Market Overview
| Study Period | 2020 - 2031 |
|---|---|
| Forecast Data Period | 2026 - 2031 |
| Base Year Market Size (2025) | USD 36.66 Billion |
| Market Size (2026) | USD 37.94 Billion |
| Market Size (2031) | USD 44.12 Billion |
| Growth Rate (2026 - 2031) | 3.06% CAGR |
| Market Concentration | Medium |
Major Players *Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. | |
Spain Road Freight Transport Market Analysis by Mordor Intelligence
The Spain road freight transport market size was valued at USD 36.66 billion in 2025 and is projected to reach USD 37.94 billion in 2026 to USD 44.12 billion by 2031, at a 3.06% CAGR during the forecast period (2026-2031).
High domestic modal share above 95%, annual road-borne freight volumes near 1.5 billion Tons, and the country’s dual role as Mediterranean production hub and Atlantic gateway continue to anchor the Spain road freight transport market. Port-side disruptions in Valencia exposed vulnerability but also accelerated hinterland capacity upgrades, while EUR 400 million (USD 472.52 million) in MOVES III incentives widened the pathway toward cleaner commercial fleets despite infrastructure gaps. Cold-chain needs tied to vaccines and premium food exports boost demand for temperature-controlled assets, whereas digital marketplaces reduce empty running and compress broker margins. Compliance costs linked to the EU Mobility Package and the Mercancías 30 rail-shift policy introduce structural headwinds yet simultaneously favor scale-efficient, technology-enabled carriers.
Key Report Takeaways
- By end user industry, manufacturing held 37.51% of the Spain road freight transport market share in 2025, while wholesale and retail trade recorded the highest projected CAGR at 3.52% through 2031.
- By destination, domestic freight accounted for 64.07% of the Spain road freight transport market size in 2025, and international freight is forecast to expand at a 3.60% CAGR between 2026-2031.
- By truckload specification, full-truck-load commanded 83.07% share in 2025, whereas less-than-truck-load is advancing at a 3.43% CAGR over 2026-2031 due to digital platform penetration.
- By containerization, non-containerized cargo captured 85.83% share in 2025, while containerized flows are predicted to grow at 3.12% CAGR with Mediterranean Corridor terminal upgrades.
- By distance, long-haul operations represented 74.92% share in 2025 and led growth with a 3.22% CAGR through 2031.
- By goods configuration, solid goods comprised 70.57% share in 2025 and fluid goods post the fastest 3.28% CAGR aligned with renewable-fuel logistics.
- By temperature control, non-temperature-controlled freight held 94.53% share in 2025; temperature-controlled services are set to grow at 3.37% CAGR to 2031 backed by pharmaceutical exports.
Note: Market size and forecast figures in this report are generated using Mordor Intelligence’s proprietary estimation framework, updated with the latest available data and insights as of 2026.
Spain Road Freight Transport Market Trends and Insights
Drivers Impact Analysis*
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Cold-chain boom from vaccine and premium food exports | +0.7% | National, concentrated in Valencia, Murcia, Barcelona pharmaceutical clusters | Medium term (2-4 years) |
| Digital freight marketplaces streamline backhauls | +0.5% | National, highest adoption in Madrid-Barcelona-Valencia triangle | Short term (≤ 2 years) |
| Low-emission fleet incentives and scrappage schemes | +0.4% | National, urban concentration in low-emission zones | Medium term (2-4 years) |
| Iberian land-bridge demand post-Brexit rerouting | +0.3% | Northern Spain, Bilbao-Santander-Vigo Atlantic ports | Short term (≤ 2 years) |
| Wind-farm component super-load projects | +0.2% | Regional, Aragon, Castilla-La Mancha, Galicia wind corridors | Long term (≥ 4 years) |
| 32-m mega-truck regulations enhance corridor capacity | +0.1% | Pilot corridors, A-2 Barcelona-Zaragoza, A-4 Madrid-Seville | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
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Cold-Chain Boom from Vaccine and Premium Food Exports
Pharmaceutical exports worth EUR 18.4 billion (USD 21.64 billion) in 2024 required 2-8 °C integrity, expanding premium-rate demand for GDP-compliant carriers equipped with real-time monitoring. Simultaneously, EUR 62 billion (USD 72.93 billion) in high-value food exports such as organic citrus and Iberian pork hinge on unbroken refrigeration, generating year-round utilization that mitigates seasonality. Specialized fleets adopt blockchain-enabled traceability and insulated swap bodies to capture margin uplift. Veterinary border inspections under EU 2017/625 add transit dwell but reinforce the value of compliance-certified providers. Operators like Primafrio leverage proprietary telematics to win contracts from pharmaceutical manufacturers that shun general freight networks[1]“Programa MOVES III,” Instituto para la Diversificación y Ahorro de la Energía, idae.es .
Digital Freight Marketplaces Streamline Backhauls
Platform adoption lowered empty running from 28% in 2020 to 22% in 2024, saving EUR 180 million (USD 211.73 million) in fuel and improving carrier asset utilization by 12-18%. Real-time capacity visibility enables partial-load booking within two-hour windows and demand forecasting 24-48 hours ahead. Smaller fleets gain direct access to shipper volumes, but broker margins compress as transparency rises. Integration of customs, ADR, and driver credentials into booking workflows cuts paperwork friction, accelerating cross-border uptake. Youthful logistics managers favor app-based procurement, pushing digital transactions up 35% year-over-year in 2024[2]“Fepex Data 2024,” Federación Española de Asociaciones de Productores Exportadores de Frutas y Hortalizas, fepex.es.
Low-Emission Fleet Incentives and Scrappage Schemes
MOVES III disbursed EUR 400 million (USD 470.52 million) between 2023-2025, subsidizing 8,500 heavy vehicles and covering up to 40% of zero-emission truck costs. ZBE restrictions in Madrid and Barcelona ban pre-Euro IV trucks from 2025, forcing fleet renewal. Electric adoption clusters in last-mile service while long-haul fleets prefer Euro VI diesel and HVO engines until charging corridors mature. Spain’s truck fleet age of 13.2 years and a 18% share of pre-Euro IV units underline renewal potential. MOVES IV adds EUR 300 million (USD 352.89 million) for 2026-2027, yet charging infrastructure, with 1,200 heavy-duty points nationally, lags Germany’s 4,800.
Iberian Land-Bridge Demand Post-Brexit Rerouting
Customs delays at Dover-Calais redirected 12-15% of the United Kingdom-bound freight through Bilbao, Santander, and Vigo, raising ferry volumes 18% over 2020 baselines. Routing via Spain adds one-two transit days but improves reliability for time-sensitive goods. Backhaul opportunities expand with Scottish whisky and the United Kingdom pharmaceuticals heading south to Mediterranean markets. EUR 250 million (USD 294.07 million) in Atlantic port access upgrades mitigate congestion funded via TEN-T. Sustainability hinges on ferry capacity expansi on and streamlined veterinary checks to preserve the time advantage.
Restraints Impact Analysis*
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| EU Mobility Package cabotage and rest-time compliance burden | -0.6% | National, acute on international corridors | Short term (≤ 2 years) |
| Rail-freight subsidy shift under Mercancías 30 program | -0.4% | Madrid-Barcelona, Seville-Zaragoza corridors | Medium term (2-4 years) |
| Flood-related insurance premium escalation on Mediterranean routes | -0.3% | Valencia, Murcia, Alicante coastal corridors | Short term (≤ 2 years) |
| Container-port automation delays causing landside congestion | -0.2% | Valencia, Barcelona, Algeciras port hinterlands | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
EU Mobility Package Cabotage and Rest-Time Compliance Burden
The 2024 rules cap non-resident carriers at three cabotage trips in seven days and enforce four-day cooling-off periods, lifting operator costs 8-12%. Mandatory home return every four weeks reduces productive driving by 15-20% on Northern Europe runs, compelling relay systems or extra drivers. Smart tachographs enable remote enforcement, removing gray zones. Wage alignment with host countries inflates Spanish carrier labor cost up to 30% in France or Germany. Fleets deploy driver-swap hubs near borders to protect truck utilization, but handovers introduce scheduling risk[3]“Mobility Package Impact Study 2024,” International Road Transport Union, iru.org .
Rail-Freight Subsidy Shift Under Mercancias 30 Program
EUR 1.2 billion (USD 1.41 billion) in subsidies aim to raise rail’s share to 30% on routes beyond 300 km by 2030, cutting rail rates 15-20%. Barcelona-Madrid rail transit matches eight-to-12-hour road runs once rest breaks are factored. Road volumes erode as automakers sign sustainability-linked contracts mandating intermodal. Capacity caps at 70% on key lines require EUR 800 million (USD 941.08 million) in passing loops. Road hauliers pivot to first-/last-mile drayage but must invest in rail-adjacent yards[4]“Mercancías 30 Program,” Administrador de Infraestructuras Ferroviarias, adif.es.
*Our updated forecasts treat driver/restraint impacts as directional, not additive. The revised impact forecasts reflect baseline growth, mix effects, and variable interactions.
Segment Analysis
By End User Industry: Manufacturing Depth and Retail Velocity
Manufacturing contributed 37.51% of Spain road freight transport market share in 2025, underpinned by 2.45 million vehicle outputs and robust pharmaceutical exports. Consistent component flows between Catalonia, Aragon, and Basque plants and ports sustain high-volume lanes. Wholesale and retail trade, scaling at a 3.52% CAGR, mirrors omnichannel fulfillment patterns that depend on frequent multi-stop rounds, stimulating less-than-truck-load uptake. Construction freight rides EUR 70 billion (USD 82.34 billion) EU-funded projects through 2026 before tapering. Agriculture’s seasonal peaks in citrus and vegetable exports intensify refrigerated capacity requirements.
Evolving models blur boundaries as manufacturers adopt direct-to-consumer strategies needing retail-style distribution, while large retailers move into light assembly. This hybridization compels carriers to offer flexible service menus. The Spain road freight transport market for manufacturing and retail combined is projected to widen further as nearshoring trends spark incremental component shipments. Diverse sectoral demand smooths volume volatility and underpins steady fleet utilization.
Note: Segment shares of all individual segments available upon report purchase
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By Destination: Domestic Stability and International Upswing
Domestic shipments dominated with 64.07% of the Spain road freight transport market size in 2025 backed by the nation’s 47 million consumers and inter-regional specializations. High-density corridors connect Catalonia’s factories, Andalusia’s farms, and Madrid’s consumption hub, supporting predictable backhauls. Urban low-emission zones force adaptation in Madrid and Barcelona, catalyzing electric urban fleets.
International freight expands faster at 3.60% CAGR as Iberian land-bridge routes grow and Morocco traffic via Operation Marhaba sets new records. The EU Mobility Package complicates compliance but levels the playing field against low-wage competitors. Pending Gibraltar Strait tunnel studies hint at transformative future links to North Africa, yet impacts remain post-2035.
Note: Segment shares of all individual segments available upon report purchase
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By Truckload Specification: FTL Dominance, LTL Digitization
Full-truck-load maintained 83.07% share owing to large batch exports of autos, produce, and construction material. Dedicated routes optimize driver hours and reduce handling damage. Savings accrue from consistent round-trip planning anchored by production calendars.
Less-than-truck-load’s 3.43% CAGR traces back to e-commerce parcelization and the Spain road freight transport industry pivot to hub-and-spoke. Digital marketplaces raise load factors toward 90%, closing the historical efficiency gap. Operators invest in automated cross-docks near Madrid and Valencia to speed nightly sort cycles.
By Containerization: Bulk Traditions Meet Intermodal Gains
Non-containerized freight held 85.83% share in 2025, reflecting preference for refrigerated trailers in produce export and direct-load bulk materials. Trailer-based direct delivery bypasses double handling and fits farm gate realities. Construction input flows reinforce bulk volumes.
Containerized traffic is climbing at 3.12% CAGR, fueled by Mediterranean Corridor intermodal terminals and port automation programs. Standardization eases customs, bolsters security, and aligns with global shipping. The Spain road freight transport market for containerized services benefits as shippers adopt box tracking to manage disruption risk.
By Distance: Long-Haul Supremacy
Long-haul captured 74.92% market share, and is projected to grow at a 3.22% CAGR through 2031, driven by 1,300-2,000 km lanes to Northern Europe that the rail network cannot match for perishables. Investments in aerodynamics and fuel-saving tech temper cost exposure. Driver shortages remain acute; relay models at border hubs attempt mitigation.
Short-haul growth exploits urban consolidation contracts and same-day e-commerce. Electric vans and cargo bikes gain traction inside low-emission zones. Together, they diversify revenue streams, cushioning carriers against long-haul regulatory shocks.
Note: Segment shares of all individual segments available upon report purchase
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By Goods Configuration: Solid Bulk Core, Fluids on the Rise
Solid goods made up 70.57% share, steady on auto parts and construction flows. Seasonal farm exports inject volume spikes; refrigerated assets migrate south in harvest months then return north for holiday retail peaks.
Fluid goods outpace with 3.28% CAGR as renewable diesel and chemical supply chains lengthen. ADR compliance elevates barriers to entry, favoring established tank-haul specialists. Repsol’s 1.2 million-Ton HVO plants underpin consistent backhauls toward refineries.
By Temperature Control: Ambient Scale and Cold-Chain Premium
Non-temperature cargo still dominates at 94.53%, capitalizing on operational simplicity. Energy costs stay lower relative to refrigerated hauls, preserving margin for general carriers.
Temperature-controlled freight grows 3.37% annually on vaccine logistics and premium food exports. GDP compliance tightens tolerances to ±0.5 °C, inflating capital needs but commanding 25-35% rate premiums. The Spain road freight transport market of cold-chain remains small yet profit-dense.
Geography Analysis
Spain’s internal freight geography remains multidirectional. East-west lanes from Valencia’s export-oriented port to Madrid’s consumption basin handle electronics, fashion, and pharma in full and partial loads. North-south Mediterranean Corridor upgrades slash transit times, sustaining citrus exports to northern cities. Atlantic ports Bilbao and Santander expand as the United Kingdom detours expand, lifting the Spain road freight transport market presence along the Green Spain coastline.
Southern Andalusia to Catalonia lanes see refrigerated peaks tied to greenhouse vegetable harvests. Operation Marhaba surges add seasonal pressure as diaspora vehicle crossings crest each summer, temporarily tightening capacity. Inland Castilla-La Mancha and Aragon wind-farm projects provoke heavy-haul demand spikes, offsetting rural backhaul shortages.
Urban areas upgrade consolidation centers at city fringes to meet ZBE restrictions. Madrid’s municipal hub grants night-time delivery slots to electric trucks only, while Barcelona extends ZBE to ring roads. These policies reconfigure trip frequency and vehicle choice, nudging the Spain road freight transport market toward cleaner, more fragmented patterns.
Competitive Landscape
The Spain road freight transport market features moderate consolidation: the top five players hold roughly 45-55% combined share. Scale advantages matter as the EU Mobility Package compliance lifts fixed costs. DSV’s EUR 14.3 billion (USD 16.82 billion) takeover of DB Schenker builds Europe’s largest network, instantly deepening Spanish capacity and raising service integration expectations.
Digital load boards such as Wtransnet and TimoCom chip away at traditional brokers, lowering barriers for small fleets but intensifying price transparency. Cold-chain specialists like Primafrio expand GDP-ready trailer fleets by 150 units, marking a strategic bet on premium cargo. Heavy-haul niche carriers jostle for turbine contracts, investing in remote steering and modular trailers to move 80-meter blades.
Sustainability commitments shape competitive edge. CEVA rolls out 620 alternative-fuel vehicles Europe-wide, with Spanish lanes prioritized for HVO100, while Rhenus Group’s Groupage 2.0 daily departures shorten transit times 34% through centralized cross-docks. Carriers lacking data visibility risk exclusion from high-compliance shipper contracts.
Spain Road Freight Transport Industry Leaders
DHL Group
XPO, Inc.
DACHSER
Primafrio
Grupo Sese
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- April 2025: DSV finalized its EUR 14.3 billion (USD 16.8 billion) purchase of DB Schenker, creating a logistics giant with reinforced Spanish corridor density.
- March 2025: GLS Spain partnered with Vinted for circular-fashion parcel delivery, expanding pick-up and drop-off options nationwide.
- December 2024: GLS Spain introduced Royal Mail Tracked 24/48 services for the United Kingdom-bound e-commerce parcels, bundling customs handling.
- January 2024: Rhenus Group launched Groupage Network 2.0, cutting European transit times into Spain by 34%.
Spain 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.
By End User Industry
| Agriculture, Fishing, and Forestry |
| Construction |
| Manufacturing |
| Oil and Gas, Mining and Quarrying |
| Wholesale and Retail Trade |
| Others |
By Destination
| Domestic |
| International |
By Truckload Specification
| Full-Truck-Load (FTL) |
| Less than-Truck-Load (LTL) |
By Containerization
| Containerized |
| Non-Containerized |
By Distance
| Long Haul |
| Short Haul |
By Goods Configuration
| Fluid Goods |
| Solid Goods |
By Temperature Control
| Non-Temperature Controlled |
| Temperature Controlled |
| By End User Industry | Agriculture, Fishing, and Forestry |
| Construction | |
| Manufacturing | |
| Oil and Gas, Mining and Quarrying | |
| Wholesale and Retail Trade | |
| Others | |
| By Destination | Domestic |
| International | |
| By Truckload Specification | Full-Truck-Load (FTL) |
| Less than-Truck-Load (LTL) | |
| By Containerization | Containerized |
| Non-Containerized | |
| By Distance | Long Haul |
| Short Haul | |
| By Goods Configuration | Fluid Goods |
| Solid Goods | |
| By 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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