# **The Logistics Industry In Malaysia Is Expected To Contribute More Than $350 Bn By 2027F Owing To The Government Initiatives To Improve Cross Border Infrastructure And Malaysia’s Growing Ftas: Ken Research**
Malaysia’s Logistics Market is in the growing stage, being driven by rising demand from manufacturing industries. There are several players in the **[Malaysia Logistics market](https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/malaysia-logistics-market-outlook-to-2027/596231-100.html)** some of which are DHL, TASCO, Nippon Express, CEVA, DB Schenker, Kuehne + Nagel, Tiong Nam, UPS, and FedEx.
Strengthening the connectivity in North–South of the West Coast and East Coast Corridor by the government of Malaysia will boost the efficiency of road transportation in the country.
Rapidly modernizing retail, e-commerce, and a growing automotive sector to provide opportunities for contract logistics and express providers.
Demand for Pharmaceutical products along with FMCG and Food products during the COVID-19 pandemic contributed to the high growth of Land Transportation during 2020.

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**Improving Road Transportation and Warehousing Infrastructure:** As major players adopt robotics technology, the warehousing industry will see an increase in the use of technology and automation. EDI (Electronic Data Interchange) and RFID (Radio Frequency Identification) technology will aid in efficient inventory management. To enhance the technological capacity of the logistic market the Malaysian government’s investments and initiatives in infrastructure connecting the country with Lao PDR and various parts of China would fuel the future growth of road and rail freight services.
**High Demand for Road and Sea Transportation:** Road Transport in Malaysia is the most preferred mode of transportation and will continue to be so in 2027F. Water transportation is also expected to grow in the future as high infrastructure investment is undertaken by the government to improve the state of maritime logistics in the country. Demand for Road transportation from manufacturing sector, FMCG companies, and automotive players is rapidly increasing in Malaysia due to increasing production capacities by top players in the country. Moreover, many new players are expected to enter the market while the existing players are expected to expand their current revenue share. The freight forwarding companies in Malaysia are also expected to improve their supply chain and technology in the future.
**Increasing Inflow of Investments:** In the upcoming years due to the increase in outsourcing by various businesses and the quick delivery options offered by 3PL providers, the market is anticipated to expand at a significant rate. The supply chain's optimization and corporate efforts to reduce costs are anticipated to fuel market expansion. Additionally, a supportive environment for 3PL businesses in Malaysia is expected to draw more foreign competitors, fostering competitiveness and opening up new market prospects.
Analysts at Ken Research in their latest publication “Malaysia Logistics Market Outlook to 2027F- Driven by the Rising Demand from Manufacturing, F&B, Retail, and other industries along with increasing Government Initiatives to Strengthen the Logistics Infrastructure” observed that Malaysia Logistics Market is in its growing phase. Increasing demand for food, beverages, and manufacturing products in Malaysia, Government support through Third Industrial Masterplan (IMP3) and the Logistics and Trade Facilitation Masterplan are some of the factors that will contribute to the Malaysia Logistics Market growth over the period of 2022-2027F with a CAGR of 7.8%.
Key Segments Covered in the report:-
**Malaysia Logistic Market**
**Market Segmentation by Services**
Freight Forwarding
Warehousing
Courier and Parcel Activities
Value Added Services
**Malaysia Freight Forwarding Market**
**By Mode of Transport**
Land Transport
Water Transport
Air Transport
**Malaysia Land Transportation Market**
By Mode of Transport
Road
Rail
**By Mode of Shipment**
Domestic
International
By Load Type
FTL
LTL
**By 3PL and Integrated**
Integrated
3PL
**Malaysia Warehousing Market**
By Business Model
Industrial Freight/Retail
Container Freight
Cold Storage
Agriculture and Others
**Industrial warehouses bifurcation**
Grade A
Grade B
Grade C
**By Region**
Central
Northern
Southern
Eastern Coast & East Malaysia
**By Type of Warehouses**
Unorganized
Organized
**By 3PL and Integrated**
Integrated
3PL
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**By End Users**
Food and Beverages
Pharmaceutical/Healthcare
Electronics
Automotive
Manufacturing
Others
**Malaysia 3PL Market**
By Service Mix
Road Freight
Warehousing
**By End Users**
Food & Beverage
Manufacturing
Electronics
Retail
Healthcare
Automotive (Spare Parts, Components)
Others
**Malaysia Courier and Parcel Market**
By International and Domestic Shipments
Domestic
International
**By Air and Ground Express**
Ground Express
Air Express
By Delivery Period
One Day Delivery
Two Day Delivery
Three Day Delivery
More than three-day delivery
**By Delivery Period**
B2B
B2C
C2C
**By Region**
Central
Southern
Northern
Eastern Coast and East Malaysia
**Key Target Audience**
Total Logistics Companies
Contract Logistics Providers
E-commerce Companies
Third-Party Logistic Providers
Potential Market Entrants
Freight Forwarding Companies
Warehousing Companies
Cold Storage Companies
Industry Associations
Consulting Agencies
Government Bodies & Regulating Authorities
**Time Period Captured in the Report:-**
Historical Period: 2017-2022
Base Period: 2022
Forecast Period: 2022-2027F
**Companies Covered:-**
DHL
TASCO
Nippon Express
CEVA
DB Schenker
Kuehne + Nagel
Tiong Nam
UPS
FedEx
POS Malaysia
CJ Logistics
GD Express
JSI Logistics
City-Link Express
FM Logistics
**Key Topics Covered in the Report:-**
Comparative Analysis of Malaysia Logistics Market
Malaysia Logistics Market Size (2017-2022)
Growth Drivers for Malaysia Logistics Market
Major Challenges in Malaysia Logistics Market
SWOT Analysis of the Logistics Market in Malaysia
Malaysia Logistics Future Market Size (2022-2027F)
Malaysia Transportation Market, 2017 – 2027F
Ecosystem – Transportation Market in Malaysia
Transportation Industry – Market Size and Segmentation, 2017-2022
Malaysia Warehousing Market, 2017 – 2027F
Ecosystem and Overview of Warehousing in Malaysia
Market Sizing and Segmentation of the Warehousing Market in Malaysia, 2017-2022
Market Sizing Analysis of 3PL Market in Malaysia, 2022-2027
Malaysia Courier, Express and Parcel Market Ecosystem
Market Sizing Analysis of Malaysia Courier and Parcel Market, 2017-2022
Snapshot on Co-Packing Industry in Malaysia
Cross Comparison of Major FMCG Players in Malaysia Logistics Market
Competition Analysis for Road Freight and Warehousing Players
Analyst Recommendation
**For more insights on the market intelligence, refer to the link below:-**
**[Malaysia Logistics Market](https://www.kenresearch.com/automotive-transportation-and-warehousing/logistics-and-shipping/malaysia-logistics-market-outlook-to-2027/596231-100.html)**