers & cryogenic storage assets | -0.9% | Global, particularly acute in developed markets | Long term (≥ 4 years) |
| Escalating compliance costs from IMO 2020, Euro VII & EPA emission rules | -0.7% | Global, with highest impact in North America & EU | Short term (≤ 2 years) |
| Retail crack-spread volatility compressing logistics contract margins | -0.5% | Global, with acute impact in commodity-exposed markets | Short term (≤ 2 years) |
| Market share loss to EV, hydrogen & advanced biofuel alternatives | -0.4% | North America & EU leading, APAC following | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
High CAPEX for ADR/DOT-Compliant Tankers & Cryogenic Storage Assets
Safety codes prescribe double-walled tanks, fire suppression, and leak detection, lifting build costs by 40–60% over unregulated installations, per Department of Defense UFC 3-460-01 standards. LNG or hydrogen spheres add specialised insulation and boil-off controls, pushing single-site investments toward USD 2–3 million. Smaller fleets struggle to finance upgrades, slowing renewal and constraining capacity.
Escalating Compliance Costs from IMO 2020, Euro VII & EPA Emission Rules
Low-sulphur fuel mandates added USD 25–30 billion to liner costs during 2020–2023, with parallel burdens on fuel logisticians. Emissions caps force continual retrofits—particulate filters, SCR systems, reporting software—that crimp margins even as they future-proof fleets.
Segment Analysis
By Service Type: Transportation Remains Core While Value-Added Services Surge
Transportation generated 53% of the retail oil and gas logistics market size in 2024, underscoring its indispensability in bridging refinery-to-retail gaps. Road, rail, and pipeline networks shuttle fuel across sprawling trade lanes; rail alone saw a 50% jump in renewable diesel movements from 2022 to 2023. Carriers now couple road swing trucks with long-haul pipeline slots, preserving flexibility amid volume volatility. Storage and warehousing continue to buffer supply swings, providing terminals that can hold strategic reserves and smooth seasonal demand.
Value-added services record an 8.10% CAGR—the fastest within the retail oil and gas logistics market—propelled by demand for automated metering, API-embedded quality testing, and blockchain reconciliation. Bureau Veritas and SGS expand lab capacity near Gulf Coast and Rotterdam clusters, selling independent verification to traders wary of off-spec cargoes. Bundled offerings that combine haulage with data dashboards capture higher margins and foster stickier contracts. As customer appetite for transparency grows, the portion of the retail oil and gas logistics market size attached to data-rich services widens.
Note: Segment shares of all individual segments available upon report purchase
By Fuel Type: Diesel Dominates Though LNG Accelerates
Diesel accounted for 41% of the retail oil and gas logistics market size in 2024, thanks to entrenched heavy-duty truck, mining, and genset demand. Gasoline maintains the second spot, yet its future growth cools as electrification advances. Jet fuel volumes remain steady in aviation corridors, while lubricants, bitumen, and specialty products fill the “others” category that underpins niche logistics income[2]U.S. Energy Information Administration, “Renewable Diesel Rail Movements 2023,” eia.gov.
LNG stands as the fastest riser at a 9.50% CAGR. Projects like the Galveston LNG Bunker Terminal validate growing cryogenic-fuel demand and reinforce supply certainty along freight super-corridors. Fleet conversions accelerate where bunkering nodes cluster every 400–500 miles, chopping emissions and often lowering per-mile fuel expense. As cryogenic tanker fleets scale and depot count climbs, LNG’s slice of the retail oil and gas logistics market is set to enlarge materially.
Note: Segment shares of all individual segments available upon report purchase
By End User: Fuel Retailers Anchor Demand as Industrial Accounts Gather Pace
Fuel retailers—including highway travel centres, marine bunkers, and urban forecourts—held 53% of revenue in 2024, reflecting persistent consumer reliance on liquid fuels. BP doubled its convenience gross margin through the TravelCenters of America purchase, signalling big-brand confidence in retail forecourt economics. Retail outlets demand precise drop schedules to avoid costly run-outs.
Industrial customers exhibit a 3.50% CAGR, the fastest within end-user splits of the retail oil and gas logistics market. On-site wet-hosing trims downtime for parcel couriers, miners, and construction fleets. A USDA programme allocating USD 90 million for rural biofuel infrastructure underscores policy moves that widen market access. Logistics providers that layer predictive scheduling and emissions reporting win sticky multi-year contracts.
Geography Analysis
Asia-Pacific delivered 32% of revenue in 2024 and is rising at a 5.02% CAGR, fuelled by refinery build-outs in China and India that add millions of barrels per day to regional output. Governments pour funds into expressways and smart-port complexes, shrinking inland delivery times. Provincial mandates on tanker GPS tagging enhance network visibility and accelerate AI route-planning uptake.
North America remains technologically mature yet dynamic. Renewable diesel volumes on the East Coast climbed even though they still account for less than 1% of distillate, signalling product-mix shifts. Five refined-product pipelines entered service in 2024, evidencing sustained investment. Strict oversight pushes adoption of e-seals, blockchain bills-of-lading, and low-carbon route optimisation. Canada’s crude-by-rail exports dipped to an eight-year low while total crude exports hit records, illustrating modal substitution and pipeline debottlenecking.
Europe confronts aggressive decarbonisation targets that propel alternative-fuel logistics spending. Germany alone earmarked nearly USD 22 billion (EUR 20 billion) for a hydrogen backbone, a move supported by the European Clean Hydrogen Alliance. Carriers retrofit depots for bio-components and LNG while planning e-fuels distribution. Middle East and African nations leverage producer proximity to weave integrated refinery-to-terminal chains; Aramco’s AI-enabled ASMO hub with DHL typifies a digital, sustainability-focused model. South America’s prospects hinge on biofuel corridors and pipeline refurbishments that open remote farming belts to export markets[3]European Clean Hydrogen Alliance, “Hydrogen Backbone Funding,” clean-hydrogen-alliance.eu.
Competitive Landscape
Consolidation is reshaping the retail oil and gas logistics market. DSV’s Schenker buy turns the firm into a USD 44 billion revenue giant, able to bundle global freight with downstream fuel services. Sunoco’s Parkland bid echoes the scale play in North America, promising USD 250 million in synergies within three years. These deals push mid-tier rivals toward alliances or asset sales.
Technology remains a decisive battleground. Incumbents deploy AI routing suites, blockchain custody ledgers, and predictive maintenance sensors to squeeze costs per delivered gallon. DHL’s tie-up with Envision Group on sustainable aviation fuel shows carriers racing to add low-carbon credentials that resonate with shippers. Venture investments in IoT, data lakes, and edge computing speed innovation cycles and make service guarantees more granular.
Disruptors exploit white-space niches. Mobile wet-hosing start-ups promise on-demand van fuelling linked to carbon accounting dashboards, while micro-station operators award exclusive JIT resupply contracts that bypass legacy bulk-drop models. Established players respond by taking minority stakes in high-growth platforms, hedging against future channel shifts without overstretching balance sheets. Competition thus revolves around network reach, digital maturity, and emissions credentials.
Retail Oil And Gas Logistics Industry Leaders
-
DHL Group
-
CMA CGM Group
-
Gulf Agency Company Limited
-
DSV
-
Kuehne + Nagel
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- April 2025: DSV completed its acquisition of DB Schenker for USD 15.7 billion, creating a top-tier logistics player expected to generate USD 1.3 billion in annual synergies by 2028.
- March 2025: Mitsui O.S.K. Lines acquired LBC Tank Terminals for USD 1.7 billion, boosting chemical storage to 3 million m³.
- October 2024: CEVA Logistics signed a joint-venture agreement with Almajdouie Logistics to enhance integrated logistics services in Saudi Arabia. The JV leverages CEVA's global network and Almajdouie's local expertise to provide comprehensive solutions across energy and petrochemicals sectors, employing around 2,000 people and operating a local fleet of over 2,000 assets to support the region's giga projects CEVA Logistics.
- July 2024: DHL Group formed a strategic partnership with Envision Group to enhance sustainability in logistics and energy sectors. The collaboration focuses on Sustainable Aviation Fuel (SAF) development and Net Zero Industrial & Logistic Parks, with DHL targeting a 30% SAF mix by 2030 while Envision provides green-energy solutions to support renewable-energy goals and accelerate global green-transition initiatives DHL Group.
Global Retail Oil And Gas Logistics Market Report Scope
| Transportation | Road |
| Rail | |
| Sea and Inland (Including Barge) | |
| Storage & Warehousing | |
| Value-added Services and Others(metering, quality testing) |
| Gasoline |
| Diesel |
| Jet Fuel |
| Liquefied Petroleum Gas (LPG) |
| Liquefied Natural Gas (LNG) |
| Others (bitumen, lubricants) |
| Fuel Retailers (Fuel Stations) |
| Convenience Stores & Hypermarkets |
| Industrial Retail Customers (Mining, Agriculture, Construction, Government, Aviation, Marine, etc.) |
| Others |
| North America | United States |
| Canada | |
| Mexico | |
| South America | Brazil |
| Peru | |
| Chile | |
| Argentina | |
| Rest of South America | |
| Asia-Pacific | India |
| China | |
| Japan | |
| Australia | |
| South Korea | |
| South East Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | |
| Rest of Asia-Pacific | |
| Europe | United Kingdom |
| Germany | |
| France | |
| Spain | |
| Italy | |
| BENELUX (Belgium, Netherlands, and Luxembourg) | |
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | |
| Rest of Europe | |
| Middle East and Africa | United Arab of Emirates |
| Saudi Arabia | |
| South Africa | |
| Nigeria | |
| Rest of Middle East And Africa |
| By Service Type (Value) | Transportation | Road |
| Rail | ||
| Sea and Inland (Including Barge) | ||
| Storage & Warehousing | ||
| Value-added Services and Others(metering, quality testing) | ||
| By Fuel Type (Value) | Gasoline | |
| Diesel | ||
| Jet Fuel | ||
| Liquefied Petroleum Gas (LPG) | ||
| Liquefied Natural Gas (LNG) | ||
| Others (bitumen, lubricants) | ||
| By End User (Value) | Fuel Retailers (Fuel Stations) | |
| Convenience Stores & Hypermarkets | ||
| Industrial Retail Customers (Mining, Agriculture, Construction, Government, Aviation, Marine, etc.) | ||
| Others | ||
| By Geography (Value) | North America | United States |
| Canada | ||
| Mexico | ||
| South America | Brazil | |
| Peru | ||
| Chile | ||
| Argentina | ||
| Rest of South America | ||
| Asia-Pacific | India | |
| China | ||
| Japan | ||
| Australia | ||
| South Korea | ||
| South East Asia (Singapore, Malaysia, Thailand, Indonesia, Vietnam, and Philippines) | ||
| Rest of Asia-Pacific | ||
| Europe | United Kingdom | |
| Germany | ||
| France | ||
| Spain | ||
| Italy | ||
| BENELUX (Belgium, Netherlands, and Luxembourg) | ||
| NORDICS (Denmark, Finland, Iceland, Norway, and Sweden) | ||
| Rest of Europe | ||
| Middle East and Africa | United Arab of Emirates | |
| Saudi Arabia | ||
| South Africa | ||
| Nigeria | ||
| Rest of Middle East And Africa | ||
Key Questions Answered in the Report
What is the current size of the retail oil and gas logistics market?
The market is valued at USD 24.22 billion in 2025 and is projected to reach USD 29.88 billion by 2030.
Which service type contributes the most revenue?
Transportation commands 53% of revenue in 2024, reflecting the essential role of physically moving fuel between refineries, terminals, and retail outlets.
Why is LNG the fastest-growing fuel segment?
Expanding truck-stop corridors and bunkering hubs, such as the Galveston project, lower emissions and fuel costs, supporting a 9.50% CAGR through 2030.
Which region exhibits the strongest growth outlook?
Asia-Pacific pairs the largest share at 32% in 2024 with the highest growth, advancing at a 5.02% CAGR on the back of refinery expansions in China and India.
How do regulations influence logistics investments?
Mandates on e-sealing, GPS telemetry, and emissions caps push carriers to invest in compliant tankers, telematics, and alternative-fuel assets, increasing short-term costs but boosting transparency and sustainability.
What competitive dynamics shape the retail oil and gas logistics market today?
Large-scale mergers, digital-platform upgrades, and strategic partnerships targeting low-carbon offerings dominate, with technology adoption increasingly separating market leaders from laggards.
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