Report Overview

Australia Freight and Logistics Market Industry Trends & Forecast Report, 2029

Australia Freight and Logistics Market size was estimated at USD 86.25 billion in 2022. During the forecast period between 2023 and 2029, the size of Australia Freight and Logistics Market is projected to grow at a CAGR of 4.08% reaching a value of USD 109.64 billion by 2029. The driving factors of the Australia Freight and Logistics Market include robust international trade, a vast and geographically diverse landscape necessitating efficient transportation solutions, advancements in technology enhancing supply chain visibility, government initiatives promoting infrastructure development, and a growing e-commerce sector boosting demand for logistics services. Also, the country's strategic location in the Asia Pacific region and a strong emphasis on sustainability and environmental considerations contribute to shaping the dynamics of the freight and logistics industry in Australia.

Freight and Logistics – Overview

Freight and logistics involve the planning, implementation, and control of the efficient movement and storage of goods, ensuring they reach their destination timely and cost effectively. The industry encompasses various components, such as transportation modes (road, rail, air, sea), warehousing, distribution, and supply chain management. Advanced technologies, including GPS tracking, data analytics, and automation, play a crucial role in optimizing operations. Key challenges include optimizing routes, minimizing costs, and addressing environmental concerns. The sector is vital for global trade, supporting the movement of goods across borders and contributing significantly to the world economy.

Australia Freight and Logistics Market

Growth Drivers

Robust Economic Expansion

In tandem with Australia's flourishing economy, the nation's freight and logistics market experiences unprecedented growth. The surge in economic activities has propelled heightened demand for efficient transportation and supply chain solutions. As industries expand, so does the need for streamlined logistics, positioning the Australian Freight and Logistics Market as a pivotal player in supporting and sustaining the country's economic momentum.

Restraints

Shortage of Skilled Workforce

In the dynamic landscape of Australia's Freight and Logistics Market, a pressing challenge emerges with a scarcity of skilled workforce, notably in truck driving and logistics management. The shortage poses a significant hurdle for the industry, impacting efficiency and delivery timelines. As demand for transportation services continues to rise, addressing the skilled labor deficit becomes paramount for sustaining the growth and resilience of the Australia Freight and Logistics Market.

Impact of Escalating Geopolitical Tensions on Australia Freight and Logistics Market

Escalating geopolitical tensions, notably the Russia-Ukraine conflict, have significantly impacted Australia Freight And Logistics Market. The crisis has led to increased uncertainty, affecting global trade routes and causing disruptions in the supply chain. Australia's dependence on international shipping for imports and exports has exposed the industry to delays, rising costs, and logistical challenges. Heightened geopolitical risks have prompted reevaluations of transportation strategies, with companies facing increased expenses due to rerouting and security measures. As geopolitical tensions persist, the freight and logistics market in Australia may continue to grapple with the ripple effects, emphasizing the need for adaptive strategies to navigate an increasingly complex global landscape.

Australia Freight and Logistics Market

Segmental Coverage

Australia Freight and Logistics Market – By Function

Based on function, Australia Freight and Logistics Market is divided into Freight Transport, Freight Forwarding, CEP (Courier, Express, and Parcel) Services, and Warehousing segments. The freight transport segment is the largest contributor to the Australia Freight and Logistics Market. The segment plays a pivotal role in the movement of goods across the vast continent, covering road, rail, air, and sea transport. As a critical component of the supply chain, freight transport addresses the diverse transportation needs of industries. While freight forwarding, CEP (courier, express, and parcel) services, and warehousing contribute significantly, the dominance of freight transport underscores its paramount importance in facilitating efficient and seamless logistics operations within Australia.

Australia Freight and Logistics Market – By End User Industry

Based on end user industry, Australia Freight and Logistics Market is divided into Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil & Gas, Mining & Quarrying, and Wholesale & Retail Trade segments. The mining & quarrying segment holds the highest market share in the Australia Freight and Logistics Market. The mining & quarrying sector largely depends on freight and logics companies for the transportation and distribution of minerals and resources, making a substantial contribution to the broader freight and logistics industry. The segment is vital for moving raw materials, machinery, and finished products, serving as a primary catalyst for logistics operations in Australia. Given the nation's abundant natural resources, there is a growing need for effective transportation, making logistics services dedicated to the mining and quarrying sector a pivotal and indispensable element in Australia Freight and Logistics Market.

Competitive Landscape

Major players in the Australia Freight and Logistics Market include Federal Express (Australia) Pty Limited, K&S Corporation Limited, Aurizon Holdings Limited, Centurion Transport, DB Schenker, Deutsche Post DHL Group, Linfox Pty Ltd, LINX Cargo Care Group, and Qube Holdings Ltd. To enhance their market share and expand their reach, these companies are also focusing on investing in innovations, collaborations, and expansions.

Recent Developments

• In November 2023 - Freight Management Holdings (FMH), a SingPost subsidiary, entered a conditional agreement to acquire Border Express, the sixth largest pallet and parcel distributor in Australia, for AUD 210 million. This strategic move is said to align with SingPost's expansion in Australia, aiming to strengthen its logistics network.

Scope of the Report

By Function

• Freight Transport

• Freight Forwarding

• CEP (Courier, Express, and Parcel) Services

• Warehousing

By End User Industry

• Agriculture, Fishing, and Forestry  

• Construction  

• Manufacturing  

• Oil & Gas

• Mining & Quarrying  

• Wholesale & Retail Trade  

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Australia Freight and Logistics Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Australia's growing economy fuels demand for logistics services
         2. Surge in online shopping creates a demand for efficient last-mile delivery and warehousing solutions
      2. Restraints
         1. Shortage of skilled labor, especially in truck driving and logistics management
      3. Opportunities
         1. Digital transformation
         2. Global trade
      4. Challenges
         1. Cost pressures
         2. Regulatory compliance
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Australia Freight and Logistics Market Overview
   1. Market Function & Forecast, 2019–2029
      1. By Value (USD Billion)
   2. Market Share and Forecast
      1. By Function
         1. Freight Transport
         2. Freight Forwarding
         3. CEP (Courier, Express, and Parcel) services
         4. Warehousing
         5. Others
      2. By End User Industry
         1. Agriculture, Fishing, and Forestry  
         2. Construction  
         3. Manufacturing  
         4. Oil & Gas
         5. Mining & Quarrying  
         6. Wholesale & Retail Trade  
         7. Others  
5. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Australia Freight and Logistics Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Escalating Geopolitical Tensions on Australia Freight and Logistics Market
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Federal Express (Australia) Pty Limited
   2. K&S Corporation Limited
   3. Aurizon Holdings Limited
   4. Centurion Transport
   5. DB Schenker
   6. Deutsche Post DHL Group
   7. Linfox Pty Ltd
   8. LINX Cargo Care Group
   9. Qube Holdings Ltd
   10. Other Prominent Players
8. Key Strategic Recommendations
9. Research Methodology
   1.    Qualitative Research
      1.  Primary & Secondary Research
   2.    Quantitative Research
   3.    Market Breakdown & Data Triangulation
      1.  Secondary Research
      2.  Primary Research
   4.    Breakdown of Primary Research Respondents, By Price Range
   5.    Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable

List of Figures

Figure 1       Australia Freight and Logistics Segmentation

Figure 2       Australia Freight and Logistics Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2021

Figure 4       Australia Freight and Logistics Market Function, By Value (USD Billion), 2019–2029

Figure 5       Australia Freight and Logistics Market Share, By Function, By Value, 2019–2029

Figure 6       Australia Freight and Logistics Market Share, By End User Industry, By Value, 2019–2029

List of Tables

Table 1        Australia Freight and Logistics Market Function, By Value (USD Billion), 2019–2029

Table 2        Australia Freight and Logistics Market Share, By Function, By Value, 2019–2029

Table 3        Australia Freight and Logistics Market Share, By End User Industry, By Value, 2019–2029

Table 4        Federal Express (Australia) Pty Limited Company Overview

Table 5        Federal Express (Australia) Pty Limited Financial Overview

Table 6        K&S Corporation Limited Company Overview

Table 7        K&S Corporation Limited Financial Overview

Table 8        Aurizon Holdings Limited Company Overview

Table 9        Aurizon Holdings Limited Financial Overview

Table 10      Centurion Transport Company Overview

Table 11      Centurion Transport Financial Overview

Table 12      DB Schenker Company Overview

Table 13      DB Schenker Financial Overview

Table 14      Deutsche Post DHL Group Company Overview

Table 15      Deutsche Post DHL Group Financial Overview

Table 16      Linfox Pty Ltd Company Overview

Table 17      Linfox Pty Ltd Financial Overview

Table 18      LINX Cargo Care Group Company Overview

Table 19      LINX Cargo Care Group Financial Overview

Table 20      Qube Holdings Ltd Company Overview

Table 21      Qube Holdings Ltd Financial Overview