United States (USA) Freight Forwarding Market Overview, 2029

United States (USA) Freight Forwarding Market Overview, 2029

The freight forwarding market in the USA is a vital component of the nation’s logistics and supply chain industry, playing a crucial role in facilitating both domestic and international trade. As one of the largest and most developed markets globally, it encompasses a diverse range of services including transportation, warehousing, customs brokerage, and supply chain management. The market is characterized by a mix of large multinational corporations, such as FedEx and UPS, and numerous smaller, specialized firms that cater to various industry needs. US freight forwarding market reflects the sector’s adaptation to evolving trade dynamics and technological advancements. One significant trend is the growing adoption of digital technologies and automation. The integration of digital freight platforms, real-time tracking systems, and blockchain technology has enhanced operational efficiency, transparency, and security. These innovations streamline processes, reduce costs, and improve customer satisfaction, positioning the US market as a leader in logistics technology. The exponential growth of online retail has increased the demand for fast and reliable shipping solutions. Freight forwarders in the USA have expanded their capabilities to manage the complexities of e-commerce logistics, including last-mile delivery and reverse logistics. This adaptation has been crucial in meeting consumer expectations for rapid and accurate delivery. US market has seen a focus on sustainability and green logistics. With increasing environmental awareness, freight forwarders are adopting eco-friendly practices such as optimizing routes to reduce carbon emissions, investing in electric vehicles, and utilizing energy-efficient warehouses. These efforts align with broader sustainability goals and appeal to environmentally conscious consumers and businesses. The US government’s investment in infrastructure also plays a pivotal role in the market’s development. Initiatives to upgrade ports, highways, and rail networks improve the efficiency and capacity of freight transportation, supporting the growth of the freight forwarding industry.

According to the research report ""USA Freight Forward Market Overview, 2029,"" published by Bonafide Research, the USA Freight Forward Market is projected to value at more than USD 58 Billion from 2024 to 2029. As the USA remains a major player in the global economy, the demand for efficient and reliable transportation of goods across borders has surged. This necessitates the services of freight forwarders who can navigate complex customs regulations and coordinate multimodal transport solutions. The rise of online shopping has transformed consumer purchasing behaviors, leading to a massive increase in the volume of goods needing to be transported. Freight forwarders have expanded their capabilities to manage the logistics of e-commerce, including handling high volumes of small parcel shipments, managing returns, and ensuring fast delivery times, which are critical in the competitive retail landscape. Technological advancements have also played a crucial role in the market’s growth. The adoption of digital platforms, real-time tracking systems, and blockchain technology has revolutionized the logistics industry by improving efficiency, transparency, and security. These innovations streamline processes, reduce costs, and enhance customer satisfaction, making freight forwarding services more attractive to businesses. The emphasis on sustainability and green logistics has driven growth. As environmental concerns become more prominent, freight forwarders are adopting eco-friendly practices, such as optimizing routes to reduce carbon emissions, investing in electric vehicles, and utilizing energy-efficient warehouses. These sustainable practices not only align with regulatory requirements but also appeal to environmentally conscious consumers and businesses.

The By End-User segment categorizes the freight forwarding market based on the industries or sectors that utilize these services. This includes sectors like Industrial & Manufacturing, Retail and E-commerce, Automotive, Consumer Goods, Healthcare, and others. Each sector has specific requirements and characteristics that influence the type and volume of freight forwarding services needed. For instance, the Retail and E-commerce sector demands efficient logistics to handle large volumes of goods and fast delivery times, whereas the Healthcare sector requires stringent control over the transportation environment to maintain the integrity of medical supplies.

The By Service Type segment divides the freight forwarding market according to the different types of services offered by providers. This includes Transportation and Warehousing, Packaging, Documentation, and Value-added Services. Transportation and Warehousing involve the movement and storage of goods, Packaging ensures goods are adequately protected during transit, Documentation involves the necessary paperwork and compliance for international shipping, and Value-added Services include additional offerings like cargo insurance, customs clearance, and supply chain consulting, which enhance the overall logistics process.

The By Transport Mode segment categorizes the market based on the different modes of transportation used in freight forwarding. These modes include Ocean Freight Forwarding, Air Freight Forwarding, Road Freight Forwarding, and Rail Freight Forwarding. Each mode has its advantages and is chosen based on factors like cost, speed, and the nature of goods being transported. For example, Ocean Freight is cost-effective for large volumes of goods but slower, whereas Air Freight is faster but more expensive, making it suitable for high-value or time-sensitive items.

The By Customer Type segment divides the market based on the nature of the customers using freight forwarding services. This includes B2B (Business to Business) and B2C (Business to Consumer). B2B customers typically involve businesses that require the movement of goods as part of their supply chain operations, such as manufacturers and wholesalers. In contrast, B2C customers involve companies that deliver products directly to consumers, such as online retailers. The logistics requirements for B2B and B2C can differ significantly, with B2C often focusing on last-mile delivery and customer satisfaction.

The freight forwarding market in the USA is primarily regulated by various government agencies, ensuring compliance with international trade laws and maintaining industry standards. Key regulatory bodies include the Federal Maritime Commission (FMC), which oversees ocean freight forwarders and ensures fair competition and integrity in the shipping industry. The Federal Motor Carrier Safety Administration (FMCSA) regulates domestic trucking and freight transportation, focusing on safety and operational standards. Additionally, U.S. Customs and Border Protection (CBP) plays a crucial role in regulating customs brokerage and ensuring compliance with import and export laws. While the market is dominated by private players, with major companies like FedEx, UPS, and numerous specialized firms leading the industry, government intervention is significant. Regulatory bodies establish and enforce rules that freight forwarders must adhere to, ensuring the safe, secure, and efficient movement of goods. This regulatory framework helps maintain fair competition and protects the interests of consumers and businesses alike. The USA is also a party to various international treaties and trade agreements that impact the freight forwarding market. Agreements such as the United States-Mexico-Canada Agreement (USMCA) facilitate smoother and more efficient trade between member countries by reducing trade barriers and harmonizing regulations. Additionally, the USA’s participation in the World Trade Organization (WTO) ensures adherence to global trade rules, promoting fair and predictable trade practices. These agreements and treaties play a crucial role in shaping the operational landscape for freight forwarders, providing a structured framework for international trade and logistics. They help reduce logistical complexities, lower costs, and create opportunities for growth in the freight forwarding market by ensuring that trade flows smoothly and efficiently across borders.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Freight Forwarding market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By End-User
• Industrial & Manufacturing
• Retail and E-commerce
• Automotive
• Consumer Goods
• Healthcare
• Others

By Service Type
• Transportation and Warehousing
• Packaging
• Documentation
• Value-added Services

By Transport Mode
• Ocean Freight forwarding
• Air Freight forwarding
• Road Freight forwarding
• Rail Freight forwarding

By Customer Type
• B2B
• B2C

The approach of the report:

This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Freight Forwarding industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.