Canada Freight and Logistics Market Size

Canada Freight and Logistics Market Analysis

The Canada Freight and Logistics Market size is estimated at 106.4 billion USD in 2024, and is expected to reach 139.2 billion USD by 2030, growing at a CAGR of 4.58% during the forecast period (2024-2030).

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106.4 Billion

Market Size in 2024 (USD)

139.2 Billion

Market Size in 2030 (USD)

3.36 %

CAGR (2017-2023)

4.58 %

CAGR (2024-2030)

Fastest Growing Market by Mode of Transport

6.22 %

Projected CAGR, Pipelines, 2024-2030

A major pipeline initiative in British Columbia is nearing completion. TC Energy reported that the 670-kilometer Coastal GasLink pipeline, spanning from Dawson Creek to Kitimat, was fully installed.

Largest CEP Market by Destination

62.78 %

value share, Domestic, 2023

To boost the domestic CEP market, drone deliveries are rapidly growing in Canada wherein the commercial drone market is expected to grow by more than 17% by 2027.

Largest Market by End User Industry

29.10 %

value share, Wholesale and Retail Trade, 2023

The wholesale and retail trade end-user segment experienced growth in 2023, driven by the 10.95% YoY growth of the e-commerce sector in Canada (compared to the 2.97% in 2022), among other factors.

Largest Warehousing Market by Temperature Control

92.18 %

value share, Non-Temperature Controlled, 2023

By Q4 2023, the Greater Toronto Area (GTA) had approximately 16.77 million sq. ft. of warehousing space under construction, pushing the total warehousing inventory in the GTA to 819.94 million sq. ft.

Fastest Growing Warehousing Market by Temperature Control

4.40 %

Projected CAGR, Temperature Controlled, 2024-2030

In 2023, many cold storage facilities have started construction. For instance, in June 2023, Conestoga Cold Storage Limited started the construction of a new greenfield facility in Halton Hills, Ontario.

Rising freight volumes supported by e-commerce sales are driving the demand for all modes of transport in Canada

Canada 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.

• Canada's rail transport industry, boasting an extensive track length of over 48,309 km, holds a prominent position within the nation's transportation system. Rail freight operations dominate the industry's revenue, accounting for 95%, while the remaining 5% is attributed to passenger services, including commuter, intercity, and tourist rail. In the air transport industry, in October 2023, the Minister of Transport announced the conclusion of an expanded air transport agreement between Canada and Panama. Each country's airlines are now able to operate an unlimited number of all-cargo flights.
• The Canadian freight and logistics market started experiencing strong growth in 2024, primarily driven by the strong performance of the land freight segment. The surge in e-commerce, coupled with expansions in the construction, pharmaceutical, and healthcare sectors, drives this growth. This surge in demand has also led to an uptick in the need for truck drivers. In 2021, Canada saw a rise in the number of truck drivers to 324,200, up from 300,000 in 2020.
• In 2023, the Canadian government committed CAD 150 million (USD 110 million) from its National Trade Corridors Fund to establish a new container terminal at the Port of Montreal. This initiative was part of a broader program, with a budget of USD 4.6 billion spanning 2017 to 2028, aimed at bolstering Canada's trade through transportation-related projects. The new terminal, slated for construction in Contrecoeur, Quebec, approximately 40 kilometers (24.9 miles) upstream from the existing port facilities, is expected to be operational by the end of 2026. The Port of Montreal, which handled 1.72 million TEUs in 2022, is poised for further expansion with this new addition.