Mexico Logistics Market Forecast, Analysis, and Share by 2031
The Mexico logistics market size is projected to reach US$ 224.83 million by 2031 from US$ 135.98 million in 2023. The market is expected to register a CAGR of 6.5% during 2023–2031. The implementation of software solutions and adoption of Big Data analytics would continue to bring key trends in the market in the coming years.
Mexico Logistics Market Analysis
Technological advancements constitute one of the prime factors supporting the logistics market in Mexico. Advanced technologies such as automated guided vehicles (AGVs), artificial intelligence, and cloud technology help logistics companies improve their overall accuracy and efficiency. Advanced technology offers in-depth reporting and analytic capabilities, which can boost the confidence of companies in their logistics supplier partners as well as reduce the overall production and distribution costs drastically. Moving ahead in a customer-centric business, employing skilled workforces, and offering the highest level of services is crucial for logistics providers to gain success while staying competitive in the market they serve.
Mexico Logistics Market Overview
Mexico is an open market economy, and it is considered an emerging economy worldwide. It has 14 Free Trade Agreements (FTA) that involve more than 50 countries, including the US and the EU. Additionally, Mexico is among the only 3 countries (Colombia and Chile being the other 2 participants) from the Latin America region that are members of the OECD, which bolsters its trade activities. Further, the cross-border trade between the US and Mexico is another major factor pushing the growth of freight transportation across their boundaries. Nearshoring holds a promising opportunity for the flourishment of its logistics sector that can lead to greater integration of supply chains and increased trade with the US and Canada. Moreover, more than 490 companies are expected to enter the Mexican market during 2024–2025, which is expected to generate new opportunities for logistics vendors in the coming years as well.
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Mexico Logistics Market: Strategic Insights
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Mexico Logistics Market: Strategic Insights
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Mexico Logistics Market Drivers and Opportunities
Increasing Logistics Flow in US–Mexico Routes Propels Mexico Logistics Market
According to the Bureau of Transportation Statistics, the freight value between the US and Mexico rose by ~2.5% from 2022 to 2023, reaching US$ 798.8 billion. The overall trade values across US–Mexico routes for the past 4 years have been mentioned in the table below, showing moderate growth over the years.
2020 | 2021 | 2022 | 2023 | |
US–Mexico Freight (US$ Billion) | 538.07 | 661.16 | 779.31 | 798.83 |
Source: Bureau of Transportation Statistics
Transportation statistics between the US and Mexico in 2023 for different types of transportation are as follows:
Type | 2023 (US$ Million) |
Truck Transportation | 560,649.67 |
Rail Transportation | 95,364.49 |
Air Transportation | 21,563.29 |
Water Transportation | 91,414.37 |
Source: Bureau of Transportation Statistics
Thus, the rising flow of transportation of goods and service offerings via routes connecting the US to Mexico is one of the major factors driving the growth of the Mexico logistics market
Adoption of Supply Chain Outsourcing Practices to Generate Significant Market Opportunities in Future
Businesses in Mexico tend to outsource the overall supply chain operations to third-, fourth-, and fifth-party logistics (3PL, 4PL, and 5PL, respectively) vendors, which generates new opportunities for the Mexico logistics market players. Mexico serves as an ideal destination for North American businesses, specifically the companies headquartered in the US, seeking to expand their operations. The infrastructure development plans of the Mexican government, which include extensive road networks and modernized ports, are likely to support the efficient flow of goods across US–Mexico borders. Investments in the national infrastructure of Mexico from the government and private companies are likely to boost the country's capacity to handle more international trade in the coming years.
Mexico Logistics Market Report Segmentation Analysis
Key segments that contributed to the derivation of the Mexico logistics market analysis are model, model of transportation, and end user.
- Based on model, the Mexico logistics market is categorized into 1PL, 2PL, 3PL, 4PL, and 5PL. The 3PL segment held the largest market share in 2023.
- In terms of mode of transportation, the Mexico logistics market is divided into railways, airways, roadways, and waterways. The roadways segment dominated the market in 2023.
- In terms of end user, the Mexico logistics market is divided into healthcare, automotive, energy & utilities, aerospace, retail, and others. The others segment dominated the market in 2023.
Mexico Logistics Market Share Analysis
The geographic scope of the Mexico logistics market report offers a detailed country analysis. Mexico's proximity to the US and Canada is one of the significant factors for its logistics growth. The country has emerged as one of the largest automotive manufacturing hubs globally, standing at the seventh position. In addition, with more than 2,500 enterprises specializing in the production of medical devices, Mexico is one of the leading exporters of medical equipment and devices to the US; it ranks eighth among the largest manufacturers of medical devices globally. Increased manufacturing activities in the country offer more significant opportunities for logistics service providers. As a result, many 3PL companies have started their business expansion. For instance, in May 2023, Redwood Logistics, a Chicago-based company, announced the expansion of its operations in Mexico. Such developments have been fueling the growth of the Mexico logistics market.
Mexico Logistics Market Report Scope
Mexico Logistics Market News and Recent Developments
The Mexico logistics market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the developments in the Mexico logistics market are listed below:
- C.H. Robinson announced the opening of a new facility to speed up trade across the Mexican borders amid the growing number of global shippers nearshoring to diversify and fortify their supply chains. This facility is one of the largest cross-docks in Laredo, the nation's No. 1 inland port, where the logistics company has been facilitating global business for more than 30 years. (Source: C.H. Robinson, Press Release, September 2023)
Mexico Logistics Market Report Coverage and Deliverables
The "Mexico Logistics Market Size and Forecast (2021–2031)" report provides a detailed analysis of the market covering below areas:
- Mexico logistics market size and forecast for all the key market segments covered under the scope
- Mexico logistics market trends, as well as market dynamics such as drivers, restraints, and key opportunities
- Detailed PEST and SWOT analysis
- Mexico logistics market analysis covering key market trends, country framework, major players, regulations, and recent market developments
- Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments for the Mexico logistics market
- Detailed company profiles
Report Coverage
Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Segment Covered
This text is related
to segments covered.
Regional Scope
North America, Europe, Asia Pacific, Middle East & Africa, South & Central America
Country Scope
This text is related
to country scope.
Frequently Asked Questions
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1. Introduction
1.1 The Insight Partners Research Report Guidance
1.2 Market Segmentation
2. Executive Summary
2.1 Key Insights
2.2 Market Attractiveness
3. Research Methodology
3.1 Secondary Research
3.2 Primary Research
3.2.1 Hypothesis formulation:
3.2.2 Macro-economic factor analysis:
3.2.3 Developing base number:
3.2.4 Data Triangulation:
3.2.5 Country level data:
4. Mexico Logistics Market Landscape
4.1 Overview
4.2 PEST Analysis
4.3 Ecosystem Analysis
4.4 Highly Travelled Lanes
4.4.1 Waterways Highly Travelled Lane:
4.4.2 Highly Travelled Airways in Mexico:
4.4.3 Major Industries Opting for Truck Transportation:
4.4.4 Key Findings:
4.4.5 Major Truck Ports (Halts)
4.4.5.1 Port of Manzanillo: A Pacific Trade Hub
4.4.5.2 Port of Lázaro Cárdenas: Key Features and Operations
4.4.5.3 Port of Altamira: Industrial and Trade Gateway
4.4.5.4 Port of Veracruz
4.5 Overall Truck Registration in Mexico, 2020-2023:
4.6 Major Industrial Areas in Mexico:
4.6.1 Mexico Automotive Industry
4.6.2 Aviation and Aerospace Manufacturing Industry in Mexico
4.6.3 Medical Device Manufacturing Industry
4.6.4 Apparel & Textile Manufacturing Industry
4.6.5 Consumer Product Manufacturing
5. Mexico Logistics Market – Key Market Dynamics
5.1 Mexico Logistics Market – Key Market Dynamics
5.2 Market Drivers
5.2.1 Increasing Logistics Flow in the US–Mexico Routes
5.2.2 Surge in Demand for Different Commodities
5.3 Market Restraints
5.3.1 Reduced Control of Manufacturers in 3PL Operations
5.4 Market Opportunities
5.4.1 Rising Number of Industrial Warehouses
5.4.2 Surging Number of E-Commerce Users
5.4.3 Adoption of Supply Chain Outsourcing Practices
5.5 Future Trends
5.5.1 Implementation of Software Solutions and Adoption of Big Data Analytics
5.6 Impact of Drivers and Restraints:
6. Mexico Logistics Market Analysis
6.1 Mexico Logistics Market Revenue (US$ Billion), 2021–2031
6.2 Mexico Logistics Market Forecast and Analysis
7. Mexico Logistics Market Analysis – by Model
7.1 1PL
7.1.1 Overview
7.1.2 1PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
7.2 2PL
7.2.1 Overview
7.2.2 2PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
7.3 3PL
7.3.1 Overview
7.3.2 3PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
7.4 4PL
7.4.1 Overview
7.4.2 4PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
7.5 5PL
7.5.1 Overview
7.5.2 5PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
8. Mexico Logistics Market Analysis – by Model of Transportation
8.1 Railways
8.1.1 Overview
8.1.2 Railways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
8.2 Airways
8.2.1 Overview
8.2.2 Airways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
8.3 Roadways
8.3.1 Overview
8.3.2 Roadways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
8.4 Waterways
8.4.1 Overview
8.4.2 Waterways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9. Mexico Logistics Market Analysis – by End User
9.1 Healthcare
9.1.1 Overview
9.1.2 Healthcare: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9.2 Automotive
9.2.1 Overview
9.2.2 Automotive: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9.3 Energy and Utilities
9.3.1 Overview
9.3.2 Energy and Utilities: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9.4 Aerospace
9.4.1 Overview
9.4.2 Aerospace: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9.5 Retail
9.5.1 Overview
9.5.2 Retail: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
9.6 Others
9.6.1 Overview
9.6.2 Others: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
10. Mexico Logistics Market – Country Analysis
10.1 North America
10.1.1 Mexico Logistics Market Breakdown by Countries
11. Competitive Landscape
11.1 Heat Map Analysis by Key Players
11.2 Company Positioning and Concentration
12. Industry Landscape
12.1 Overview
12.2 Market Initiative
12.3 Mergers & Acquisitions
13. Company Profiles
13.1 C H Robinson Worldwide Inc
13.1.1 Key Facts
13.1.2 Business Description
13.1.3 Products and Services
13.1.4 Financial Overview
13.1.5 SWOT Analysis
13.1.6 Key Developments
13.2 DB Schenker
13.2.1 Key Facts
13.2.2 Business Description
13.2.3 Products and Services
13.2.4 Financial Overview
13.2.5 SWOT Analysis
13.2.6 Key Developments
13.3 CEVA Logistics AG
13.3.1 Key Facts
13.3.2 Business Description
13.3.3 Products and Services
13.3.4 Financial Overview
13.3.5 SWOT Analysis
13.3.6 Key Developments
13.4 XPO Inc
13.4.1 Key Facts
13.4.2 Business Description
13.4.3 Products and Services
13.4.4 Financial Overview
13.4.5 SWOT Analysis
13.4.6 Key Developments
13.5 Expeditors International of Washington Inc
13.5.1 Key Facts
13.5.2 Business Description
13.5.3 Products and Services
13.5.4 Financial Overview
13.5.5 SWOT Analysis
13.5.6 Key Developments
13.6 Grupo Mexico SAB de CV
13.6.1 Key Facts
13.6.2 Business Description
13.6.3 Products and Services
13.6.4 Financial Overview
13.6.5 SWOT Analysis
13.6.6 Key Developments
13.7 Rhenus Group
13.7.1 Key Facts
13.7.2 Business Description
13.7.3 Products and Services
13.7.4 Financial Overview
13.7.5 SWOT Analysis
13.7.6 Key Developments
13.8 Mexicom Logistics
13.8.1 Key Facts
13.8.2 Business Description
13.8.3 Products and Services
13.8.4 Financial Overview
13.8.5 SWOT Analysis
13.8.6 Key Developments
13.9 J B Hunt Transport Services Inc
13.9.1 Key Facts
13.9.2 Business Description
13.9.3 Products and Services
13.9.4 Financial Overview
13.9.5 SWOT Analysis
13.9.6 Key Developments
13.10 Penske Automotive Group Inc
13.10.1 Key Facts
13.10.2 Business Description
13.10.3 Products and Services
13.10.4 Financial Overview
13.10.5 SWOT Analysis
13.10.6 Key Developments
13.11 Búho Logistics, Inc.
13.11.1 Key Facts
13.11.2 Business Description
13.11.3 Products and Services
13.11.4 Financial Overview
13.11.5 SWOT Analysis
13.11.6 Key Developments
13.12 ICS VMI GROUP
13.12.1 Key Facts
13.12.2 Business Description
13.12.3 Products and Services
13.12.4 Financial Overview
13.12.5 SWOT Analysis
13.12.6 Key Developments
13.13 WeFreight International Logistics FZCO
13.13.1 Key Facts
13.13.2 Business Description
13.13.3 Products and Services
13.13.4 Financial Overview
13.13.5 SWOT Analysis
13.13.6 Key Developments
13.14 Omni Logistics, LLC
13.14.1 Key Facts
13.14.2 Business Description
13.14.3 Products and Services
13.14.4 Financial Overview
13.14.5 SWOT Analysis
13.14.6 Key Developments
13.15 Deutsche Post AG
13.15.1 Key Facts
13.15.2 Business Description
13.15.3 Products and Services
13.15.4 Financial Overview
13.15.5 SWOT Analysis
13.15.6 Key Developments
14. Appendix
14.1 About The Insight Partners
List of Tables
Table 1. Mexico Logistics Market Segmentation
Table 2. Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Table 3. Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion) – by Model
Table 4. Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion) – by Model Of Transportation
Table 5. Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion) – by End User
Table 6. Heat Map Analysis by Key Players
List of Figures
Figure 1. Mexico Logistics Market Segmentation, by Country
Figure 2. PEST Analysis
Figure 3. Impact Analysis of Drivers and Restraints
Figure 4. Mexico Logistics Market Revenue (US$ Billion), 2021–2031
Figure 5. Mexico Logistics Market Share (%) – by Model, 2023 and 2031
Figure 6. 1PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 7. 2PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 8. 3PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 9. 4PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 10. 5PL: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 11. Mexico Logistics Market Share (%) – by Model of Transportation, 2023 and 2031
Figure 12. Railways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 13. Airways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 14. Roadways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 15. Waterways: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 16. Mexico Logistics Market Share (%) – by End User, 2023 and 2031
Figure 17. Healthcare: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 18. Automotive: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 19. Energy and Utilities: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 20. Aerospace: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 21. Retail: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
Figure 22. Others: Mexico Logistics Market – Revenue and Forecast to 2031 (US$ Billion)
The List of Companies - Mexico Logistics Market
- C H Robinson Worldwide Inc
- DB Schenker
- CEVA Logistics AG
- XPO Inc
- Expeditors International of Washington Inc
- Grupo Mexico SAB de CV
- Rhenus Group
- Mexicom Logistics
- J B Hunt Transport Services Inc
- Penske Automotive Group Inc
- Búho Logistics, Inc.
- ICS VMI GROUP
- WeFreight International Logistics FZCO
- Omni Logistics, LLC
- Deutsche Post AG
The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.
- Data Collection and Secondary Research:
As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.
Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.
- Primary Research:
The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.
For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.
A typical research interview fulfils the following functions:
- Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
- Validates and strengthens in-house secondary research findings
- Develops the analysis team’s expertise and market understanding
Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:
- Industry participants: VPs, business development managers, market intelligence managers and national sales managers
- Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.
Below is the breakup of our primary respondents by company, designation, and region:
Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.
- Data Analysis:
Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.
- 3.1 Macro-Economic Factor Analysis:
We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.
- 3.2 Country Level Data:
Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.
- 3.3 Company Profile:
The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.
- 3.4 Developing Base Number:
Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.
- Data Triangulation and Final Review:
The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.
We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.
We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.
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