The North America automotive logistics market is expected to grow from US$ 48,567.79 million in 2021 to US$ 71,282.17 million by 2028; it is estimated to grow at a CAGR of 5.6% from 2021 to 2028.

The North America automotive logistics market is experiencing a significant surge, primarily driven by a robust increase in demand for both passenger and commercial vehicles across the region. This heightened demand is a direct consequence of several key economic and industrial trends. Foremost among these is the rise in disposable income among North American consumers. As economic conditions improve and individual purchasing power grows, more consumers are able to invest in new vehicles, fueling a substantial portion of this market expansion.

Beyond individual wealth, the automotive sector is also benefiting from a widespread increase in the number of manufacturing and assembly units. This growth isn't confined to traditional automotive hubs but extends across both developed countries within North America and increasingly into developing economies that are establishing or expanding their automotive production capabilities. This proliferation of manufacturing sites necessitates a more complex and efficient logistics network to transport parts, components, and finished vehicles, thereby boosting the demand for specialized automotive logistics services.

In this dynamic environment, vendors operating within the North America automotive logistics market are presented with considerable opportunities for growth. To capitalize on these trends and remain competitive, a crucial strategy involves continuous innovation and enhancement of their service offerings. By integrating new features and advanced technologies into their logistics solutions, these vendors can significantly improve efficiency, reduce costs, and offer greater value to their clients. Examples of such innovations might include the adoption of advanced tracking and tracing technologies, optimized route planning algorithms, autonomous vehicle solutions for intra-facility transport, or specialized handling for electric vehicle components and batteries.

Furthermore, by embracing these technological advancements and demonstrating a commitment to service excellence, automotive logistics providers can attract new customers who are seeking more sophisticated and reliable supply chain partners. This not only allows them to strengthen their market position within established automotive centers but also enables them to expand their footprints into emerging markets. As automotive production globalizes and supply chains become more intricate, logistics providers with a reputation for innovation and adaptability will be well-positioned to serve these evolving needs. This multifaceted growth, propelled by both demand-side factors and strategic vendor initiatives, is expected to drive the North America automotive logistics market at a robust compound annual growth rate (CAGR) throughout the forecast period.

North America Automotive Logistics Market Segmentation:

The market is segmented as follows:

By Type: North America automotive logistics market

• • Outsourcing
  • Insourcing (dominated the market in 2021)

By Service: North America automotive logistics market

• • Transportation (dominated the market in 2021)
  • Warehousing
  • Packaging processes
  • Integrated service
  • Reverse logistics

By Sector: North America automotive logistics market

• • Passenger vehicle
  • Commercial vehicle
  • Tire
  • Component (dominated the market in 2021)

By Country: North America automotive logistics market

• • US (dominated the market in 2021)
  • Canada
  • Mexico

Leading Companies in the North America Automotive Logistics Market:

• CEVA LOGISTICS AG
• DB Schenker
• DHL International GmbH
• DSV A/S
• GEODIS
• Kuehne + Nagel International AG
• Nippon Express Co., Ltd.
• RYDER SYSTEM, INC.
• XPO Logistics, Inc.
• United Parcel Service of America, Inc. (by Altair)

About Us:

Business Market Insights is a market research platform that provides subscription service for industry and company reports. Our research team has extensive professional expertise in domains such as Electronics & Semiconductor; Aerospace & Defense; Automotive & Transportation; Energy & Power; Healthcare; Manufacturing & Construction; Food & Beverages; Chemicals & Materials; and Technology, Media, & Telecommunications.

Author’s Bio:

Suryakant Gadekar

Senior Market Research Expert at Business Market Insights