U.S. Small & Mid Size Logistics Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2025-2034

U.S. Small and Mid-Size Logistics Market was valued at USD 770.58 billion in 2024 and is estimated to grow at a CAGR of 6.2% to reach USD 1.42 trillion by 2034. This growth is fueled by the expanding e-commerce sector, rising demand for last-mile delivery, and the increasing need for agile and cost-effective logistics services across urban and rural areas. Small and mid-size logistics providers are gaining traction due to their flexibility, regional expertise, and personalized service capabilities, which large-scale logistics giants often struggle to match.

Small and mid-size logistics companies play a vital role in ensuring supply chain efficiency for industries such as retail, healthcare, food & beverage, and manufacturing. These enterprises are leveraging digital logistics platforms, route optimization tools, and automated warehousing solutions to boost operational efficiency and reduce costs. The growing preference for outsourced logistics, especially among small and medium enterprises (SMEs), is further accelerating the adoption of third-party logistics (3PL) services offered by these mid-size operators.

By enterprise size, advanced mid-size companies led the market in 2024, generating USD 302.8 billion in revenue. These players are rapidly digitizing their operations, integrating cloud-based transportation management systems (TMS), warehouse automation, and predictive analytics to enhance fleet performance and service delivery. With increased access to venture capital and private equity funding, these firms are scaling their operations, expanding service portfolios, and entering new regional markets to serve high-growth sectors such as healthcare logistics and high-value e-commerce fulfillment.

By service, the trucking and transportation segment dominated the U.S. small and mid-size logistics market, accounting for USD 258.7 billion in 2024. The surge in demand for domestic freight movement, coupled with driver shortages and regulatory compliance requirements, is reshaping the sector. Small and mid-size trucking operators are increasingly adopting telematics, electronic logging devices (ELDs), and fuel management systems to improve route planning, ensure safety compliance, and reduce emissions. These advancements are enabling operators to offer faster, more reliable, and cost-efficient transportation services.

Based on business model, asset-based operators held the largest market share in 2024, contributing USD 242.7 billion in revenue. These firms own fleets, warehouses, and related infrastructure, giving them greater control over pricing, scheduling, and service quality. As supply chain disruptions become more frequent, shippers are prioritizing relationships with asset-based logistics partners who offer end-to-end visibility and improved cargo security. Asset ownership also provides a competitive edge in managing capacity during seasonal demand surges and mitigating delivery delays.

Regionally, California emerged as the leading state in the U.S. small and mid-size logistics market in 2024, generating USD 176.54 billion in revenue. The state’s strategic location, extensive port infrastructure, and high concentration of warehousing and distribution centers make it a critical logistics hub. Small and mid-size logistics providers in California are tapping into cross-border trade opportunities, especially with Mexico, and catering to major metro markets such as Los Angeles, San Diego, and San Francisco. The state's emphasis on sustainable transportation, including electric vehicle adoption and green logistics zones, is further shaping market strategies.

Prominent companies operating in this space include XPO, Inc., Werner Enterprises, Inc., Saia, Inc., ArcBest Corporation, and Estes Express Lines. These players are enhancing their market footprint through fleet expansion, strategic acquisitions, and technology investments. Their focus remains on delivering end-to-end logistics solutions tailored for niche industry segments, improving real-time shipment tracking, and offering scalable delivery models to meet evolving customer expectations. Initiatives such as eco-friendly fleet transition, AI-powered logistics planning, and customized 3PL services are enabling these firms to capture a larger share of the fast-growing U.S. small and mid-size logistics landscape. Show more