How is the Chemical Logistics Market Projected to Grow?
The chemical logistics market size has seen consistent growth in recent years, expanding from $294.16 billion in 2024 to an estimated $305.83 billion in 2025, signaling a compound annual growth rate (CAGR) of 4.0%. This growth can be attributed to factors such as increased industrialization, globalization, regulatory compliance, and supply chain optimization.
The market is predicted to experience further robust growth in the coming years, reaching an estimated $382.93 billion in 2029 with a CAGR of 5.8%. Sustainability initiatives, digitalization and IoT integration, advanced analytics, market demand fluctuations, and growth in e-commerce are expected to drive this growth. Trends that are likely to shape the market during this period include green logistics, autonomous vehicles, blockchain adoption, resilient supply chains, and 3D printing in manufacturing.
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What are the Key Drivers of the Chemical Logistics Market?
The growth of the chemical logistics market is closely tied to the rise in chemical production. As production increases to supply a range of industries including food production, pharmaceutical manufacturing, automobile manufacturing, and engineering, the ensuing need for safe transportation and distribution services intensifies. For instance, chemical volumes in the United States increased by 1.4% in 2021 and by 3.2% in 2022, and shipments followed suit with increases of 8.1% and 8.2% respectively, as per the American Chemistry Council. Similarly, India’s chemical sector, including fertilizers and pharmaceuticals, exhibited a 18-23% revenue growth in FY2022 and is projected to expand to USD 304 billion by 2025, with a CAGR of 9.3%, as reported by the government of India.
What are the Key Segments in the Chemical Logistics Market?
The chemical logistics market covered in this report is segmented into:
1) By Services: Transportation And Distribution Services, Storage And Warehousing Services, Customs And Security Services, Green Logistics Services, Consulting And Management Services, Other Services
2) By Mode Of Transportation: Roadways, Railways, Airways, Waterways, Pipelines
3) By End User: Chemical Industry, Pharmaceutical Industry, Cosmetic Industry, Oil And Gas Industry, Specialty Chemicals Industry, Food Industry, Other End Users
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Who are the Major Players in the Chemical Logistics Market?
Major players operating in the chemical logistics market include A&R Logistics LLC, Deutsche Post DHL Group, CH Robinson Worldwide Inc., Rhenus Logistics LLC, Deutsche Bahn AG, BASF SE, Ryder System Inc., CEVA Logistics LLC, FedEx Corporation, Montreal Chemical Logistics, Schneider National Inc., Odyssey Logistics & Technology Corporation, Univar Solutions Inc., Bd Trans-Logistics Sp. z o. o., Henus Logistics LLC, Kuehne + Nagel International AG, DACHSER SE, DHL Global Forwarding Pte. Ltd., Expeditors International of Washington Inc., GEODIS, Hellmann Worldwide Logistics SE & Co KG, Kerry Logistics Network Limited, Nippon Express Co. Ltd., Panalpina World Transport Ltd., Sinotrans Limited, UPS Supply Chain Solutions Inc., Yusen Logistics Co. Ltd., Agility Logistics Pvt. Ltd., Damco Solutions Pvt. Ltd.
What are the Emerging Trends in the Chemical Logistics Market?
In a bid to boost operational efficiency and improve service delivery, key companies in the chemical logistics market are focusing on developing innovative solutions like chemical logistics centers. Such centers, designed to manage the storage, handling, and transportation of chemical products, are being adopted widely. For instance, in 2023, GWC Logistics, a logistics company based in Qatar, launched a new chemical logistics center in Doha’s industrial area, spanning 16,000 square meters. This state-of-the-art facility is devised to cater to various industries with specialized storage for hazardous materials like gases and flammable liquids, adhering to stringent safety standards.
Which Region Dominates the Chemical Logistics Market?
Asia-Pacific was the largest region in the chemical logistics market in 2024. The market report covers a range of regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.
What does the Chemical Logistics Market Report 2025 Offer?
The chemical logistics market report from The Business Research Company offers global market size, growth rate, regional shares, competitor analysis, detailed segments, trends, and opportunities. Chemical logistics refers to the services involving the storage and transportation of chemicals along a supply chain, undertaken with utmost care to prevent contamination and spoilage.
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