Market Size of Chile Road Freight Transport Industry
Study Period | 2020 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Historical Data Period | 2020 - 2022 |
CAGR | 4.00 % |
Market Concentration | High |
Major Players*Disclaimer: Major Players sorted in no particular order |
Chile Road Freight Transport Market Analysis
During the time frame of the forecast, the Chilean road freight transport market is expected to grow at a CAGR of more than 4%.
The COVID-19 limited the number of people who could work on road freight and product distribution in South America and many other parts of the world. This made it harder to import goods.The government came up with other ways to keep Chilean markets stable and create export opportunities that would last until the global economy and markets got back to normal.This made the road freight industry sustainable to a certain extent.
The World Bank has ranked Chile as the region's best in terms of logistics in Latin America and the Caribbean. However, it remains below the competitiveness levels of other OECD countries.
In the first quarter of 2020, because of COVID-19, the number of online orders dropped by 42.2%.After the first quarter, the e-commerce industry started improving, and sales increased to 9.4% during the pandemic. The National Institute of Statistics said that the Transportation Cost Index (ICT) went up by 2.2% each month in January 2021.The rise in the fuel group (5.5%), which had an effect of 1,269 percentage points (pp), was the main reason for the result.
In January 2021, the Chilean Ministry of Science started a new open innovation challenge to find a way for cargo-carrying vehicles to move around in the city of Santiago. This method would use automatic data generation, collection, and processing technologies. This will help plan and develop quality, efficient, safe, and sustainable transport systems. Road congestion in Santiago generates, on average, an extra 47 minutes of travel per day (Traffic Index), which, according to the Inter-American Development Bank (IDB), increases freight transport costs by almost 13 billion pesos (1 Peso is equals to USD 0.018) annually.
Chile Road Freight Transport Industry Segmentation
The transportation of goods/products via roadways is referred to as road freight transport. It is also one of the world's most traditional kinds of logistics, as well as the most widely used mode of transportation worldwide. If and when needed, road freight is utilized in combination with air and sea freight modes to provide door-to-door delivery. A comprehensive background analysis of the Chile road freight market covering the current market trends, restraints, technological updates, and detailed information on various segments and the competitive landscape of the industry is provided in this report. The impact of COVID-19 has also been incorporated and considered during the study.
The Chile Road Freight Market is segmented by destination (domestic and international), by end user (manufacturing (including automotive), oil and gas, mining and quarrying, agriculture, fishing, and forestry, construction, pharmaceuticals and healthcare, and other end users). The report offers market size and forecast values in (USD) for all the above segments.
By Destination | |
Domestic | |
International |
By End-User | |
Manufacturing and Automotive) | |
Oil and Gas, Mining, and Quarrying | |
Agriculture, Fishing, and Forestry | |
Construction | |
Distributive Trade | |
Pharmaceutical and Healthcare | |
Other End-Users |
Chile Road Freight Transport Market Size Summary
The Chilean road freight transport market is poised for significant growth over the forecast period, driven by various factors including the country's strategic position in Latin America and its robust logistics framework, which is recognized as the best in the region by the World Bank. Despite challenges posed by the COVID-19 pandemic, which initially disrupted logistics and e-commerce activities, the sector has shown resilience and adaptability. The government's initiatives to stabilize markets and create sustainable export opportunities have bolstered the industry's recovery. The rise in e-commerce, fueled by technological advancements and increased internet penetration, has further stimulated demand for efficient road freight solutions. This growth is supported by the development of infrastructure and innovative technologies aimed at enhancing the efficiency and sustainability of transport systems, particularly in urban areas like Santiago.
The competitive landscape of the Chilean road freight market is characterized by a mix of local and international players, offering a range of logistics services to support the country's growing trade activities. As globalization continues to expand, the demand for efficient goods movement has become increasingly critical, contributing to the market's expansion. Key players such as Agunsa, Sotraser, and Andes Logistics are actively involved in addressing logistical challenges and seizing opportunities in the region. The market's potential is further underscored by strategic initiatives like the International Finance Corporation's sustainability-linked financing, which aims to promote environmentally friendly practices within the logistics sector. These developments highlight Chile's attractiveness as a hub for logistics operations, offering significant opportunities for both regional and international businesses.
Chile Road Freight Transport Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Current Market Scenario
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1.2 Technological Trends
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1.3 Government Regulations
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1.4 Value Chain / Supply Chain Analysis
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1.5 Overview of Logsitics and Warehousing Market in Chile
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1.6 Brief on Freight Rates
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1.7 Spotlight on 3PL Market in Chile
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1.8 Demand and Supply Analysis
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1.9 E-Commerce Logistics Market in Chile
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1.10 Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Destination
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2.1.1 Domestic
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2.1.2 International
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2.2 By End-User
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2.2.1 Manufacturing and Automotive)
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2.2.2 Oil and Gas, Mining, and Quarrying
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2.2.3 Agriculture, Fishing, and Forestry
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2.2.4 Construction
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2.2.5 Distributive Trade
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2.2.6 Pharmaceutical and Healthcare
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2.2.7 Other End-Users
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Chile Road Freight Transport Market Size FAQs
What is the current Chile Road Freight Transport Market size?
The Chile Road Freight Transport Market is projected to register a CAGR of greater than 4% during the forecast period (2024-2029)
Who are the key players in Chile Road Freight Transport Market?
Andes Logistics de Chile S.A., Agunsa, Transportes Casablanca, Transportes Nazar and Sotraser are the major companies operating in the Chile Road Freight Transport Market.