Market Trends of Peru Road Freight Transport Industry
Growth in Exports and Imports Boosting Road Freight Transport:
Peru's imports and exports have created a strong foundation for the country's road freight transport to flourish. Because Peru has a long coastal line with several ports, trucking has become the primary mode of transport from ports to final destinations. Peru's top trading partners in 2022 are China (USD 17.5 billion, more than 30% of total exports), the United States (USD 8.4 billion, 14.5% of total exports), Japan (USD 2.8 billion, 4.9% of total exports), Canada (USD 2.6 billion, 4.8% of total exports), etc.
Moreover, in 2022, the Republic of Peru exported more than USD 58 billion worth of products across the globe, and the exports witnessed a significant growth rate of more than 3% when compared to the previous year. In addition, about half of the exports were delivered to Asian countries while 18.7% were sold to importers in North America.
Furthermore, in January 2023, the Peru government initiated Law No. 31668, which approves a temporary reduction in of costs of imported inputs into the country. This law further boosts imports into the country, which in turn boosts domestic transportation. Meanwhile, in 2022, Peru imported more than USD 60.9 billion in goods into the country, up by 20% when compared to 2021. Thus, the increasing trade activities in the country further fuel the road freight transportation network.
E-commerce Sales Fueling the Market Growth
The pandemic-driven e-commerce is witnessing significant growth in Peru, in 2021, e-commerce sales reached more than USD 9 billion, at a growth rate of more than 50% when compared to the previous year. In addition, e-commerce emerged as the new normal after the pandemic crisis. Earlier e-commerce represented a 12% share of card transactions, and currently, it represents more than a 45% share of card transactions.
Moreover, Peruvian consumers are increasingly inclined toward digital consumption, and vast growth in technology creates opportunities for e-commerce expansion in the country. In addition, the country is emerging as an e-commerce-driven economy in Latin America, and most industries are trying to set up their presence in Peru, as the country’s online sales are constantly evolving.
Furthermore, for the past five years, the country witnessed growth in importation of goods purchased online by more than 23%, and in 2021, the country developed new processes and services to facilitate and secure cross-border e-commerce. Meanwhile, in January 2022, the furniture and appliances segment occupied the highest share in e-commerce sales, followed by toys and DIY, electronics, etc. Thus, the growing e-commerce sales further require a huge road freight supply chain to meet the growing demand from end users.
