The contract logistics market size was valued at US$ 327.09 billion in 2024 and is projected to reach US$ 525.29 billion by 2031; it is expected to grow at a CAGR of 7.2% during 2025-2031.

The outsourcing is a critical segment within the contract logistics market. Outsourcing in contract logistics refers to companies delegating their supply chain and logistics operations-such as warehousing, transportation, inventory management, and order fulfillment-to third-party logistics (3PL) providers. This model allows businesses to focus on core competencies while leveraging specialized logistics expertise, advanced technologies, and scalable infrastructure. For instance, in 2024, Unilever outsourced parts of its European distribution network to a major logistics provider to enhance service efficiency and reduce emissions. Similarly, Walmart has expanded its use of outsourced fulfillment centers to handle e-commerce growth and last-mile delivery pressures. Outsourcing is also prevalent in industries like automotive, where Just-In-Time delivery is critical. A growing number of fashion and retail brands are outsourcing to meet fast-changing consumer demands, particularly in omnichannel environments. Recent shifts toward regional supply chains and sustainability goals have further accelerated the reliance on 3PLs, positioning outsourcing as a strategic tool for competitive and resilient logistics operations.

The US boasts one of the largest and most advanced contract logistics markets globally. With a highly developed transportation infrastructure, robust e-commerce growth, and strong demand from sectors such as retail, automotive, healthcare, and technology, the US offers a mature yet evolving landscape for logistics providers. Third-party logistics (3PL) providers play a pivotal role in managing supply chains, warehousing, and last-mile delivery. Increasing reliance on outsourcing logistics operations enables companies to enhance efficiency and focus on core competencies. In mid-2023, APL CEVA Government Logistics (VA), Crowley Government Services (FL), Intrepid Eagle Logistics (MD), and others were each awarded indefinite-delivery/quantity contracts totaling ~ US$ 710 million to provide commercial port operations and terminal logistics services across US combatant commands worldwide. Further, the technological advancements, automation, and sustainability efforts contribute to innovation and competitiveness in the US contract logistics market.

Germany is a leading hub for contract logistics in Europe, driven by its advanced infrastructure, central location, and strong industrial base. The sector benefits from efficient road, rail, and port networks, supporting streamlined supply chains for automotive, manufacturing, retail, and e-commerce industries. Key players like DHL, DB Schenker, and Kuehne + Nagel operate extensively in the market. High demand for value-added services such as warehousing, packaging, and inventory management supports growth. Technological advancements, automation, and sustainability initiatives are reshaping the landscape. Germany's stable economy, regulatory framework, and skilled workforce make it a strategic choice for contract logistics operations in Europe. In December 2023, Deutsche Bahn (DB) initiated a formal process to divest its logistics arm DB Schenker, aiming to concentrate on core railway infrastructure and reduce debt. Potential bidders were invited by mid-January 2024. The UK logistics landscape remains resilient, with a strong emphasis on innovation, customer service, and integrated technology-driven solutions. In June 2023, the Department for Transport invested an additional ?300,000 ( US$ 0.387 million) into its Generation Logistics campaign (total government investment ?645k ( US$ 0.832 million) over two years. This initiative raised awareness of logistics careers across schools and colleges, securing 2.9 M social media engagements and establishing a network of ~280 logistics ambassadors.

Deutsche Post AG, FedEx Corp, GXO Logistics Inc., United Parcel Service Inc., Nippon Express Co Ltd., GEODIS SA, Ryder System Inc., CMA CGM SA, and DSV AS. are among the key contract logistics market players that are profiled in this market study.

The overall contract logistics market size has been derived using both primary and secondary sources. Exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the contract logistics market size. The process also helps obtain an overview and forecast of the market with respect to all the market segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain analytical insights. This process includes industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the contract logistics market.