Market Size of nordics freight and logistics Industry
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Study Period | 2017 - 2030 |
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Market Size (2024) | USD 73.4 Billion |
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Market Size (2030) | USD 91.8 Billion |
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Largest Share by Logistics Function | Freight Transport |
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CAGR (2024 - 2030) | 3.80 % |
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Largest Share by Country | Sweden |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
Nordics Freight And Logistics Market Analysis
The Nordics Freight And Logistics Market size is estimated at 73.4 billion USD in 2024, and is expected to reach 91.8 billion USD by 2030, growing at a CAGR of 3.80% during the forecast period (2024-2030).
73.4 Billion
Market Size in 2024 (USD)
91.8 Billion
Market Size in 2030 (USD)
2.79 %
CAGR (2017-2023)
3.80 %
CAGR (2024-2030)
Fastest Growing Market by Mode of Transport
4.28 %
Projected CAGR, Air, 2024-2030
AP Moller Maersk, launched its cargo airline, Maersk Air Cargo. Billund Airport serves as the airline's primary hub, and the airport aims to double its airfreight volumes to 160,000 tons annually by 2040.
Largest CEP Market by Destination
64.79 %
value share, Domestic, 2023
E-commerce has been the key catalyst for the growth of the domestic CEP segment. The e-commerce market grew by 6.6% YoY and reached USD 40.1 billion in 2023.
Largest Market by End User Industry
30.52 %
value share, Wholesale and Retail Trade, 2023
Logistics companies in the region are increasingly forging partnerships, particularly to bolster their retail delivery capabilities. A notable example was the merger of Instabox and Budbee.
Largest Warehousing Market by Temperature Control
91.85 %
value share, Non-Temperature Controlled, 2023
The Swedish logistics market witnessed a remarkable surge in speculative space in 2023, with an addition of nearly 500,000 sqm, tripling the previous year's record completions.
Fastest Growing Warehousing Market by Temperature Control
3.65 %
Projected CAGR, Temperature Controlled, 2024-2030
The pharmaceutical industry is one of the factors driving the segment's growth. In the Nordics region, the OTC pharmaceuticals market is expected to witness a CAGR of 2.96% from 2024 to 2028.
Rising government initiatives to boost truck drivers’ working conditions, leading to road freight demand in the region
- The e-commerce sector has emerged as a key driver of the market, with its revenue surging to USD 40.1 billion in 2023. A notable catalyst for e-commerce growth in the Nordics is the rising trend of regular purchases, spanning groceries, pharmaceuticals, and beauty products. These frequent transactions have not only bolstered monthly e-commerce sales but also set the stage for a promising future. Analysts project the e-commerce market in the Nordics to surge further, with its value anticipated to hit USD 56 billion by 2027.
- In July 2020, the European Parliament passed the Mobility Package I, encompassing regulations on driver working conditions, international transport guidelines, and updated provisions for haulage market access. However, it also granted EU Member States the leeway to suspend Article 4 of the Combined Transport directive within their territories. This suspension, exercised by Denmark, aims not to hike prices but rather to curtail short-distance trucking. While this move does not violate EU law, it does run counter to the objectives of promoting combined transport and achieving mobility decarbonization.
- Highlighting its commitment to infrastructure, the Swedish government has unveiled an ambitious National Transport Plan, earmarking a record-breaking SEK 881 billion (USD 86.6 billion) during 2022-2027. This comprehensive blueprint not only emphasizes the upkeep of the Swedish transport infrastructure but also aims to enhance labor market accessibility, foster regional development, bolster national cohesion, boost competitiveness, and align with the nation's climate change targets.
Developing freight and logistics market network amidst disruptions in the Nordics region
- Sea and inland waterways have witnessed rising demand within domestic boundaries due to increased country volumes and a rising focus on the environment. For instance, in October 2023, a consortium of ports, ministries, and shipping companies in Finland and Estonia agreed to establish an environmentally friendly corridor connecting the capital ports of Helsinki and Tallinn. This initiative aims to encourage more sustainable and eco-friendly shipping practices. The agreement entails the development of shared roadmaps by shipping companies, cities, and ports, along with associated partners, to achieve the target of zero carbon emissions.
- E-commerce has been flourishing in the Nordics due to the COVID-19 pandemic-led restrictions. Almost nine in 10 Nordic consumers regularly engage in e-commerce. E-commerce growth is expected to register a CAGR of 10.17% during 2023-2027. The growth in e-commerce in the region has driven the growth and demand for CEP services and warehouse investments. In 2021, the total turnover of the Norwegian postal operator Posten Norge reached USD 107.2 million, up from USD 11.3 million in 2020. B2B and B2C packages in Sweden witnessed year-over-year growth of 17% and 49%, respectively, in 2021.
- The Copenhagen-headquartered shipping giant A.P. Møller – Mærsk plans to launch its own cargo airline in 2023 to double air freight volumes to 160,000 tons per year by 2040. The Icelandic ACMI company Bluebird Nordic has been expanding its freighter fleet. In 2021, the Norwegian government initiated the National Transport Plan for 2022-2033 to reduce the carbon footprint and halve emissions from the transport sector by 2030.
Nordics 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. Denmark, Finland, Iceland, Norway, Sweden are covered as segments by Country.
- The e-commerce sector has emerged as a key driver of the market, with its revenue surging to USD 40.1 billion in 2023. A notable catalyst for e-commerce growth in the Nordics is the rising trend of regular purchases, spanning groceries, pharmaceuticals, and beauty products. These frequent transactions have not only bolstered monthly e-commerce sales but also set the stage for a promising future. Analysts project the e-commerce market in the Nordics to surge further, with its value anticipated to hit USD 56 billion by 2027.
- In July 2020, the European Parliament passed the Mobility Package I, encompassing regulations on driver working conditions, international transport guidelines, and updated provisions for haulage market access. However, it also granted EU Member States the leeway to suspend Article 4 of the Combined Transport directive within their territories. This suspension, exercised by Denmark, aims not to hike prices but rather to curtail short-distance trucking. While this move does not violate EU law, it does run counter to the objectives of promoting combined transport and achieving mobility decarbonization.
- Highlighting its commitment to infrastructure, the Swedish government has unveiled an ambitious National Transport Plan, earmarking a record-breaking SEK 881 billion (USD 86.6 billion) during 2022-2027. This comprehensive blueprint not only emphasizes the upkeep of the Swedish transport infrastructure but also aims to enhance labor market accessibility, foster regional development, bolster national cohesion, boost competitiveness, and align with the nation's climate change targets.
| End User Industry | |
| Agriculture, Fishing, and Forestry | |
| Construction | |
| Manufacturing | |
| Oil and Gas, Mining and Quarrying | |
| Wholesale and Retail Trade | |
| Others |
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| Other Services |
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| Denmark | |
| Finland | |
| Iceland | |
| Norway | |
| Sweden |
Nordics Freight And Logistics Market Size Summary
The Nordics Freight and Logistics Market is poised for significant growth, driven primarily by the booming e-commerce sector. The region has seen a surge in online shopping, with consumers increasingly purchasing groceries, pharmaceuticals, and beauty products regularly. This trend has not only boosted e-commerce sales but has also spurred demand for courier, express, and parcel (CEP) services and warehouse investments. The market is characterized by substantial infrastructure investments, particularly in Sweden, which boasts a modern and technologically advanced transportation industry. The Port of Gothenburg stands out as a key logistics hub, enhancing Sweden's position as a leading logistics market in Europe. The region's commitment to sustainability is evident in initiatives like the environmentally friendly shipping corridor between Finland and Estonia, aiming for zero carbon emissions.
Regulatory developments and strategic investments are shaping the market landscape. The European Parliament's Mobility Package I and Denmark's suspension of certain transport directives reflect ongoing efforts to balance regulatory compliance with market needs. Infrastructure plans in Sweden and Denmark, such as the National Transport Plan and Denmark Forward, aim to enhance transport systems and support regional development. The market is fragmented, with major players like A.P. Moller - Maersk, DB Schenker, DHL Group, DSV A/S, and Kuehne + Nagel leading the charge. These companies are actively pursuing sustainability and innovation, as seen in Kuehne + Nagel's decarbonization solutions and strategic agreements to enhance supply chain operations. Overall, the Nordics Freight and Logistics Market is set for steady growth, underpinned by e-commerce expansion, infrastructure development, and a focus on sustainability.
Nordics Freight And Logistics Market Size - Table of Contents
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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)
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1.1 End User Industry
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1.1.1 Agriculture, Fishing, and Forestry
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1.1.2 Construction
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1.1.3 Manufacturing
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1.1.4 Oil and Gas, Mining and Quarrying
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1.1.5 Wholesale and Retail Trade
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1.1.6 Others
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1.2 Logistics Function
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1.2.1 Courier, Express, and Parcel (CEP)
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1.2.1.1 By Destination Type
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1.2.1.1.1 Domestic
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1.2.1.1.2 International
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1.2.2 Freight Forwarding
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1.2.2.1 By Mode Of Transport
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1.2.2.1.1 Air
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1.2.2.1.2 Sea and Inland Waterways
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1.2.2.1.3 Others
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1.2.3 Freight Transport
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1.2.3.1 By Mode Of Transport
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1.2.3.1.1 Air
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1.2.3.1.2 Pipelines
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1.2.3.1.3 Rail
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1.2.3.1.4 Road
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1.2.3.1.5 Sea and Inland Waterways
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1.2.4 Warehousing and Storage
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1.2.4.1 By Temperature Control
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1.2.4.1.1 Non-Temperature Controlled
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1.2.4.1.2 Temperature Controlled
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1.2.5 Other Services
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1.3 Country
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1.3.1 Denmark
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1.3.2 Finland
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1.3.3 Iceland
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1.3.4 Norway
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1.3.5 Sweden
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Nordics Freight And Logistics Market Size FAQs
How big is the Nordics Freight And Logistics Market?
The Nordics Freight And Logistics Market size is expected to reach USD 73.40 billion in 2024 and grow at a CAGR of 3.80% to reach USD 91.80 billion by 2030.
What is the current Nordics Freight And Logistics Market size?
In 2024, the Nordics Freight And Logistics Market size is expected to reach USD 73.40 billion.
