Press release
Chemical Logistics Market Expected to Achieve 5.8% CAGR by 2029: Growth Forecast Insights
Chemical Logistics
How Large Will the Chemical Logistics Market Size By 2025?
Over the past few years, the size of the chemical logistics market has experienced consistent growth. The projected expansion is from $294.16 billion in 2024 to $305.83 billion in 2025, a compound annual growth rate (CAGR) of 4.0%. Key drivers contributing to the growth in the historic period include a boost in industrialization, greater globalization, adherence to regulatory compliance, and optimization of supply chain.
How Big Is the Chemical Logistics Market Size Expected to Grow by 2029?
Over the coming years, the chemical logistics market is anticipated to experience robust expansion. By the year 2029, the market is projected to reach $382.93 billion, growing at a compound annual growth rate (CAGR) of 5.8%. Factors contributing to this growth during the forecast period include sustainability efforts, digitalization, incorporation of IoT, advanced analytics, fluctuations in market demand, and the growth of e-commerce. The major trends likely to shape the market during this time frame include green logistics, autonomous vehicles, the use of blockchain, resilient supply chains, and the application of 3d printing in manufacturing.
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Which Key Market Drivers Powering Chemical Logistics Market Expansion and Growth?
The chemical logistics market is anticipated to grow owing to the escalation in chemical production. The increasing demand for chemicals across various sectors like food production, pharmaceuticals, automobile, and engineering contributes to the heightened need for secure transportation and distribution services. As per the American Chemistry Council, the United States witnessed a 1.4% rise in chemical volumes in 2021, which further soared to 3.2% in 2022. Shipments also went up by 8.1% in 2021 and 8.2% in 2022. Moreover, as reported by the India government, India's chemical industry (inclusive of fertilizers and pharmaceuticals) has seen an impressive 18-23% revenue growth in FY2022 and is projected to reach USD 304 billion by 2025, with an annual growth rate of 9.3%. This surge in chemical production consequently fuels the expansion of the chemical logistics market.
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Which Fast-Growing Trends Are Poised to Disrupt the Chemical Logistics Market?
Leading firms in the chemical logistics market are prioritizing the creation of novel solutions like chemical logistics centers to boost operational efficacy and optimize service provision. Essentially, a chemical logistics center is a purpose-built facility that takes care of the storage, handling, and transport of chemical substances. A key example can be seen in how GWC Logistics, a logistics firm from Qatar, inaugurated a fresh chemical logistics center in the industrial part of Doha in December 2023. This center, sprawling over 16,000 square meters, has been built to satisfy the distinct needs of multiple sectors, such as manufacturing and automotive, with designated storage regions for potentially dangerous items like gases and combustible liquids. Adhering to stringent safety standards, the facility is equipped with ATEX-certified fixtures and state-of-the-art fire suppression systems. It also incorporates eco-friendly practices, featuring motion-sensor LED lights and water-cooled air conditioning units.
What Are the Emerging Segments in the Chemical Logistics Market?
The chemical logistics market covered in this report is segmented -
1) By Services: Transportation And Distribution Services, Storage And Warehousing Services, Customs And Security Services, Green Logistics Services, Consulting And Management Services, Other Services
2) By Mode Of Transportation: Roadways, Railways, Airways, Waterways, Pipelines
3) By End User: Chemical Industry, Pharmaceutical Industry, Cosmetic Industry, Oil And Gas Industry, Specialty Chemicals Industry, Food Industry, Other End Users
Subsegments:
1) By Transportation And Distribution Services: Road Transport, Rail Transport, Sea Freight, Air Freight
2) By Storage And Warehousing Services: Bulk Storage, Temperature-Controlled Storage, Hazardous Material Storage
3) By Customs And Security Services: Customs Clearance, Security Inspections, Regulatory Compliance
4) By Green Logistics Services: Eco-friendly Transportation Solutions, Waste Management Services, Carbon Footprint Reduction Initiatives
5) By Consulting And Management Services: Supply Chain Optimization, Risk Management, Regulatory Consulting
6) By Other Services: Packaging Services, Inventory Management, Value-Added Services
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Who Are the Global Leaders in the Chemical Logistics Market?
Major companies operating in the chemical logistics market include A&R Logistics LLC, Deutsche Post DHL Group, CH Robinson Worldwide Inc., Rhenus Logistics LLC, Deutsche Bahn AG, BASF SE, Ryder System Inc., CEVA Logistics LLC, FedEx Corporation, Montreal Chemical Logistics, Schneider National Inc., Odyssey Logistics & Technology Corporation, Univar Solutions Inc., Bd Trans-Logistics Sp. z o. o., Henus Logistics LLC, Kuehne + Nagel International AG, DACHSER SE, DHL Global Forwarding Pte. Ltd., Expeditors International of Washington Inc., GEODIS, Hellmann Worldwide Logistics SE & Co KG, Kerry Logistics Network Limited, Nippon Express Co. Ltd., Panalpina World Transport Ltd., Sinotrans Limited, UPS Supply Chain Solutions Inc., Yusen Logistics Co. Ltd., Agility Logistics Pvt. Ltd., Damco Solutions Pvt. Ltd.
Which are the Top Profitable Regional Markets for the Chemical Logistics Industry?
Asia-Pacific was the largest region in the chemical logistics market in 2024. The regions covered in the chemical logistics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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