Logistics Market in APAC 2017-2021
Logistics involves planning and implementation of complete supply chain functions of a production. Supply chain functions include transportation, warehousing, inventory management, and other related logistics functions. Many manufacturers outsource the entire logistics functions to logistics players (3PL or 4PL) to reduce the cost and concentrate on the core business for enhanced customer satisfaction.
Technavio’s analysts forecast the logistics market in APAC to grow at a CAGR of 7.33% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the logistics market in APAC for 2017-2021. To calculate the market size, the report considers the revenue generated by different vendors through the sales of logistics services in various industries such as manufacturing, automobile, food and beverage, and other industries.Technavio's report, Logistics Market in APAC 2017-2021, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.
Technavio Announces the Publication of its Research Report – Logistics Market in APAC 2017-2021
Technavio recognizes the following companies as the key players in the logistics market in APAC: C.H. Robinson, DB Schenker, Deutsche Post DHL Group, and Kuehne + Nagel.
Other Prominent Vendors in the market are: Agility, Allcargo Logistics, CEVA Logistics, Gati, Hitachi Transport System, HYUNDAI GLOVIS, Mitsubishi Logistics, Nippon Express, SANKYU, UPS, and Wincanton.
Commenting on the report, an analyst from Technavio’s team said: “One trend in the market is emerging green logistics. Asia is a huge market for logistics, and hence it is derived that about 9% of the global freight and logistics carbon dioxide emissions are coming from Asian countries. To reduce toxic emissions and encourage environment-friendly logistics in Asia, the Asian Development Bank and Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) organized a conference on Green freight and logistics in Asia in 2014 in Singapore.”
According to the report, one driver in the market is growth in trade between India and China. The India-China trade growth saw global attention as these two countries are the major markets in the emerging global economy. Despite their huge middle-income population, the countries managed to project altogether around 35% of growth in merchandise trade over a century. In 2016, India and China signed nearly 25 agreements that account for around $23 billion trade possibilities. The countries themselves create barrier flexibilities to ensure good trade flow.
Further, the report states that one challenge in the market is lagging road infrastructure increases the transportation cost. As per the international benchmark, the cost of logistics for any retail or manufacturing network is around 4%-5% of the cost of goods sold; however, in the developing countries in APAC, the cost of logistics shares and the cost of goods sold are three to four times higher than the international benchmark. This is because roadways are the preferred mode of transport for domestic logistics. Around 75% of the road in these countries are not suitable for smooth vehicle movement.
C.H. Robinson, DB Schenker, Deutsche Post DHL Group, Kuehne + Nagel, Agility, Allcargo Logistics, CEVA Logistics, Gati, Hitachi Transport System, HYUNDAI GLOVIS, Mitsubishi Logistics, Nippon Express, SANKYU, UPS, and Wincanton.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook