Market Size of UAE Logistics is expected to show a decent growth trajectory from 2021 to 2026 at CAGR of 7.4%. This is mainly due to rapid infrastructural development which has led to services being able to reach previously inaccessible regions.

The UAE logistics market value reached USD 62.08 Billion in 2024. The market is further projected to grow at a CAGR of 5.50% between 2025 and 2034, reaching a value of USD 106.04 Billion by 2034. The rising demand for e-commerce, as well as improved trade facilities, are driving growth in the market. The progressive government policies, especially in infrastructure development, are one of the main reasons for the boost in logistics capabilities. The industry benefits from the country's strategic location linking up global markets, hence, this sector continues to grow, fueled by soaring demand. Technological breakthroughs and high-speed practices in supply chain processes have also driven market growth, making the country an increasingly important trade hub. The sector are well positioned for growth over the forecast period.

The UAE Freight And Logistics Market report segments the industry into End User Industry (Agriculture, Fishing, and Forestry, Construction, Manufacturing, Oil and Gas, Mining and Quarrying, Wholesale and Retail Trade, Others) and Logistics Function (Courier, Express, and Parcel (CEP), Freight Forwarding, Freight Transport, Warehousing and Storage, Other Services).

The logistics market in the United Arab Emirates (UAE) was expected to exceed ** billion U.S. dollars by 2026. The logistics sector contributes approximately eight percent to the national GDP.

The United Arab Emirates Contract Logistics Market Report is Segmented by Type (Outsourced and Insourced), by End User (Manufacturing and Automotive, Consumer Goods and Retail, High-Tech, Healthcare, Pharmaceuticals, Chemicals, Petro Chemicals and Other End Users) and by Country. The Report Offers the UAE Contract Logistics Market Size and Forecasts in Values (USD) for all the Above Segments.

The UAE logistics industry was valued at a market size of USD 30 billion in 2023. The growth is driven by the expanding pharmaceutical and e-commerce sectors, alongside advancements in technology and government initiatives enhancing infrastructure, particularly in freight forwarding, warehousing, and CEP segments.

Market Size, Trends, Segmentation, and Future Outlook Across Key Sectors Base Year : 2024

The UAE Cold Chain Logistics Market report segments the industry into By Services (Storage, Transportation, Value Added Services (Blast Freezing, Labeling, and Inventory Management)), By Temperature Type (Chilled, Frozen, Ambient), and By End Users (Horticulture (Fresh Fruits and Vegetables), Dairy Products (Milk, Ice-cream, Butter, etc.), Meats, Fish, and Poultry, Processed Food Products, and more.)

It was forecasted that the logistics market in the United Arab Emirates (UAE) would exceed ** billion U.S. dollars in 2026. Qatar was leading the GCC market with the highest expected cumulative annual growth rate between 2020 and 2026, followed by Saudi Arabia.

The United Arab Emirates (UAE) freight and logistics market, valued at approximately $XX million in 2025, is projected to experience robust growth, exhibiting a Compound Annual Growth Rate (CAGR) of 5.98% from 2025 to 2033. This expansion is fueled by several key drivers. The UAE's strategic geographical location as a global trade hub, coupled with its well-developed infrastructure including advanced ports, airports, and road networks, significantly contributes to the market's dynamism. Furthermore, the nation's commitment to diversifying its economy beyond oil, coupled with burgeoning e-commerce and the expansion of its industrial sectors, particularly manufacturing and construction, fuels increasing demand for efficient logistics solutions. The growth is further amplified by government initiatives promoting trade facilitation and the adoption of technological advancements such as automation and digitalization within the logistics sector. While challenges such as fluctuating fuel prices and global economic uncertainties exist, the overall market outlook remains positive, driven by consistent investment in infrastructure and the UAE's enduring position as a pivotal player in global trade. Significant segmentation within the UAE freight and logistics market is observed across end-user industries (Agriculture, Fishing, and Forestry; Construction; Manufacturing; Oil and Gas; Mining and Quarrying; Wholesale and Retail Trade; Others), logistics functions (Courier, Express, and Parcel (CEP); Freight Forwarding; Freight Transport; Warehousing and Storage; Other Services), and destination types (domestic and international). The growth across segments will vary depending on the specific industry's growth trajectory and technological adoption rates. For instance, the e-commerce boom is likely to significantly boost the CEP segment, while the growth of the industrial sectors will drive demand in freight forwarding and warehousing. The increasing focus on temperature-controlled warehousing to cater to the growing demand for perishable goods will be another notable trend. Competition within the market is fierce, with both international giants and local players vying for market share, leading to innovation and efficiency improvements across the board. This competitive landscape, combined with the strong growth drivers, ensures a vibrant and dynamic market for the foreseeable future. Recent developments include: March 2024: Aramex had introduced a fleet of fully electric motorcycles to its last-mile delivery vehicles in the United Arab Emirates (UAE). This initiative is part of Aramex’s long-term strategic goal to achieve a total fleet of 98% Electric Vehicles (EVs) by 2030, aligned with Science Based Targets initiative (SBTi) target that Aramex is committed to. The e-bikes were introduced after intensive testing of several different models and manufacturers, and Aramex finalized the selected model based on its enduring performance and stability, particularly in local weather conditions.January 2024: Kuehne + Nagel has announced its Book & Claim insetting solution for electric vehicles, to improve its decarbonization solutions. Developing Book & Claim insetting solutions for road freight was a strategic priority for Kuehne + Nagel. Customers who use Kuehne + Nagel's road transport services can now claim the carbon reductions of electric trucks when it is not possible to physically move their goods on these vehicles.January 2024: Odys Aviation, a sustainable aviation company building hybrid-electric vertical take-off and landing (VTOL) aircraft and Aramex have entered into a partnership to develop cargo operations in the UAE, Oman and further afield in the region. Under the terms of the partnership, Odys Aviation and Aramex intend to collaborate on the development of autonomous logistics programs which will ultimately introduce cargo flights leveraging Odys Aviation’s cargo aircraft and Aramex’s fleet management capabilities.. Key drivers for this market are: Growing trade relations, Increased demand for perishable goods. Potential restraints include: Cargo theft, High cost of maintainig. Notable trends are: OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT.

The UAE Chemical Logistics Market report segments the industry into By Service (Transportation, Warehousing, Distribution, and Inventory Management, Other Services), By Mode of Transportation (Roadways, Railways, Airways, Waterways, Pipelines), and By End User (Pharmaceutical Industry, Cosmetic Industry, Oil and Gas Industry, Specialty Chemicals Industry, Other End Users).

This statistic depicts the market size of the logistics sector in the United Arab Emirates (UAE) from 2013 to 2015. In 2015, the logistics market in the UAE was worth *** billion U.S. dollars, compared to *** billion U.S. dollars in 2014.

The competition in the Logistics space in the UAE can be divided on the basis of different service segments including Freight Forwarding, Contract Logistics (Warehousing) and Express Delivery.

UAE Logistics Market growth is driven by e-commerce growth, globalization, and technological advancements, the logistics sector is becoming increasingly digitized and agile.

The United Arab Emirates (UAE) freight and logistics market is experiencing robust growth, driven by the country's strategic location, expanding e-commerce sector, and burgeoning tourism industry. The market's size in 2025 is estimated at $25 billion, reflecting a significant increase from previous years. This expansion is fueled by several key factors. Firstly, the UAE's robust infrastructure, including advanced ports, airports, and road networks, facilitates efficient goods movement. Secondly, the government's commitment to diversifying the economy beyond oil and gas has spurred investments in logistics infrastructure and technology. The rise of e-commerce significantly increases demand for last-mile delivery solutions, further boosting the market. Finally, the UAE's position as a major global trade hub attracts significant foreign investment and international trade, contributing to increased freight volumes. Key segments within the market include courier, express, and parcel (CEP) services, freight forwarding, freight transport, and warehousing and storage. The domestic market is considerably larger than the international segment, reflecting strong internal trade and consumption patterns. The continued growth in e-commerce, coupled with government initiatives to improve efficiency and integrate technology, suggests a positive outlook for the UAE freight and logistics sector in the coming years. While challenges like fluctuating fuel prices and global economic uncertainty may exist, the UAE's proactive approach to market development positions it for continued expansion and a significant increase in market value by 2033, potentially exceeding $40 Billion, assuming a conservative CAGR of 5%. This growth will be particularly noticeable within the road freight and warehousing sectors, benefiting from e-commerce expansion and the need for efficient last-mile delivery solutions. The competitive landscape is highly fragmented, with both international giants and local players competing for market share. Companies like DHL, DP World, and Aramex hold substantial market presence alongside significant regional players and SMEs focused on niche segments. Consolidation and strategic partnerships are expected to be a key trend, with companies seeking to expand their service offerings and geographical reach. Technological advancements, such as the adoption of blockchain technology for supply chain transparency and artificial intelligence for route optimization and predictive analytics, are transforming the industry and leading to greater efficiency and cost savings. The focus on sustainability and environmental considerations will also influence future growth, with companies increasingly investing in greener logistics solutions to meet rising demand for environmentally responsible operations. Recent developments include: March 2024: Aramex had introduced a fleet of fully electric motorcycles to its last-mile delivery vehicles in the United Arab Emirates (UAE). This initiative is part of Aramex’s long-term strategic goal to achieve a total fleet of 98% Electric Vehicles (EVs) by 2030, aligned with Science Based Targets initiative (SBTi) target that Aramex is committed to. The e-bikes were introduced after intensive testing of several different models and manufacturers, and Aramex finalized the selected model based on its enduring performance and stability, particularly in local weather conditions.January 2024: Kuehne + Nagel has announced its Book & Claim insetting solution for electric vehicles, to improve its decarbonization solutions. Developing Book & Claim insetting solutions for road freight was a strategic priority for Kuehne + Nagel. Customers who use Kuehne + Nagel's road transport services can now claim the carbon reductions of electric trucks when it is not possible to physically move their goods on these vehicles.January 2024: Odys Aviation, a sustainable aviation company building hybrid-electric vertical take-off and landing (VTOL) aircraft and Aramex have entered into a partnership to develop cargo operations in the UAE, Oman and further afield in the region. Under the terms of the partnership, Odys Aviation and Aramex intend to collaborate on the development of autonomous logistics programs which will ultimately introduce cargo flights leveraging Odys Aviation’s cargo aircraft and Aramex’s fleet management capabilities.. Notable trends are: OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT.

This statistic depicts the distribution of the logistics market in the United Arab Emirates (UAE) between 2013 and 2015, by subsector. In that year, the greatest share amongst all subsectors of the logistics market in the UAE was freight forwarding, at ** percent. The estimated total value of the logistic market in the Gulf Cooperation Council for 2015 was *** billion U.S. dollars.

The United Arab Emirates (UAE) Third-Party Logistics (3PL) Market Report is Segmented by Service (Domestic Transportation Management, International Transportation Management, and More), by End User (Automotive, Energy and Utilities, Manufacturing and More), by Logistics Model (Asset-Light, Asset-Heavy, and Hybrid), by Region (Dubai, Abu Dhabi, Sharjah, Rest of UAE). The Market Forecasts are Provided in Terms of Value (USD).

Foreign Direct investments in 2016-2018 is estimated to be USD 139 Billion leading to total foreign direct investments of USD 139 Billion in UAE.

Explore UAE retail logistics market size, CAGR, key drivers like e‑commerce, 3PL, sustainability & tech trends shaping growth through 2032.

The UAE contract logistics market, exhibiting a robust CAGR of 6.00%, presents significant growth opportunities. Driven by the burgeoning e-commerce sector, increasing foreign direct investment (FDI), and the nation's strategic location facilitating regional trade, the market is poised for substantial expansion. The outsourcing of logistics functions by businesses across diverse sectors, including manufacturing, automotive, consumer goods, and healthcare, fuels market demand. While the market is fragmented, larger players like DHL, Al-Futtaim Logistics, and Agility Logistics hold significant market share, leveraging their extensive networks and technological capabilities. Growth is further propelled by the UAE's focus on infrastructure development and the government's initiatives promoting ease of doing business. The dominance of certain end-user segments, particularly e-commerce and retail, highlights the potential for specialized logistics solutions. Challenges include fluctuating fuel prices, stringent regulations, and competition from regional players. Nevertheless, the long-term outlook remains positive, given the UAE's commitment to economic diversification and its strategic importance as a global trade hub. Growth in the UAE contract logistics market is expected to continue at a steady pace over the forecast period (2025-2033). While precise market sizing for the UAE is unavailable from the provided data, we can reasonably infer a substantial value based on the global CAGR and regional trends. The segment breakdown reveals significant contributions from outsourced logistics, indicating a preference for specialized expertise. Geographic distribution likely mirrors the overall economic activity within the UAE, with major urban centers experiencing higher concentration. Future growth will depend on the continued expansion of e-commerce, the success of government diversification strategies, and the capacity of logistics providers to adapt to technological advancements and evolving customer demands. Sustainable practices and supply chain resilience will also become increasingly important aspects of the market. Recent developments include: March 2023: To improve supply chain sustainability and efficiency, Aramco and contract logistics provider DHL Supply Chain have inked a shareholders' agreement for a new procurement and logistics hub in Saudi Arabia. The joint venture will offer complete integrated procurement and supply chain services to businesses in the industrial, energy, chemical, and petrochemical sectors once it becomes operational in 2025. The new center will concentrate on the Kingdom first, with aspirations to spread throughout the MENA region. The joint venture aims to implement supply chain, transportation, and warehousing solutions that are more environmentally friendly as well as industry best practices in procurement and supply chain management., November 2022: To increase its warehousing capacity in the region, DSV, a freight forwarder and top global logistics provider, launched a 14,000 square-meter logistics facility today (November 15) in Bahrain Logistics Zone in Hidd. The new facility provides options for high-value cargo as well as solutions for contract logistics with ambient, chilled, and frozen storage. It will provide Bahrain-based producers of fast-moving consumer goods with secure records management services, storage, and turnkey logistics.. Key drivers for this market are: Rise In E commerce, Increase Demand for Efficient and Cost Effective Supply Chain. Potential restraints include: Rise In E commerce, Increase Demand for Efficient and Cost Effective Supply Chain. Notable trends are: Growth in E-commerce Driving the Market.