Australia Freight Logistics Market Report and Forecast 2025-2034

Australia Freight Logistics Market Outlook

The Australia freight logistics market size is projected to grow at a CAGR of 4.4% between 2024 and 2032.

Key Takeaways

• According to Bureau of Infrastructure and Transport Research Economics, in 2020, Australia transported over 800 billion ton-kilometers of goods, a 2.4% increase from the prior year.

• Nearly 93% of railroad-transported goods are bulk freight, while 61% of road freight consists of non-bulk goods.

• There are approximately 47,162 road freight transport companies operating in Australia.

• As business expands and the demand for trucking in Australia increases, the industry anticipates a workforce of 600,648 employees in 2026, a 4.6% increase from 2021.

The trends aiding the Australia freight logistics market growth encompass several key aspects. Firstly, the integration between e-commerce and transportation and logistics is driving businesses to expand globally, facilitated by improved connectivity and services like the FedEx Trans-Tasman service. Secondly, the expanding e-commerce activities and rapid infrastructural development, which requires efficient logistics services.

Other factors aiding the Australia freight logistics market expansion include the Australian Government's trade modernisation agenda, which supports businesses to engage and compete globally by promoting training and re-skilling of industry workforces, addressing skills and workforce constraints in the transport sector. Additionally, initiatives like the National Freight Data Hub, funded by the Australian Government with USD 16.5 million and international supply chain benchmarking can attract investments by improving data access and insights for strategic planning and operational efficiency in the freight sector.

Moreover, the adoption of advanced technologies like AI, robotics, and blockchain is transforming the logistics market, improving efficiency, reducing accidents, and enhancing operational effectiveness. Secondly, the government's increased investment in infrastructure, such as the Thriving Suburbs Programme, is boosting revenue in freight forwarding and enhancing the overall logistics ecosystem. Thirdly, the maritime industry plays a crucial role, with ports like the Port of Brisbane driving significant cargo volumes and emphasising environmental regulations and ecological balance.

The road freight transport sector in Australia is a critical component of the logistics industry, responsible for most domestic transportation. As per industry reports, road freight transport generated USD 65.3 billion of revenue in 2021. In road freight, tucking plays a significant role in the last-mile delivery, connecting distribution centres to businesses and consumers across the country.

Market Segmentation  

Australia Freight Logistics Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Function

• Freight Forwarding

• Warehousing and Storage

• Courier, Express and Parcel

• Freight Transport

• Others

Market Breakup by Mode of Transport

• Airways

• Waterways

• Roadways

• Railways

Market Breakup by End Use

• Consumer Goods

• Manufacturing

• Automotive

• Food and Beverage

• Others

Market Breakup by Region

• New South Wales

• Victoria

• Queensland

• Australian Capital Territory

• Western Australia

• Others

Competitive Landscape

Market players are focused on enhancing efficiency, reliability, and cost-effectiveness in transportation and supply chain solutions.

• FedEx Logistics (Australia) Pty Ltd  

• Schenker Australia Pty Ltd.

• DHL Express (Australia) Pty Ltd.

• Yusen Logistics (Australia) Pty Ltd.

• Freight Logistics Pty Ltd. 

• Linfox Australia Pty Ltd.  

• DTDC Australia Pty Ltd. 

• Henning Harders Pty Ltd.  

• Mainfreight Distribution Pty Limited   

• Others

Key Highlights of the Report