| Study Period | 2021 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 21.49 Billion |
| Market Size (2030) | USD 27.42 Billion |
| CAGR (2025 - 2030) | 5.00 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Japan Cold Chain Logistics Market Analysis
The Japan Cold Chain Logistics Market size is estimated at USD 21.49 billion in 2025, and is expected to reach USD 27.42 billion by 2030, at a CAGR of 5% during the forecast period (2025-2030).
In Greater Tokyo and Greater Osaka, the logistics sector is grappling with an oversupply issue, despite robust demand. This surplus of new logistics facilities has led to rising vacancies and a decline in rents, compelling developers to innovate to stay competitive.
Japan's market is on a growth trajectory, fueled by a surging demand for fresh, high-quality products among its consumers. The country's pharmaceutical sector, especially with the heightened focus on immunization and ongoing health management, is bolstering this growth.
The sector is increasingly relying on advanced logistics to distribute temperature-sensitive drugs and vaccines. Moreover, advancements in refrigeration and logistics tech are making operations more efficient and cost-effective, further boosting the sector's potential.
Compounding this growth, Japan's strict regulations mandate advanced cold chain solutions for transporting perishable and pharmaceutical goods, ensuring both compliance and safety. The market is also expanding due to the surge in online grocery shopping.
E-commerce platforms and retailers are heavily investing in cold chain capabilities to meet the growing demand for swift and secure delivery of perishable items. These factors collectively underscore the rapid evolution and expansion of Japan's cold chain logistics.
Refrigerated warehouses maintain temperatures at or below 10 degrees Celsius. Heightened consumer and regulatory focus on sanitation is driving the need for reliable cold chain solutions to prevent contamination and spoilage.
The pharmaceutical sector's growth mandates stringent temperature controls for storage and distribution, aligning with both efficacy and regulatory standards. With increased imports, Japan is seeing a rise in perishable goods, including fresh foods and pharmaceuticals.
Urbanization is fueling the growth of supermarkets, convenience stores, and online grocery platforms, all of which demand efficient cold chain operations for the timely delivery of fresh products to consumers.
In conclusion, Japan's cold chain logistics sector is poised for significant growth, driven by increasing consumer demand for fresh and quality-sensitive products, a robust pharmaceutical sector, and stringent government regulations.
Technological advancements and the rise of e-commerce further enhance the sector's prospects. As developers and retailers continue to innovate and invest in cold chain capabilities, the market is expected to expand, ensuring the efficient and safe delivery of perishable goods across the country.
Japan Cold Chain Logistics Market Trends
Logistics and Warehouse Sector Witnessing a Significant Surge
Amidst robust demand, the logistics sector in Greater Tokyo and Greater Osaka is grappling with a surge in new supply, disrupting the delicate balance between supply and demand. This influx has led to rising vacancies and a dip in rents, compelling developers to innovate to stay competitive.
While some struggle to secure tenants, those boasting prime locations and cold storage capabilities remain highly sought after. Projections indicate that the new supply in 2023 will outstrip 2022 figures, especially in Greater Tokyo, which is poised to hit record highs. This surge in supply is expected to intensify the competition for tenants, particularly disadvantaging poorly located or older facilities.
In the first half of 2023, Greater Tokyo witnessed a notable uptick in completions, introducing close to 3.0 million sq m of new logistics space. The standout was the ESR Higashi Ogishima Distribution Centre, a 349,000 sq m multi-tenant facility, now recognized as Japan's tallest logistics building. Conversely, Greater Osaka's new supply for the same period was more restrained, totaling around 520,000 sq m, with no developments exceeding 100,000 sq m in 2023.
The highlight was the MCUD Kobe Nishi II, boasting a GFA of 63,000 sq m, strategically located in the Kobe Techno Logistics Park, offering proximity to major roads and expressways for efficient deliveries and a robust workforce. Noteworthy completions in 2023 included Daiwa’s House DPL Hyogo Kawanishi, spanning 89,000 sq m and strategically situated near the Kawanishi Interchange, enhancing access to the wider west-Japan region.
In total, 2023 saw nearly 1.0 million sq m of new supply, with a significant uptick in development activities projected for Greater Osaka starting in 2024. In a notable move in July 2024, Daiwa House Logistics Trust, known for its presence in Japan, expanded its reach by acquiring a newly built warehouse near Ho Chi Minh City for VND 483 billion (USD 20 million). This addition, just an hour's drive from District 1, features a state-of-the-art cold storage facility, completed in September of the same year.
In 2022, Kanagawa Prefecture had the largest cold storage warehouse capacity in Japan, at around 4.45 million cubic meters. Tokyo Prefecture followed with about 3.86 million cubic meters. Refrigerated warehouses are defined as facilities for storing products at a temperature of 10 degrees Celsius or below.
In conclusion, the logistics sector in Greater Tokyo and Greater Osaka is undergoing significant changes due to the influx of new supply. While this has created challenges such as increased vacancies and reduced rents, it has also driven innovation among developers. Facilities with prime locations and advanced features continue to thrive, highlighting the importance of strategic positioning and modern amenities. As the market evolves, stakeholders must adapt to the shifting dynamics to maintain competitiveness and capitalize on emerging opportunities.
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Growth of Pharmaceutical Sector in Japan
Japan, driven by its aging population, stands as a prominent player in the global pharmaceutical landscape. The nation not only boasts a robust domestic biologics sector, second only to the USA, but also actively champions the production and import of cutting-edge medical technologies. Bolstering this, the Japanese government has been fervently advocating for generic drugs.
While Japan has historically favored exclusivity for innovative drugmakers, the market is now witnessing a shift. The nation is aligning itself more closely with other developed markets in terms of embracing generics. This, combined with the government's push for cost-effective alternatives, sets the stage for a significant surge in biosimilar opportunities.
Domestic pharmaceutical players in Japan are increasingly looking beyond their borders, with a noticeable uptick in overseas sales. This global expansion, in turn, is fueling a rising demand for cold chain storage and transportation facilities. Moreover, Japan's pharmaceutical landscape is drawing attention for its potential to bolster the nation's drug discovery ecosystem.
Collaborations between Japanese pharmaceutical giants and AI startups are on the rise. The industry's new drug development landscape is challenging, with success rates estimated at 1 in 20,000 to 1 in 30,000, and a development timeline of over a decade. Such endeavors come with a hefty price tag, averaging around 120 billion yen (approximately USD 834 million).
In 2022, Japan's pharmaceutical imports surpassed 3.4 trillion Japanese yen, marking an increase from the previous year. Concurrently, the value of Japanese pharmaceutical exports in 2022 reached approximately 649 billion Japanese yen, up from the previous year's figure of around 563 billion Japanese yen.
Cold chain logistics play a pivotal role in the pharmaceutical sector, ensuring medications and vaccines adhere to stringent temperature requirements. This is especially crucial for vaccines, safeguarding their potency and efficacy, particularly in large-scale immunization programs.
In conclusion, Japan's pharmaceutical market is poised for significant growth, driven by government initiatives, technological advancements, and global expansion efforts. The increasing collaboration with AI startups and the rising demand for cold chain logistics further underscore the sector's dynamic evolution. As Japan continues to enhance its drug discovery ecosystem, it remains a key player in the global pharmaceutical industry.
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Japan Cold Chain Logistics Industry Overview
The market is relatively fragmented, with many local and international players, including Nippon Express, Yamato, Sagawa Express Co., Ltd, Itochu Logistics Corp., and Kintetsu World Express. The competition in the market pertains to costs, storage fees, and space, along with the rising prices of packing and packaging materials. The service providers are still working on developing the ability to provide standardization in the processes. Lack of standardization related to storage temperature and operating procedures are a few more significant challenges the industry faces. The quality and flexibility of available cold warehousing space are a considerable concern.
Japan Cold Chain Logistics Market Leaders
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Nippon Express
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Yamato Transport Co.
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Sagawa Express Co.,Ltd
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Kintetsu World Express
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Itochu Logistics Corp.
- *Disclaimer: Major Players sorted in no particular order
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Japan Cold Chain Logistics Market News
- June 2024: Fosun Hive Capital Management, in collaboration with its sister company Idera Capital Management, has initiated a joint venture focusing on the forward purchase of a cold storage logistics project in Greater Osaka. The initial phase of the project is set to receive an equity injection of JPY 15 billion (equivalent to USD 100 million) to establish a portfolio of specialized cold storage assets. The partners have outlined the Osaka venture as an energy-efficient facility, boasting a leasable area exceeding 10,000 square meters (107,639 square feet). With a target completion date in the latter half of 2025, this development stands as the JV's maiden acquisition, with Fosun Hive overseeing fund management and Idera taking on the role of asset management.
- April 2023: GLP has commenced the construction of 55,000 square meters (SQM) of fully refrigerated cool storage facilities in Japan. GLP Pte Ltd (GLP) will be the purpose-built logistics development in Japan for GLP KOSHIOSHIMA and GLP ROKKO V to meet the growing demands of the global cold chain industry.
Japan Cold Chain Logistics Industry Segmentation
A cold chain is a seamless logistical and operational process that facilitates the controlled temperature production, transportation, storage, and distribution of goods, notably food, pharmaceuticals, and other temperature-sensitive products. According to the Food and Agriculture Organization of the United Nations (FAO), the cold chain encompasses pre-cooling, storage, transportation, distribution, retail, and even domestic refrigeration stages.
A complete background analysis of the Japan Cold Chain Logistics market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact, is covered in the report.
The Japan Cold Chain Logistics Market is segmented by service (storage, transportation, value-added services (blast freezing, labeling, inventory management, etc.)), temperature type (chilled and frozen), and application (horticulture (fresh fruits & vegetables), dairy products (milk, ice-cream, butter, etc.), meats, fish, poultry, processed food products, pharma, life sciences, and chemicals, and other applications). The report offers market size and forecasts for Japan Cold Chain Logistics Market in value (USD) for all the above segments.
| By Services | Storage |
| Transportation | |
| Value-added Services (Blast Freezing, Labeling, Inventory Management, etc.) | |
| By Temperature Type | Chilled |
| Frozen | |
| By Application | Horticulture (Fresh Fruits & Vegetables) |
| Dairy Products (Milk, Ice-cream, Butter, etc.) | |
| Meats, Fish, Poultry | |
| Processed Food Products | |
| Pharma, Life Sciences, and Chemicals | |
| Other Applications |
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Japan Cold Chain Logistics Market Research Faqs
How big is the Japan Cold Chain Logistics Market?
The Japan Cold Chain Logistics Market size is expected to reach USD 21.49 billion in 2025 and grow at a CAGR of 5% to reach USD 27.42 billion by 2030.
What is the current Japan Cold Chain Logistics Market size?
In 2025, the Japan Cold Chain Logistics Market size is expected to reach USD 21.49 billion.
Who are the key players in Japan Cold Chain Logistics Market?
Nippon Express, Yamato Transport Co., Sagawa Express Co.,Ltd, Kintetsu World Express and Itochu Logistics Corp. are the major companies operating in the Japan Cold Chain Logistics Market.
What years does this Japan Cold Chain Logistics Market cover, and what was the market size in 2024?
In 2024, the Japan Cold Chain Logistics Market size was estimated at USD 20.42 billion. The report covers the Japan Cold Chain Logistics Market historical market size for years: 2021, 2022, 2023 and 2024. The report also forecasts the Japan Cold Chain Logistics Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Japan Cold Chain Logistics Industry Report
The Japan Cold Chain Logistics Market is segmented by service, temperature type, and application. The market size and forecasts are provided in value for all segments. The industry report highlights the market share, industry analysis, and market growth within Japan's cold chain logistics sector. The report includes a market forecast outlook and a historical overview.
The industry research covers various applications, including horticulture, dairy products, meats, fish, poultry, processed food products, pharma, life sciences, and chemicals. The market analysis focuses on the largest companies and their contributions to the market trends. The industry outlook indicates a positive growth rate, with significant market leaders driving the market value.
This market report is a comprehensive industry research document that provides detailed market data and industry statistics. The market review and market segmentation offer insights into the market's structure and dynamics. The report example and report PDF are available for further reference.
The industry reports and industry information included in this analysis provide a thorough understanding of the market's current state and future predictions. The market overview and market predictions are essential for stakeholders to make informed decisions. The industry sales and industry size are critical metrics for evaluating market performance.
In summary, the Japan Cold Chain Logistics Market is poised for significant growth, supported by industry trends and market leaders. The market forecast and market outlook suggest continued expansion and opportunities for various applications. This report serves as a valuable resource for understanding the market's landscape and potential.
