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Australia Freight and Logistics Market Size

The Australia Freight and Logistics Market is projected to experience significant growth over the forecast period, driven by the expanding e-commerce sector and substantial government investment in infrastructure. The increasing demand for advanced warehousing facilities is a key factor, as businesses enhance their logistics capabilities to accommodate market needs. Additionally, the maritime industry, particularly through major ports like Brisbane, plays a crucial role in the logistics landscape, despite environmental challenges. Government initiatives aimed at improving land transport infrastructure are expected to further contribute to the market's expansion, enhancing the overall market size and share.

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Market Size of australia freight and logistics Industry

Australia Freight and Logistics Market Summary
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svg icon Study Period 2017 - 2030
svg icon Market Size (2024) USD 94.5 Billion
svg icon Market Size (2030) USD 122.7 Billion
svg icon Largest Share by Logistics Function Freight Transport
svg icon CAGR (2024 - 2030) 4.45 %
svg icon Fastest Growing by Logistics Function Courier, Express, and Parcel (CEP)
svg icon Market Concentration Low

Major Players
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*Disclaimer: Major Players sorted in no particular order

Key Players

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Australia Freight and Logistics Market Analysis

The Australia Freight and Logistics Market size is estimated at 94.5 billion USD in 2024, and is expected to reach 122.7 billion USD by 2030, growing at a CAGR of 4.45% during the forecast period (2024-2030).

94.5 Billion

Market Size in 2024 (USD)

122.7 Billion

Market Size in 2030 (USD)

3.22 %

CAGR (2017-2023)

4.45 %

CAGR (2024-2030)

Fastest Growing Market by Mode of Transport

5.50 %

Projected CAGR, Air, 2024-2030

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Australian government investment in the infrastructure development of air transport facilities is anticipated to drive the growth of the market in the coming years.

Largest CEP Market by Destination

63.01 %

value share, Domestic, 2023

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E-commerce is a major driver for the segment as the majority of sales are made domestically. The e-commerce market grew by 6.4% YoY and reached USD 37.7 billion in 2023.

Largest Market by End User Industry

43.99 %

value share, Wholesale and Retail Trade, 2023

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The e-commerce sector is growing sector in Australia and is expected to record a CAGR of 9.78% during 2023-2027, driving the wholesale and retail trade end-user segment

Largest Warehousing Market by Temperature Control

91.90 %

value share, Non-Temperature Controlled, 2023

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In August 2023, Amazon began construction of its second robotics fulfillment center in Melbourne. This establishment represents the largest warehouse ever constructed in Australia (209,000 sqm.).

Fastest Growing Warehousing Market by Temperature Control

4.28 %

Projected CAGR, Temperature Controlled, 2024-2030

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The pharmaceutical sector is generating demand for the temperature-controlled segment. The OTC pharmaceuticals market is anticipated to witness a CAGR of 4.55% from 2024 to 2028.

Rising sector volumes due to increased infrastructure investment (USD 80 billion) by the Australian government

  • The e-commerce market in Australia is booming. As a result, there is an increase in demand for warehousing facilities. The Australian e-commerce market is predicted to reach USD 42.7 billion by 2024. As a result, many new warehousing centers are being built with the latest technology. For instance, DHL Supply Chain plans to invest USD 101.86 million over the next two years in automation and robotics in its Australian warehouses, including commissioning 1,000 new assisted picking robots by 2025.
  • The maritime industry is a major part of Australia. The Port of Brisbane is the largest seaport in the state of Queensland. It is the third-busiest and fastest-growing port in all of Australia. This port is responsible for more than 28 million of cargo each year and 2600 ships and is ranked at the Maritime Security Level 1. Brisbane is well known for its strict environmental regulations and focus on ecological balance. However, they face an issue with sludge build-up that inhibits transportation and is costly to remove.
  • The Australian government is expected to invest AUD 110 billion (USD 79.58 billion) in land transport infrastructure across Australia over the next 10 years through its rolling infrastructure pipeline, the majority of which is funded under the infrastructure investment program. On July 28, 2021, the Australian government announced USD 29.6 million in funding for 89 projects under round two of the Regional Airports Program. On January 20, 2023, the Australian government announced USD 27.9 million in funding for 44 projects under round three of the Regional Airports Program. Such projects are expected to boost segmental demand. As a result, the overall value of the sector is expected to grow from 2024 to 2030.
Australia Freight and Logistics Market

Australia Freight and Logistics Industry Segmentation

Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil and Gas, Mining and Quarrying, Wholesale and Retail Trade, Others are covered as segments by End User Industry. Courier, Express, and Parcel (CEP), Freight Forwarding, Freight Transport, Warehousing and Storage are covered as segments by Logistics Function.

  • The e-commerce market in Australia is booming. As a result, there is an increase in demand for warehousing facilities. The Australian e-commerce market is predicted to reach USD 42.7 billion by 2024. As a result, many new warehousing centers are being built with the latest technology. For instance, DHL Supply Chain plans to invest USD 101.86 million over the next two years in automation and robotics in its Australian warehouses, including commissioning 1,000 new assisted picking robots by 2025.
  • The maritime industry is a major part of Australia. The Port of Brisbane is the largest seaport in the state of Queensland. It is the third-busiest and fastest-growing port in all of Australia. This port is responsible for more than 28 million of cargo each year and 2600 ships and is ranked at the Maritime Security Level 1. Brisbane is well known for its strict environmental regulations and focus on ecological balance. However, they face an issue with sludge build-up that inhibits transportation and is costly to remove.
  • The Australian government is expected to invest AUD 110 billion (USD 79.58 billion) in land transport infrastructure across Australia over the next 10 years through its rolling infrastructure pipeline, the majority of which is funded under the infrastructure investment program. On July 28, 2021, the Australian government announced USD 29.6 million in funding for 89 projects under round two of the Regional Airports Program. On January 20, 2023, the Australian government announced USD 27.9 million in funding for 44 projects under round three of the Regional Airports Program. Such projects are expected to boost segmental demand. As a result, the overall value of the sector is expected to grow from 2024 to 2030.
End User Industry
Agriculture, Fishing, and Forestry
Construction
Manufacturing
Oil and Gas, Mining and Quarrying
Wholesale and Retail Trade
Others
Logistics Function
Courier, Express, and Parcel (CEP)
By Destination Type
Domestic
International
Freight Forwarding
By Mode Of Transport
Air
Sea and Inland Waterways
Others
Freight Transport
By Mode Of Transport
Air
Pipelines
Rail
Road
Sea and Inland Waterways
Warehousing and Storage
By Temperature Control
Non-Temperature Controlled
Temperature Controlled
Other Services
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Australia Freight and Logistics Market Size Summary

The Australia Freight and Logistics Market is experiencing significant growth, driven by the booming e-commerce sector and substantial government investments in infrastructure. The demand for advanced warehousing facilities is on the rise, with companies like DHL Supply Chain investing heavily in automation and robotics to enhance operational efficiency. The maritime industry also plays a crucial role, with the Port of Brisbane being a key player in the region's logistics landscape. However, environmental challenges such as sludge build-up at ports pose operational hurdles. The government's commitment to a robust infrastructure pipeline, focusing on land transport projects, is expected to further stimulate market expansion, supporting regional connectivity and enhancing the quality of life.

The market is characterized by a fragmented landscape, with major players like Aurizon Holdings Limited, DHL Group, and Japan Post Holdings Co., Ltd. holding significant shares. The transport sector, particularly road freight, remains the largest employer within the industry, followed by postal and courier services. Despite challenges such as fluctuating fuel prices and the impact of COVID-19 on air travel, the sector is poised for growth. Initiatives like the introduction of electric vehicles by companies such as DHL and Kuehne + Nagel's decarbonization solutions reflect a broader trend towards sustainability. These developments, coupled with strategic investments and technological advancements, are shaping the future of Australia's freight and logistics market.

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Australia Freight and Logistics Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes 1. Market value in USD for all segments 2. Market volume for select segments viz. freight transport, CEP (courier, express, and parcel) and warehousing & storage 3.Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 End User Industry

      1. 1.1.1 Agriculture, Fishing, and Forestry

      2. 1.1.2 Construction

      3. 1.1.3 Manufacturing

      4. 1.1.4 Oil and Gas, Mining and Quarrying

      5. 1.1.5 Wholesale and Retail Trade

      6. 1.1.6 Others

    2. 1.2 Logistics Function

      1. 1.2.1 Courier, Express, and Parcel (CEP)

        1. 1.2.1.1 By Destination Type

          1. 1.2.1.1.1 Domestic

          2. 1.2.1.1.2 International

      2. 1.2.2 Freight Forwarding

        1. 1.2.2.1 By Mode Of Transport

          1. 1.2.2.1.1 Air

          2. 1.2.2.1.2 Sea and Inland Waterways

          3. 1.2.2.1.3 Others

      3. 1.2.3 Freight Transport

        1. 1.2.3.1 By Mode Of Transport

          1. 1.2.3.1.1 Air

          2. 1.2.3.1.2 Pipelines

          3. 1.2.3.1.3 Rail

          4. 1.2.3.1.4 Road

          5. 1.2.3.1.5 Sea and Inland Waterways

      4. 1.2.4 Warehousing and Storage

        1. 1.2.4.1 By Temperature Control

          1. 1.2.4.1.1 Non-Temperature Controlled

          2. 1.2.4.1.2 Temperature Controlled

      5. 1.2.5 Other Services

Australia Freight and Logistics Market Size FAQs

The Australia Freight and Logistics Market size is expected to reach USD 94.50 billion in 2024 and grow at a CAGR of 4.45% to reach USD 122.74 billion by 2030.

In 2024, the Australia Freight and Logistics Market size is expected to reach USD 94.50 billion.

Freight & Logistics Market Australia Report Snapshots

Australia Freight and Logistics Market Growth - Industry Analysis, Size & Forecast Report up to 2030