Road Freight Services Market Size - By Service, By Vehicle, By Destination, By End Use, Analysis, Share, Growth Forecast, 2025 - 2034

Road Freight Services Market Size

The global road freight services market size was valued at USD 2.2 trillion in 2024 and is projected to grow at a CAGR of 5.2% between 2025 and 2034. Government spending on road and freight infrastructures such as road networks, expressways and logistics hubs has improved the growth of the market connectivity and radically reduced transit times. This has served to improve supply chain efficiency. Investments such as the construction of bypasses improve traffic flow which reduces vehicle operating costs. The development of new logistics hubs located adjacent to industrial and port areas improves the efficiency of cargo operations, thus eliminating delays.
 

As an example, the Government of Ireland earmarked an additional €713 ($750) million to be spent in 2025 for maintenance and development spending on local and regional roads. This constitutes an 8% increase in spending for the year. The funds will be used for network restoration and maintenance as well as road infrastructure improvement and safety investment projects. €70 ($74) million will go towards infrastructure works such as bridges and bypasses.
 

The shift towards online shopping and the boom in e-commerce are vital drivers of the growth in road freight services, as they increase the need for effective logistics, warehousing, and last-mile delivery. With consumers anticipating quick and convenient delivery options, businesses depend on the road freight system to fulfill orders and distribute items in real-time. Also, the introduction of same-day and next-day delivery options has further compelled businesses to improve their fleet management, route optimization, and load planning consolidation.
 

According to Statista, they have projected that revenue in the eCommerce segment is expected to grow significantly, reaching US$4.32tn by 2025. An anticipated average annual growth rate (CAGR 2025-2029) of 8.02% will increase the revenue to an estimated volume of US$5.89 trillion by the year 2029. In addition, within the eCommerce segment, the user base is anticipated to be 3.6 billion by 2029.
 

Road Freight Services Market Trends

• The road freight services industry is experiencing a new trend with the implementation of telematics and GPS tracking. Fleet effectiveness, visibility, and safety for telematics are all improved with the implementation of GPS. New telematic systems are deployed by companies to limit and monitor vehicle usage, fuel economy, and even driver behavior leading to lowered expenses and monitoring of fleet vehicles. Automatic GPS systems offer precise routing, delivery planning, and lowered waiting times.
   
• For example, the global GPS tracking device industry was worth USD 3.7 billion in 2024 and is projected to increase at a CAGR of 14.1% to USD 13.7 billion by 2034. Factors such as increased acceptance of e-commerce platforms and delivery services attribute to the growth of the market.
   
• The implementation of AI-powered route optimization is an advanced development in the market of road freight services which improves efficacy, cost efficiency, and speed of delivery. The systems powered by AI utilize real-time traffic patterns, weather conditions, fuel burnt, and vehicle capacity to determine the optimal routes, hence, minimizing delays and costs of operations.
   
• In January 2025, Ikargos reformed freight forwarding in India with the launch of its AI-based logistics solutions, establishing itself as a frontrunner in the digital transformation of supply chain management. The company uses advanced technologies to solve problems associated with traditional logistics and facilitate international trade.
   

Road Freight Services Market Analysis

Based on vehicles, the road freight services market is divided into light commercial vehicles (LCVs), medium-duty trucks, and heavy-duty trucks. In 2024, the heavy-duty trucks segment dominated the market accounting for around 50% share and is expected to grow at a CAGR of over 5% during the forecast period.

• The largest share of the road freight services market is held by the heavy-duty trucks segment, which performs the highest volume of freight transport efficiently, over great distances. Such trucks are indispensable for construction, manufacturing, retail, and bulk trading sectors, which require significant freight movement capacity.
   
• To achieve sustainability objectives, governments and logistics companies are modernizing their fleets by adding telematics and fuel-efficient engines or replacing heavy-duty trucks with electric and hydrogen-powered models. In addition, these vehicles are greatly required due to the increase of cross-border trade and industrial production.
   
• As an example, Volvo Trucks launched the first 'Road Train' cargo transport system in India in February 2025, which greatly enhances India's logistics system. The Road Train configuration is a combination of Volvo FM 420 4×2 tractor unit, 24-foot containerized intermediate trailer, and a 44 foot semi-trailer.
   

Based on destination, the road freight services market is segmented into domestic, and international. In 2024, the domestic segment dominates the market with 83% of market share and the segment is expected to grow at a CAGR of over 5.5% from 2025 to 2034.
 

• The domestic segment has the highest market share in the road freight services market because of the need for short and medium-haul transportations between the borders. Inter-country urbanization, industrialization, and e-commerce activities increase the high demand for effective logistics. Domestic road freight gets a lot of prominence because of its effectiveness in delivering goods on time while keeping expenses low.
   
• For the food and beverage, retail and construction industries, domestic freight is important because of bulk and time-sensitive shipments. In addition, the last mile delivery, warehouses, and local distribution centers help to support the domestic freight system.
   
• For example, In October 2024 ICRA reports that Indian road logistic business is anticipated to grow by up to 9% in revenue within the fiscal year of 2024-25. This sector is likely to be further improved by sustained government infrastructure and logistics development programs and policies.
   

Based on service, the road freight services market is segmented into full truckload (FTL), less-than-truckload (LTL), express & parcel services, dedicated contract carriage (DCC), and intermodal transport, with the service robot’s category expected to dominate due to its efficiency in transporting large shipments at lower costs per unit.
 

• Industries having manufacturing, retail, agriculture, and construction would rather use FTL for bulk shipments because it has quicker transit times, less handling associated risks, and direct delivery services. FTL shipments, unlike LTL, use up full trucks which means there are no unnecessary delays because of excessive stops.
   
• Also, savings is another primary consideration - FTL enables cheaper fuel expenditure for every ton as well as better fleet efficiency which makes it the favorable option for high volume shipments. Investing in the improvement of the roads and construction of new logistics hubs further facilitates the development of FTL. Telecommunication technologies and digital freight platforms are being adopted by companies to enhance load matching, route planning, and fleet productivity.
   

In 2024, the China region in Asia Pacific dominated the road freight services market with around 45% market share in Asia Pacific and generated around USD 385.4 billion in revenue.
 

• The combination of manufacturing industries, domestic spending, and extensive logistics capabilities has made China a leader in the road freight services market of the Asia Pacific region. Other ways for this market to expand include government-funded infrastructure initiatives like new expressway expansion programs and smart logistics hub development.
   
• Operational efficiency is enhanced with such advancements in technology as digital freight platforms. Meanwhile, autonomous and electric trucks are being invested in to help meet sustainability targets. Lastly, the demand for effective freight services is also higher than ever due to the growth of e-commerce and cross-border trade.
   
• In September 2024, DSV introduced a new intercontinental road freight service, the Silkway Express. This service is targeted at China to Europe freight and aims to be a dependable substitute to air, sea, and rail freight which have severe limitations at the moment.
   

The road freight services market in U.K. is expected to experience significant and promising growth from 2025 to 2034.
 

• The domestic trade volumes, e-commerce expansion, and changes in the supply chain have positively impacted the U.K. road freight service market. With retail sales growing, the need for effective last-mile delivery services is growing as well. Sustainability efforts, including the use of low-emission vehicles and improved routing, are becoming a greater focus for many companies.
   
• The market is also witnessing a shift in the region due to Brexit-induced trade realignments. There has also been greater spending in the market for digital freight automation systems for ecommerce as a means of improving productivity and minimizing costs.
   
• An example is the allocation of £90 million for the development of four major roadworks projects in England by the UK government in late February 2025. The objective of these projects is to increase safety, reduce travel times, and enhance enable these regions economically. These projects are part of the governments “Plan for Change” where they aim to enhance infrastructure and living standards.
   

The road freight services market in the U.S. is expected to experience significant and promising growth from 2025 to 2034.
 

• An established highway network, strong industrial production, and extensive use of e-commerce are some of the factors propelling the U.S. road freight services market. The increasing demand for trucking services due to the rise in online shopping and last-mile delivery solutions is further taxing service efficiency. Investments are being made by companies into autonomous trucks, telematics, and digital freight systems to fuel operational efficiency.
   
• As an example, freight transport productivity has taken centre stage for Daimler Truck North America (DTNA) with the development of the Freightliner SuperTruck II in February 2023. This project, like the earlier SuperTruck I, was subsidized by the U.S Department of Energy (DOE) alongside other plans aimed toward cutting emissions and enhancing freight productivity with new tools.
   

The road freight services market in UAE is expected to experience significant and promising growth from 2025 to 2034.
 

• Strategically, the UAE is in a prime location for the trade services market. The growth of international trade coupled with advancements in infrastructure helps as well. The country offers services as a logistics center, providing connective roadways for freight transportation within the GCC and other regions. Free trade zones and smart solutions provided by the government improve the logistics chains competence and productivity.
   
• This sector growth is caused by the increase in e-commerce, retail trade, and construction materials. Other companies in the region are also programming logistic activities using green solutions, freight digitization, and self-driving trucks programs for better productivity and meeting sustainability objectives of the UAE.
   
• As an example, in July 2024, the largest digital land freight network TruKKer based in the MENA region, formed a strategic public-private partnership contract (PPP) with the Roads and Transport Authority (RTA) of Dubai. This partnership intends to build a commercial transport service delivery platform for Dubai.
   

Road Freight Services Market Share

• Top 7 companies in the road freight services industry are UPS Supply Chain Solutions, DHL Logistics, FedEx, DB Schenker, DSV, Kuehne + Nagel, and Ryder System who contributes around 7% of the market in 2024.
   
• The integration of Artificial-Intelligence optimized routing, IoT tracking, and real-time visibility is what drives UPS’s cross-border logistic services. Customs brokerage services are now coupled with multimodal transportation. Sustainability is at the forefront of the company’s vision through alternative fuel vehicles and carbon offset initiatives. Furthermore, the SME-supporting initiative flexes freight services and digital shipment management tools for SMEs.
   
• DHL has focused on deploying electric and biofuel-powered trucks, which are shifts toward green logistic investments, to enhance their positioning in emerging markets. The expanding infrastructure in green logistics strengthens last-mile delivery in these markets. Collaborations with freight marketplaces aids in improving load consolidation while reducing cost and emissions. Alongside competitive tailored road freight services, predictive analytics set methodology offers new and improved customer-centric solution focus.
   
• Expansion of cross-border services with guaranteed effortless customs clearance has been coupled with increased focus on seamless delivery in emerging areas through the electrification of fleets. Targeting carbon neutral operations by 2040 has also enabled smoother government collaboration through enhanced AI predictive analytics and road freight tracking. Adding tailored label delivery for bulk shipment assists in expanding the direct focus on FedEx Freight. Optimization of Less-than-Truckload (LTL) services through increased efficiency via network improvements and digital booking also comes from FedEx.
   

Road Freight Services Market Companies

Major players operating in the road freight services industry are:

• C.H. Robinson
• DB Schenker
• DHL Logistics
• DSV
• FedEx
• J.B. Hunt Transport Services
• Kuehne + Nagel
• Ryder System
• UPS Supply Chain Solutions
• XPO Logistics
   

In the road freight services market, most companies are focused on digital transformation, cost efficiency, and sustainability. Companies are employing AI for routing, real-time tracking, and even autonomous trucking as a means to drive efficiency. Fleet electrification and the use of alternative fuels are also gaining support as a means to decrease carbon emissions. Strategic collaboration with third-party logistics (3PL) companies and the incorporation of e-commerce help address last-mile delivery challenges. Furthermore, companies are expanding their networks for cross-border logistics and applying new practices of dynamic pricing to adapt to competitive environments with changing demand.
 

Due to changing demand, companies are also looking to build flexible and scalable systems. Asset-light models for operational expenditure like freight brokerage and digital freight matching platforms are on the rise. Investment in automation and warehouses combined with predictive analytics improve supply chain performance. Also, compliance with regulations and safety on modern fleet operations remains a focus as companies deploy ELDs and telematics to improve fleet management. Also, add more focus on multi-modal integration of logistics services to broaden the value proposition.
 

Road Freight Services Industry News

• In December 2024, China launched a new rail-road freight service aimed at enhancing trade links with ASEAN countries, specifically connecting Chongqing in China to Vientiane in Laos. This initiative is part of China's broader strategy to strengthen its trade relationships in Southeast Asia and improve logistics efficiency. The service integrates rail and road transport, facilitating smoother logistics for goods moving between China and ASEAN nations. It represents a significant enhancement of existing transport routes, which have seen increased freight volumes over recent years.
   
• In July 2024, GEODIS, a global logistics leader, achieved the Transported Asset Protection Association (TAPA) Trucking Security Requirements (TSR) 2023 Level 1 Standard for its cross-border road freight operations between Singapore and Malaysia. This is the highest level of certification awarded by TAPA and marks a first in the international freight forwarding industry for this region. The Level 1 certification validates GEODIS' adherence to stringent security measures, ensuring protection against theft, tampering, and other threats.
   
• In September 2024, Scan Global Logistics (SGL) acquired Blu Logistics Brasil as part of its strategic expansion in Latin America. This acquisition strengthens SGL's presence in Brazil, a key market with substantial economic potential and geographic advantages for international trade. Blu Logistics specializes in air and ocean freight, particularly trade lanes between China, Southeast Asia, and Latin America, making it a valuable addition to SGL's portfolio. SGL has opened new offices in Argentina (Buenos Aires) and Colombia (Bogotá) while enhancing operations in Mexico, Chile, and Peru.
   
• In August 2024, DSV made a significant move to enhance its road freight capabilities by ordering 300 electric trucks from Volvo, as part of its broader strategy to transition towards sustainable transport solutions. This order is one of the largest for electric trucks in the logistics sector and aligns with DSV's commitment to reduce emissions. The new trucks will be integrated into DSV's European operations, contributing to its goal of deploying a total of 2,000 electric trucks by 2030. This initiative reflects DSV's dedication to sustainability and improving operational efficiency.
   

The road freight services market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) and volume (000’ tons) from 2021 to 2034, for the following segments:

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Market, By Service

• Full truckload (FTL)
• Less-than-truckload (LTL)
• Express & parcel services
• Dedicated contract carriage (DCC)
• Intermodal transport

Market, By Vehicle

• Light commercial vehicles (LCVs)
• Medium-duty trucks
• Heavy-duty trucks

Market, By Destination

• Domestic
• International

Market, By End Use

• Retail & E-commerce
• Automotive
• Food & beverage
• Pharmaceuticals & healthcare
• Industrial & manufacturing
• Chemicals & hazardous materials

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • ANZ
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa