Market Overview
| Study Period | 2017 - 2030 |
|---|---|
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 24.53 Billion |
| Market Size (2030) | USD 33.33 Billion |
| Growth Rate (2025 - 2030) | 6.32% 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. |
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Singapore Freight And Logistics Market Analysis by Mordor Intelligence
The Singapore freight and logistics market size is estimated at USD 24.53 billion in 2025, and is expected to reach USD 33.33 billion by 2030, at a CAGR of 6.32% during the forecast period (2025-2030). Robust throughput at PSA’s terminals, a 50% uplift in Changi’s planned cargo capacity, and steady policy support for digital adoption anchor this momentum. Cold-chain projects, 5G-enabled port operations, and direct long-haul freighter lanes are steering the Singapore freight and logistics market toward higher-value, time-critical flows. Manufacturers relocating some production from China to ASEAN now route an increasing share of high-tech and pharmaceutical cargo through the city-state, drawn by fully automated yard equipment and near-instant customs clearance. Competition from Malaysian ports is heightening, yet Singapore offsets cost disadvantages with superior reliability, visibility, and multimodal speed.
Key Report Takeaways
- By logistics function, freight transport led with 61.33% of the Singapore freight and logistics market share in 2024, while courier, express, and parcel (CEP) is projected to grow at a 7.27% CAGR between 2025-2030.
- By freight forwarding mode, sea and inland waterways freight forwarding controlled 50.43% of the revenue share in 2024; air freight forwarding is forecast to expand at a 6.38% CAGR between 2025-2030.
- By end user industry, wholesale and retail trade commanded 30.82% of the Singapore freight and logistics market size in 2024; manufacturing shows the fastest projected 6.83% CAGR between 2025-2030.
- By freight transport mode, sea and inland waterways freight transport captured a 64.51% share in 2024, whereas air freight transport is projected to rise at a 7.13% CAGR between 2025-2030.
- By CEP destination type, domestic deliveries held a 65.04% share in 2024, yet international services will likely advance at a 7.54% CAGR between 2025-2030.
- By warehousing and storage, non-temperature controlled sites retained a 91.66% share in 2024; temperature controlled facilities are expected to grow at a 7.13% CAGR between 2025-2030.
Singapore Freight And Logistics Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Tuas mega-port capacity expansion fueling overall sea-freight volumes in Singapore | +1.8% | Singapore and Southeast Asia | Long term (≥ 4 years) |
| Logistics industry digital plan 2.0 incentivizing automation and cold-chain investments | +1.2% | Singapore, regional spillover | Medium term (2-4 years) |
| Pharma and aerospace MRO output surges, driving demand for time-critical, temperature-controlled services | +0.9% | Singapore core, global links | Medium term (2-4 years) |
| Supply chain diversification from China-centric models boosting Singapore as alternative hub | +0.8% | Singapore, with regional manufacturing shift from China to ASEAN | Medium term (2-4 years) |
| 99% of customs permits cleared within 10 minutes enhancing trans-shipment attractiveness | +0.7% | Singapore | Short term (≤ 2 years) |
| Changi East T5 expansion lifting air-cargo capacity to 4.5 million tons in the airport | +0.6% | Singapore | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Tuas Mega-Port Capacity Expansion Transforms Regional Container Flows
Phase 1 went live in 2022 and pushed aggregate throughput past 40 million TEUs in 2024, while automated cranes and autonomous vehicles cut berth times by 25%. The SGD 20 billion (USD 15.15 billion) build-out ultimately elevates capacity to 65 million TEUs, ensuring the Singapore freight and logistics market stays ahead of lower-cost Malaysian alternatives.
Digital Plan 2.0 Accelerates Cold-Chain and Automation Investments
Government co-funding drives IoT sensors, blockchain tracing, and robotic picking. DHL’s EUR 500 million (USD 551.82 million) pharma hub integrates real-time temperature control across 8,200 m², illustrating how digitization captures premium life-science flows.
Pharmaceutical and Aerospace MRO Output Drives Specialized Logistics Demand
GE Aerospace and Pratt & Whitney upgrades expand turbine and compressor work, spurring urgent shipments of high-value parts. The convergence of aerospace and biotech supply chains bolsters the Singapore freight and logistics market as operators invest in dual-use cold-chain and secure-handling
Customs Efficiency Enhancement Strengthens Transshipment Competitiveness
Automated risk engines and pre-clearance allow 99% of permits to be approved inside 10 minutes, shrinking vessel dwell times. Carriers cut schedule buffers and route more high-value electronics through Singapore. The resulting predictability is a decisive draw for regional shippers seeking resilient gateways in the Singapore freight and logistics market[1]Ministry of Trade & Industry, “Singapore Customs Process Re-engineering,” mti.gov.sg .
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Escalating industrial land and warehouse rents compressing operator margins | -1.1% | Singapore and Johor fringe | Short term (≤ 2 years) |
| Manpower crunch from tighter foreign-labor quotas and aging workforce curtailing growth | -0.8% | Singapore | Medium term (2-4 years) |
| Despite a significant land coverage, the country faces limited domestic road-freight capacity | -0.5% | Singapore | Long term (≥ 4 years) |
| Rising competition witnessed from Port Klang and Tanjung Pelepas for trans-shipment flows | -0.3% | Singapore | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Industrial Land Cost Inflation Pressures Operator Profitability
Average JTC rentals reached SGD 16–45 (USD 12.12- 34.08) per m² per month in 2024, squeezing smaller forwarders. Many relocate overflow storage to Johor while retaining Singapore for high-velocity cargo. Larger operators leverage automation to lift space productivity and offset rent hikes, sustaining presence in the Singapore freight and logistics market[2]JTC Corporation, “Industrial Property Market Statistics 2024,” jtc.gov.sg .
Foreign Worker Policy Tightening Constrains Capacity Expansion
Employment Pass salary floors rose to SGD 5,600 (USD 4,242.1) in 2024, and dependency ratios tightened, limiting workforce growth. The median resident age climbed to 42.8 years, shrinking the labor pool. Operators accelerate robotics adoption, yet capital costs burden smaller firms in the Singapore freight and logistics market[3]Ministry of Manpower, “Employment-Pass Framework Update,” mom.gov.sg.
Segment Analysis
By End User Industry: Manufacturing Leads Growth, Trade Holds Scale
Wholesale and retail trade represented 30.82% of 2024 turnover, a testament to Singapore’s heritage as a distribution entrepôt. Manufacturing, led by pharmaceuticals and aerospace, will outpace all other segments at 6.83% CAGR between 2025-2030, shifting focus toward validated cold-chain, time-critical services and boosting the Singapore freight and logistics market.
Construction logistics stays buoyant on ASEAN infrastructure builds, while agriculture, fishing, and forestry flows rely on Singapore’s stringent food-safety regime. Oil and gas volumes are steady, benefiting from the city-state’s role as a bunkering hub.
Note: Segment shares of all individual segments available upon report purchase
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By Logistics Function: Dominance of Freight Transport, CEP Ascendant
Freight transport generated 61.33% of 2024 revenue, cementing its place at the core of the Singapore freight and logistics market. Sea and inland waterways lifted significant segment revenue, while air freight booked a 7.13% CAGR between 2025-2030, thanks to semiconductor and vaccine movements. Road freight handled 130.27 million tons in 2024 but remains constrained by land scarcity. Pipelines moved 97.36 million tons of petrochemicals, a steady yet mature niche.
Courier, Express, and Parcel (CEP) is gathering speed, advancing 7.27% CAGR (2025-2030) as cross-border e-commerce demands next-day transit across ASEAN. Warehousing revenues stay resilient, but temperature-controlled space is growing twice as fast as ambient sheds. Freight forwarding thrives on customs speed; air forwarding in particular, benefits from direct Singapore-US freighter links that cut lead times by one full day. Together, these shifts illustrate how the Singapore freight and logistics market is evolving from pure transshipment to an integrated digital supply-chain platform.
By Courier, Express, and Parcel (CEP): International Surge, Domestic Breadth
Domestic CEP still formed 65.04% of 2024 revenue, catering to 5.9 million residents who expect same-day service. Yet international parcels will enlarge 7.54% CAGR between 2025-2030 as ASEAN e-commerce soars and Singapore consolidates regional fulfilment.
FedEx’s regional HQ and the world’s longest Singapore-Anchorage freighter lane illustrate how cross-border networks enrich the Singapore freight and logistics market[4]Business Times, “FedEx Sets Up AMEA HQ in Singapore,” businesstimes.com.sg.
By Warehousing Temperature Control: Cold-Chain Expansion Accelerates
Non-temperature-controlled warehouses supplied bulk storage for electronics, garments, and machinery, capturing 91.66% of 2024 warehousing revenue. Operators are installing mezzanine floors, automated storage and retrieval systems, and data-driven slotting to boost throughput per m². Rising industrial rents in Singapore are squeezing profit margins, so many mid-sized logistics firms park slower-moving goods in nearby Johor and keep only fast-moving stock in local warehouses.
Temperature-controlled capacity, though smaller, is forecast to soar at a 7.13% CAGR between 2025-2030, propelled by life-science production, biotech R&D, and premium food exports. DHL has invested EUR 500 million (USD 551.82 million) in a pharmaceutical hub at Jurong Pier that uses live temperature tracking and lets cargo transfer directly from ships to aircraft. Government grants under the Logistics Industry Digital Plan 2.0 remain the prime engine of warehousing growth within the Singapore freight and logistics market.
By Freight Transport Mode: Sea Dominance, Air Momentum
Sea and Inland Waterways freight transport accounted for 64.51% of revenue in 2024 and for 74.57% of load picked (tons), underlining maritime primacy. Even so, air freight transport posts the steepest 7.13% CAGR between 2025-2030, driven by consumer electronics, biologics, and high-pressure turbine components.
Road freight transport moves less than 5% of load in ton-km because of short haul lengths, and pipeline flows maintain a niche foothold in refined-product transfers. The dynamic reflects how the Singapore freight and logistics market blends mass-scale seaborne freight with high-margin airborne consignments.
Note: Segment shares of all individual segments available upon report purchase
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By Freight Forwarding Mode: Sea Retains Scale, Air Shows Velocity
Sea forwarding commanded a 50.43% share in 2024, leveraging low USD 0.018 per ton-km costs and PSA’s automated berths. Yet its growth moderates as price-sensitive shippers weigh Port Klang’s lower tariffs. Conversely, air freight forwarding is set to climb to 6.38% CAGR (2025-2030) even at USD 0.574 per ton-km, underscoring the premium on time-definite delivery.
Multimodal solutions,sea-air transits via Singapore, are gaining traction, giving forwarders differentiated value propositions within the Singapore freight and logistics market. Pipeline forwarding and road forwarding remain specialized but strategic, the former supports petrochemical flows; the latter enables point-to-point ASEAN drops.
Geography Analysis
Singapore operates as a single, hyper-connected logistics node where cargo can move from Changi’s apron to Tuas’ quays in under four hours, compressing dwell times that elsewhere stretch to days. Roughly 25% of global traded goods pass through its waters yearly, reflecting its strategic location on the Malacca-Sunda route. Deep-water berths accommodate the latest 24,000 TEU megamax vessels, while air links reach 400 cities worldwide, keeping the Singapore freight and logistics market pivotal for intra-Asia and intercontinental trade.
Regional rivalry is intensifying. Port Klang handled 14.06 million TEUs in 2024 and will double its capacity to 27 million TEUs by 2028, bidding aggressively for transshipment flows. Yet longer clearance cycles and limited automation blunt its challenge compared to Singapore’s 99% permit clearance under 10 minutes. The Johor-Singapore Special Economic Zone also creates synergies: distribution centers in Iskandar can feed PSA and Changi overnight, giving operators a two-country logistics play within the broader Singapore freight and logistics market.
Digital connectivity augments the physical. A green and digital corridor with Rotterdam shares emissions data and voyage updates in real time. Port digital twins predict yard congestion hours, while 5G private networks support remote crane operations. These capabilities embed a technology moat that regional peers struggle to replicate quickly despite cheaper labor, reinforcing Singapore’s geographic primacy.
Competitive Landscape
The Singapore freight and logistics market is fragmented, with global integrators, regional champions, and state-linked firms jostling for share. DHL, FedEx, and UPS leverage worldwide networks; PSA International and SATS benefit from asset access and policy alignment; YCH Group and Pacific International Lines draw on intra-Asia expertise. Technology is the main battleground: operators deploying AI route optimization and predictive maintenance report 15-20% unit-cost cuts. DSV’s EUR 14.3 billion (USD 15.78 billion) acquisition of DB Schenker created the world’s largest forwarder, showing how scale funds digital depth.
Niche differentiation is sharpening. Cold-chain specialists lock in long-term contracts with pharma firms by meeting Good Distribution Practice and ISO 13485 standards. Aerospace MRO logistics hinges on secure high-pressure component handling; providers with bonded, temperature-stable zones command premiums. Sustainability is rising on bid scorecards, compelling operators to trial bio-LNG bunkering and electric yard tractors within the Singapore freight and logistics market.
Barriers to entry include land scarcity, labor regulations, and stringent customs compliance. Newcomers often start as virtual forwarders, outsourcing asset operations while building digital platforms. Over time, many partner with local incumbents to secure warehouse space near Tuas or air-side stations at Changi. This collaborative model underscores the market’s balance between competition and symbiosis.
Singapore Freight And Logistics Industry Leaders
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PSA International
-
DHL Group
-
Kuehne+Nagel
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DSV A/S (Including DB Schenker)
-
FedEx
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- May 2025: CEVA Logistics broke ground on a new strategic warehouse facility, located in the Jurong Industrial Estate in western Singapore, covering approximately 143,000 m². It is expected to be fully operational by 2027.
- April 2025: DHL Supply Chain opened a USD 11.37 million pharma hub with 8,200 m² of GDP-compliant space at Jurong Pier.
- March 2025: Singapore Post invested SGD 30 million (USD 22.2 million) to quadruple parcel output to 400,000 per day at its Regional E-commerce Logistics Hub.
- March 2025: FedEx launched a six-times-weekly Singapore–Anchorage 777F service, the world’s longest non-stop cargo flight.
Research Methodology Framework and Report Scope
Market Definitions and Key Coverage
Mordor Intelligence defines the Singapore freight and logistics market as the total gross revenue generated inside the country from moving goods by road, rail, air, sea, and pipelines, together with freight forwarding, courier-express-parcel, warehousing, and ancillary value-added services that support those flows. We regard trans-shipment activity handled at ports and airports as part of this value because it is billed and booked in Singapore.
Scope exclusion: purely passenger transport services and in-house logistics operations run by manufacturers or retailers are not counted.
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
- 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
To close data gaps, Mordor specialists interview senior managers at shipping lines, 3PLs, e-commerce parcel operators, and cold-chain specialists across Central, West, and Jurong clusters. Structured calls and short surveys test pricing shifts, warehouse utilization, and emerging service mixes, giving us timely ground truths before we lock assumptions.
Desk Research
Our analysts begin with ministry dashboards and agency datasets such as the Ministry of Trade & Industry quarterly services survey, Maritime and Port Authority throughput registers, Changi Airport Group cargo tonnage, and Singapore Department of Statistics input-output tables, which reveal sectoral gross value added. Trade lanes and capacity expansion plans are traced through sources such as the World Bank Liner Shipping Connectivity Index and ASEAN customs filings. Supplementary insights come from company filings, industry association briefs, reputable media captured through Dow Jones Factiva, and financial snapshots on D&B Hoovers. These references illustrate trends, yet do not alone decide market value; many further open sources were consulted for cross-checks.
Market-Sizing & Forecasting
The top-down model reconstructs 2025 revenue by aligning logistics value-added in GDP with freight volume indicators, container TEUs, air cargo tonnes, and statutory road-haulage receipts, and then allocating shares to service buckets using penetration rates gathered from interviews. Results are cross-checked with selective supplier roll-ups (sampled ASP × handled parcels) to refine totals. Key variables driving the forecast include non-oil re-exports growth, manufacturing output index, cross-border e-commerce parcel count, port capacity additions at Tuas, and average warehouse rent trends. A multivariate regression blended with scenario analysis projects each variable to 2030, after which the summed pathway is sanity-checked against expert consensus and adjusted where variance exceeds 5%.
Data Validation & Update Cycle
Every draft model passes a two-step peer review, anomaly screening through variance dashboards, and a final sign-off by a senior analyst. We refresh figures annually and trigger interim updates when policy shifts, capacity shocks, or force-majeure events materially alter any core driver.
Why Our Singapore Freight And Logistics Baseline Commands Reliability
Published estimates often diverge because firms pick different service scopes, exchange-rate bases, and refresh cadences. Our disciplined scoping, yearly data refresh, and dual-layer validation temper extremes and keep the baseline usable for planners.
Key gap drivers include whether reports fold postal, contract manufacturing supply-chain fees, or real-estate rental into logistics revenue, the aggressiveness of CAGR assumptions for e-commerce parcels, and the way currency conversion is handled for SGD-denominated earnings.
Benchmark comparison
| Market Size | Anonymized source | Primary gap driver |
|---|---|---|
| USD 24.53 B (2025) | Mordor Intelligence | - |
| USD 70.80 B (2024) | Global Consultancy A | Counts postal services and upstream supply-chain management fees, limited bottom-up validation |
| USD 61.18 B (2023) | Regional Consultancy B | Includes logistics real-estate rental and uses GDP ratio without freight-volume alignment |
The comparison shows that once double counting and non-freight revenues are removed, Mordor's number sits at the pragmatic center, grounded in traceable variables and refreshed each year, which lets decision-makers rely on it with confidence.
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Key Questions Answered in the Report
What is the current size of the Singapore freight and logistics market?
The Singapore freight and logistics market size was USD 24.53 billion in 2025 and is projected to rise to USD 33.33 billion by 2030.
Which logistics function contributes the most revenue?
Freight transport leads, accounting for 61.33% of 2024 market revenue.
Why is cold-chain warehousing growing faster than ambient storage?
Pharmaceutical manufacturing, biotech R&D, and premium food exports need GDP-compliant temperature control, driving a 7.13% CAGR (2025-2030) for temperature-controlled space.
How does Singapore maintain an edge over regional ports?
Automation at Tuas, 5G-enabled operations, and 99% customs clearance within 10 minutes keep Singapore ahead despite higher operating costs.
What constraints could slow market growth?
High industrial rents, tighter foreign-labor quotas, and limited domestic road capacity could trim expansion if not offset by technology.
Which end-user industry will expand fastest through 2030?
Manufacturing, particularly pharmaceuticals and aerospace MRO, is set to grow at 6.83% CAGR between 2025-2030, eclipsing traditional wholesale trade growth.
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