Europe Contract Logistics Market Size (2024 - 2029)

Europe Contract Logistics Market Analysis

The Europe Contract Logistics Market size is estimated at USD 292.77 billion in 2024, and is expected to reach USD 342.11 billion by 2029, growing at a CAGR of 3.23% during the forecast period (2024-2029).

• Europe’s outlook for 2024 is of gradual recovery. As prices fall and wages rise, European consumers are beginning to regain purchasing power, which will boost domestic demand. The strength of this recovery will vary across countries. Manufacturing and energy-intensive economies will recover more slowly than others. In advanced European economies, growth is projected to decline to 0.7% this year before some pickup in 2024 and 2025. In emerging European economies (except Russia, Ukraine, and Turkey, and Belarus), it is expected to recover from a decline of 4.5% in 2021 to 1.1% in 2025 and to recover to 2.9% in 2024.
• Inflation is projected to fall, driven by lower energy prices and loosening supply chain constraints. It is projected to average 5.8% in advanced European economies this year and to fall to 11.9% by 2025. Most countries will fall short of their inflation targets by 2025. The cost of logistics in Europe accounts for 11 to 12% of the European economy's GDP.
• Germany's central location in the middle of Europe and highly skilled logistics services provide ideal conditions for international shippers to succeed in European markets. Germany provides easy access to the EU's 500 million consumers. Germany's skilled workforce is attractive for international companies wanting to invest in the German logistics sector or consider setting up a local branch. About 70% of Germany's foreign trade and related goods and freight traffic takes place within Europe. The major European trading partners include France (with imports and exports of €170 billion (USD 185.90 bn) and the Netherlands (with exports of USD 167 billion (USD 182.62 billion)). The biggest destination for logistics outside Europe is Asia, followed by America. Many companies are opening warehouses to expand their business in Germany.
• For instance, in June 2023, GXO announced its plans to "deepen" its presence in Germany. As a first step, GXO will construct a new 587,000-square-foot warehouse in the Dormagen area to showcase its cutting-edge warehousing solutions. GXO has only six warehouses in Germany, compared with 700 in Europe and the United Kingdom and 300 in North America.
• For instance, In July 2023, Geopost and JD Logistics announced a strategic partnership to strengthen global logistics capabilities. By combining JDL's strong warehousing network with Geopost's logistics delivery capabilities, this partnership will expand international express services from China to Europe, providing consumers and businesses with high-quality express logistics solutions. JDL and Geoopost will create seamless C2C (direct-to-consumer) and B2C (business-to-consumer) shipping solutions from China to Europe in both directions. This new partnership will provide comprehensive end-to-end shipment tracking and delivery, with a convenient ‘one-stop’ express delivery service that includes doorstep delivery and dedicated customer support, as well as state-of-the-art digital tracking throughout the logistics process.

Europe Contract Logistics Industry Segmentation

Contract logistics refers to a long-term partnership that includes a variety of services, from the transportation of goods or replacement parts to the delivery of goods to the ultimate customer.

The report provides a complete background analysis of the European contract logistics market, including an assessment of the economy, a market overview, market size estimation for key segments, emerging trends in the market, market dynamics, and key company profiles are covered in the report. The report also covers the impact of COVID-19 on the market.

The report covers the European Logistic Companies, and it is segmented by End User (Industrial Machinery and Automotive, Food and Beverage, Construction, Chemicals, Other Consumer Goods, and Other End Users), and Country (Germany, the United Kingdom, the Netherlands, France, Italy, Spain, Poland, Belgium, Sweden, and Rest of Europe). The report offers the market size in value terms in USD for all the abovementioned segments.