logo

Saudi Arabia Road Freight Transport Market Size

The Saudi Arabia Road Freight Transport Market is projected to experience significant growth over the forecast period, driven by various initiatives aimed at enhancing local transportation and supply chains. The market's expansion is supported by the country's efforts to diversify and industrialize its economy, attracting both local and foreign investments. The retail sector's growth, fueled by e-commerce and luxury goods, along with increased agricultural production and construction activities, are key factors contributing to the market's development. These elements collectively influence the market's capacity and share, reflecting a robust trajectory for the road freight transport sector in Saudi Arabia.

INSTANT ACCESS

Home right-chevron-icon Market Analysis right-chevron-icon Logistics Research right-chevron-icon Freight Transport Research right-chevron-icon Road Transport Research right-chevron-icon Trucking Research right-chevron-icon Saudi Arabia Road Freight Transport Industry right-chevron-icon Market Size

Market Size of saudi arabia road freight transport Industry

Saudi Arabia Road Freight Transport Market Summary
share button
svg icon Study Period 2017 - 2030
svg icon Market Size (2024) USD 6.34 Billion
svg icon Market Size (2030) USD 8.82 Billion
svg icon Largest Share by End User Industry Wholesale and Retail Trade
svg icon CAGR (2024 - 2030) 5.64 %
svg icon Fastest Growing by End User Industry Wholesale and Retail Trade
svg icon Market Concentration Low

Major Players
major-player-company-image

*Disclaimer: Major Players sorted in no particular order

Key Players

WHY BUY FROM US?

1. CRISP & INSIGHTFUL
2. TRUE BOTTOM-UP
3. EXHAUSTIVENESS
4. TRANSPARENCY
5. CONVENIENCE
KNOW MORE

Saudi Arabia Road Freight Transport Market Analysis

The Saudi Arabia Road Freight Transport Market size is estimated at 6.34 billion USD in 2024, and is expected to reach 8.82 billion USD by 2030, growing at a CAGR of 5.64% during the forecast period (2024-2030).

6.34 Billion

Market Size in 2024 (USD)

8.82 Billion

Market Size in 2030 (USD)

4.94 %

CAGR (2017-2023)

5.64 %

CAGR (2024-2030)

Largest Market by Distance

72.12 %

value share, Long Haul, 2023

Icon image

In 2022, Saudi Arabia witnessed solid activity in the infrastructure sector, with 56 roads covering a total distance of 1,610 km, facilitating the growth of the long-haul segment.

Largest Market by Goods Configuration

62.45 %

value share, Solid Goods, 2023

Icon image

The solid goods trucking segment remained high in demand during the review period, and it is expected to remain so during the forecast period.

Largest Market by End User Industry

31.64 %

value share, Wholesale and Retail Trade, 2023

Icon image

Saudi Arabia is set to witness the establishment of a dedicated e-commerce logistics facility (with a daily throughput capacity of 15,000 boxes) by 2024 to meet the growing e-commerce volume in the country.

Fastest Growing Market by Truckload Specification

6.32 %

Projected CAGR, Less than-Truck-Load (LTL), 2024-2030

Icon image

The adoption of technologies like GPS tracking for LTL freight is bringing revolutionary improvements in efficiency. The food and beverages and retail sectors played a significant role in driving the market in 2022.

First Leading Market Player

8.36 %

market share, Wared Logistics, 2022

Icon image

Wared Logistics is a joint venture between Zahid Group Holding and Construction Products Holding Company (CPC) with over 30 years of logistics experience. The company has completed more than 17,000 projects successfully.

Saudi Arabia launched an initiative in 2022 to develop local transportation for around 9,000 industrial products

  • In 2022, Saudi Arabia launched an initiative aimed at developing local transportation and supply chains for around 9,000 industrial products. This initiative is expected to enable the identification of manufacturing opportunities that attract local and foreign investment. Saudi Arabia launched new initiatives in 2021 to help provide fresh momentum for the drive to diversify, industrialize, and energize the private sector. It included the Shareek (partner) investment program, which aims to release USD 1.3 trillion of domestic private-sector investment into the economy by 2030.
  • The Saudi Arabian retail sector is forecasted to grow to USD 159 billion (SAR 596 billion) by 2024. Retail accounted for 22.8% of Saudi’s non-oil GDP as of the third quarter of 2022, according to the General Authority for Statistics. A lot of this growth is driven by e-commerce and luxury. Saudi Arabia’s e-commerce channel is primed for continued growth. By 2024, the number of Saudi Arabian internet users for e-commerce (selling and buying) is expected to reach 33.6 million, an increase of 42% from 2019.
  • The agricultural production capacity of the greenhouses is expected to reach over 1 million tons annually and is expected to drive the demand for road freight services. The growth in the agriculture output is attributed to the Kingdom’s National Strategy for Agriculture 2030, which seeks to create a sustainable sector that achieves food and water security. Similarly, an increase in construction activities is expected to drive the construction end-user segment. Over 5,200 projects across Saudi Arabia, with a combined worth of USD 819 billion, are currently underway, representing 35% of all active GCC (Gulf Cooperation Council) projects.
Saudi Arabia Road Freight Transport Market

Saudi Arabia Road Freight Transport 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. Domestic, International are covered as segments by Destination. Full-Truck-Load (FTL), Less than-Truck-Load (LTL) are covered as segments by Truckload Specification. Containerized, Non-Containerized are covered as segments by Containerization. Long Haul, Short Haul are covered as segments by Distance. Fluid Goods, Solid Goods are covered as segments by Goods Configuration. Non-Temperature Controlled, Temperature Controlled are covered as segments by Temperature Control.

  • In 2022, Saudi Arabia launched an initiative aimed at developing local transportation and supply chains for around 9,000 industrial products. This initiative is expected to enable the identification of manufacturing opportunities that attract local and foreign investment. Saudi Arabia launched new initiatives in 2021 to help provide fresh momentum for the drive to diversify, industrialize, and energize the private sector. It included the Shareek (partner) investment program, which aims to release USD 1.3 trillion of domestic private-sector investment into the economy by 2030.
  • The Saudi Arabian retail sector is forecasted to grow to USD 159 billion (SAR 596 billion) by 2024. Retail accounted for 22.8% of Saudi’s non-oil GDP as of the third quarter of 2022, according to the General Authority for Statistics. A lot of this growth is driven by e-commerce and luxury. Saudi Arabia’s e-commerce channel is primed for continued growth. By 2024, the number of Saudi Arabian internet users for e-commerce (selling and buying) is expected to reach 33.6 million, an increase of 42% from 2019.
  • The agricultural production capacity of the greenhouses is expected to reach over 1 million tons annually and is expected to drive the demand for road freight services. The growth in the agriculture output is attributed to the Kingdom’s National Strategy for Agriculture 2030, which seeks to create a sustainable sector that achieves food and water security. Similarly, an increase in construction activities is expected to drive the construction end-user segment. Over 5,200 projects across Saudi Arabia, with a combined worth of USD 819 billion, are currently underway, representing 35% of all active GCC (Gulf Cooperation Council) projects.
End User Industry
Agriculture, Fishing, and Forestry
Construction
Manufacturing
Oil and Gas, Mining and Quarrying
Wholesale and Retail Trade
Others
Destination
Domestic
International
Truckload Specification
Full-Truck-Load (FTL)
Less than-Truck-Load (LTL)
Containerization
Containerized
Non-Containerized
Distance
Long Haul
Short Haul
Goods Configuration
Fluid Goods
Solid Goods
Temperature Control
Non-Temperature Controlled
Temperature Controlled
customize-icon Need A Different Region Or Segment?
Customize Now

Saudi Arabia Road Freight Transport Market Size Summary

The Saudi Arabia Road Freight Transport Market is poised for significant growth, driven by strategic initiatives and investments aimed at diversifying the economy and enhancing infrastructure. The government's Vision 2030 plan plays a crucial role in this expansion, with substantial investments in transport and logistics infrastructure, including ports, airports, and rail networks. These developments are part of a broader strategy to transform Saudi Arabia into a global business hub, attract foreign investment, and increase the sector's contribution to the national GDP. The market is also influenced by the growth of the retail sector, particularly e-commerce, and the agricultural sector, which is expected to boost demand for road freight services. The construction industry, with numerous ongoing projects, further contributes to the market's expansion.

The market landscape is characterized by fragmentation, with several key players such as Almajdouie, Kadi Group Holding, Munawla Cargo Co., Rashed Abdul Rahman Al Rashed & Sons Group, and Wared Logistics holding significant shares. These companies are actively enhancing their operations through strategic partnerships and fleet upgrades to improve efficiency and sustainability. The market's growth is supported by the government's efforts to diversify energy sources and reduce reliance on oil, alongside initiatives to increase domestic energy prices and achieve emission reduction targets. Despite challenges such as fluctuating oil prices and global economic uncertainties, the road freight transport market in Saudi Arabia is expected to continue its upward trajectory, supported by robust infrastructure development and strategic economic reforms.

Explore More >

Saudi Arabia Road Freight Transport Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD, Forecasts up to 2030 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 Destination

      1. 1.2.1 Domestic

      2. 1.2.2 International

    3. 1.3 Truckload Specification

      1. 1.3.1 Full-Truck-Load (FTL)

      2. 1.3.2 Less than-Truck-Load (LTL)

    4. 1.4 Containerization

      1. 1.4.1 Containerized

      2. 1.4.2 Non-Containerized

    5. 1.5 Distance

      1. 1.5.1 Long Haul

      2. 1.5.2 Short Haul

    6. 1.6 Goods Configuration

      1. 1.6.1 Fluid Goods

      2. 1.6.2 Solid Goods

    7. 1.7 Temperature Control

      1. 1.7.1 Non-Temperature Controlled

      2. 1.7.2 Temperature Controlled

Saudi Arabia Road Freight Transport Market Size FAQs

The Saudi Arabia Road Freight Transport Market size is expected to reach USD 6.34 billion in 2024 and grow at a CAGR of 5.64% to reach USD 8.82 billion by 2030.

In 2024, the Saudi Arabia Road Freight Transport Market size is expected to reach USD 6.34 billion.

Road Freight Transport Market in Saudi Arabia Report Snapshots

Saudi Arabia Road Freight Transport Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2030