Saudi Arabia Freight and Logistics Market and Forecast to 2030 - Analysis by Service Type (Freight Transport, Warehousing and Cold Chain), Mode of Transportation, 3PL, E-Commerce Logistics, CEP Services, End-Use Industry and Geography

Saudi Arabia Freight and Logistics Market Size

The Saudi Arabia freight and logistics market has grown steadily in recent years, supported by rising trade volumes, e-commerce expansion, and continued investment in transport infrastructure. The sector currently accounts for approximately 6% of the country's GDP. Under Vision 2030, Saudi Arabia targets raising this share to 10% of GDP by 2030, positioning logistics as a core driver of economic diversification.

Key Drivers Shaping the Saudi Arabia Logistics Market

Several structural and policy-driven factors are fuelling growth across the Saudi Arabia freight and logistics market, spanning infrastructure development, digital commerce, and global connectivity.

Vision 2030 Logistics Transformation Driving Infrastructure Expansion

Saudi Arabia's economic diversification programme is accelerating capital investment across ports, airports, railways, and dedicated logistics zones. These developments are designed to establish the Kingdom as a competitive global logistics hub, generating sustained demand for freight transport and warehousing services across the logistics and supply chain sector.

Rising E-commerce Activity Boosting Last-Mile Delivery Demand

The rapid growth of digital commerce is intensifying demand for courier, express, and last-mile delivery services within the Saudi Arabia e-commerce logistics market. In a single quarter of 2025, more than 50 million parcels were delivered domestically, illustrating the scale and pace of expansion in parcel delivery and fulfilment activity across the Kingdom.

Government Infrastructure Investment Strengthening Logistics Capacity

Saudi Arabia is committing significant public capital to logistics infrastructure development, including SAR 10 billion allocated to logistics parks and port expansion projects. These investments are aimed at increasing supply chain capacity and reinforcing the Kingdom's trade connectivity with regional and international markets.

Air Cargo Expansion Deepening Saudi Arabia's Global Logistics Reach

New cargo operations, including those launched by Riyadh Air, are set to materially expand air freight capacity in the Kingdom. The airline plans to operate more than 120 wide-body aircraft serving over 100 international destinations by 2030, a development that is expected to strengthen Saudi Arabia's position within global supply chains and broaden the reach of its international freight transport network.

Saudi Arabia Freight and Logistics Industry Insights

Saudi Arabia Logistics Market Growth - Infrastructure Expansion and Strategic Trade Position

The Saudi Arabia logistics and warehousing market is undergoing rapid structural transformation, driven by large-scale infrastructure development, port modernisation, airport-linked logistics zones, and the expansion of industrial cities. This investment-led growth trajectory delivered a double-digit CAGR for the Saudi Arabia logistics market between 2021 and 2025.

Saudi Arabia's geographic position along the Arabian Gulf and the Red Sea - corridors through which nearly 13% of global trade flows, further reinforces the Kingdom's standing as a critical logistics and transportation hub within international freight and supply chain networks.

Western Region - Leading Geography in the Saudi Arabia Logistics and Warehousing Market

The Western Region holds the largest geographic share of the Saudi Arabia logistics and warehousing market, driven by a high concentration of activated logistics centres and port-linked infrastructure. According to the 2024 Warehousing and Logistics Statistics, the Kingdom operated 23 activated logistics centres spanning approximately 34.6 million m², with the Makkah Region alone accounting for around 20.4 million m² across six logistics centres. The region's dominant position is further supported by its access to major Red Sea trade gateways and port-connected logistics zones, which underpin its central role in Saudi Arabia's freight and logistics network.

Strategic Investments and Developments in the Saudi Arabia Freight and Logistics Market

Bahri (National Shipping Company of Saudi Arabia) - In 2026, Bahri signed a Letter of Intent with Hadeed to explore collaboration in maritime transport solutions.

DHL Saudi Arabia Logistics - In 2025, DHL Supply Chain announced a EUR 130 million investment to develop a new 70,000+ m2 warehouse and distribution hub in Riyadh, Saudi Arabia aimed to enhance logistics infrastructure and support regional supply chain capacity, across key industries in the Kingdom.

Mohammed Said Tamer Logistic Services Co. Ltd. - In 2025, Tamer Group commenced development of the USD 200 million Tamer Logistics Park in Riyadh, scheduled for launch in early 2026. The facility incorporates solar power systems and AutoStore automated retrieval technology, reflecting broader trends in digital logistics transformation and sustainable warehousing across the Kingdom. 

Almajdouie Logistics Company (MLC) - In 2024, Almajdouie Logistics finalised a joint venture with CEVA Logistics, consolidating their respective transportation and logistics operations in Saudi Arabia. The arrangement combines Almajdouie's domestic infrastructure with CEVA's international network, strengthening integrated contract logistics and 3PL service delivery for customers operating across the Kingdom.

Funding Activity in the Saudi Arabia Logistics Market

• In 2026, Saudi fleet logistics startup Viero raised USD 1.2 million to scale its on-demand fleet management and delivery platform, strengthen operations, and support market expansion across Saudi Arabia.

• In 2025, logistics technology platform Logexa secured USD 2 million from Nour Nouf Ventures and angel investors to expand its warehouse and transport optimisation solutions across the Kingdom.

• In 2025, Saudi logistics startup PieShip raised USD 2.1 million in seed funding to expand its delivery-as-a-service platform, enhance technology capabilities, and grow its operational footprint across Saudi Arabia.

Scope of the Study for Saudi Arabia Freight and Logistics Market

Makreo Research has published a comprehensive report titled "Saudi Arabia Freight and Logistics Market Size and Forecast (2021-2030) - Analysis by Service Type (Freight Transport, Warehousing and Cold Chain), Mode of Transportation, 3PL, E-Commerce Logistics, CEP Services, End-Use Industry and Geography", The report provides a structured, in-depth evaluation of the Kingdom's logistics ecosystem, covering historical performance, current market dynamics, and forward-looking projections through 2030.

The report begins by evaluating the overall development of the Saudi logistics sector, focusing on key structural elements shaping the industry, including:

Saudi Arabia Logistics Market Revenue Analysis

The report opens with a detailed assessment of Saudi Arabia logistics market revenue, examining historical trends alongside current market size. It presents a comprehensive segmentation analysis that identifies structural variations and demand patterns across service categories and geographic regions within the Kingdom.

Saudi Arabia Freight Transport Market - Modal Analysis and Infrastructure Assessment

• The study evaluates Saudi Arabia's freight transport market across road, air, maritime, and rail freight segments, covering both historical and current performance trends.

• Each mode is assessed through operational metrics including cargo throughput, fleet capacity, port infrastructure expansion, transhipment activity, and logistics corridor development.

• Dedicated analysis covers port performance indicators, cargo volumes, efficiency benchmarks, and infrastructure developments across the Kingdom's principal maritime gateways and logistics hubs in Riyadh, Jeddah, and Dammam.

Saudi Arabia Warehousing, Cold Chain, and Logistics Services Market Analysis

• The report examines the Saudi Arabia warehousing market and cold chain logistics sector, assessing storage capacity expansion, regional supply distribution, and industry-specific demand across retail, pharmaceuticals, food, and manufacturing.

• Separate sections cover third-party logistics (3PL), e-commerce logistics, and courier, express, and parcel (CEP) services, evaluating order volumes, parcel delivery performance, provincial demand patterns, and evolving service capabilities across logistics providers operating in Saudi Arabia.

Competitive Landscape and Saudi Arabia Logistics Market Key Players

• A dedicated section benchmarks leading logistics companies in Saudi Arabia across logistics space, fleet size, multimodal service coverage, operational capabilities, and service quality indicators.

• Detailed company profiles are included for leading logistics operators, highlighting business overviews, financial performance, strategic initiatives, infrastructure expansion, and long-term growth strategies.

• The report also examines mergers, acquisitions, investments, and funding activity reshaping the competitive dynamics of the Saudi Arabia logistics industry.

Saudi Arabia Logistics Market Future Outlook and Strategic Considerations

• The report concludes with forward-looking projections across freight transportation, warehousing, cold chain logistics, 3PL, e-commerce logistics, and CEP markets through 2030.

• It identifies emerging opportunities, infrastructure expansion plans, prevailing challenges, and structural shifts expected to influence the Saudi Arabia logistics market through the forecast period.

Saudi Arabia Freight and Logistics Market Segmentation

Geography Assessed

Companies Covered in the Saudi Arabia Logistics Market

The study covers a total of 17 Saudi Arabia Freight and Logistics Market companies. To know more, please reach out to sales@makreo.com