Europe Green Logistics Market Size, Share, and COVID-19 Impact Analysis, By Business Type (Warehousing, Distribution, and Value-Added Services), By Mode of Transportation (Roadways and Railways), and Europe Green Logistics Market Insights, Industry Trend, Forecasts to 2033

Europe Green Logistics Market Insights Forecasts to 2033

• The Europe Green Logistics Market Size was valued at USD 396,614.4 Million in 2023.
• The Market Size is growing at a CAGR of 8.89% from 2023 to 2033
• The Europe Green Logistics Market Size is Expected to Reach USD 929,245.1 Million by 2033

The Europe Green Logistics Market Size is Anticipated to Exceed USD 929,245.1 Million by 2033, growing at a CAGR of 8.89% from 2023 to 2033.

Market Overview

The Europe green logistics market refers to the sector focused on implementing environmentally sustainable practices in transportation, warehousing, and supply chain management. Green logistics aims to reduce carbon emissions, enhance energy efficiency, and promote the use of eco-friendly transportation modes, such as electric and hydrogen-powered vehicles. The market encompasses various solutions, including carbon-neutral shipping, sustainable packaging, and digital optimization tools that improve fuel efficiency and reduce waste. Companies across industries are increasingly adopting green logistics strategies to comply with environmental regulations and achieve corporate sustainability goals. Several factors drive the growth of the Europe green logistics market. The rising concerns over climate change and environmental degradation have led to increased demand for sustainable supply chain solutions. The rapid adoption of electric and alternative fuel vehicles in freight transportation further supports market expansion. Additionally, advancements in logistics technologies, such as AI-driven route optimization and smart warehouses, contribute to improved efficiency and reduced emissions. The growing emphasis on corporate social responsibility (CSR) and sustainability commitments among enterprises further accelerate the adoption of green logistics practices. Government initiatives play a crucial role in shaping the market landscape. The European Union’s Green Deal and Fit for 55 policies set stringent carbon reduction targets, encouraging the adoption of sustainable logistics solutions. Incentives for electric vehicle adoption, carbon taxation, and investments in green infrastructure, such as charging networks and intermodal transport facilities, further drive market growth. Regulations promoting circular economy practices and waste reduction in supply chains also contribute to the expansion of green logistics in the region.

Report Coverage

This research report categorizes the market for the Europe green logistics market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Europe green logistics market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Europe green logistics market.

Driving Factors

Several key factors drive the Europe green logistics market. Increasing regulatory pressure to reduce carbon emissions, particularly under the European Green Deal and Fit for 55 policies, has accelerated the adoption of sustainable logistics solutions. The growing demand for electric and hydrogen-powered vehicles in freight transportation, coupled with advancements in AI-driven route optimization and smart warehousing, enhances efficiency and reduces emissions. Rising consumer and corporate focus on sustainability and corporate social responsibility (CSR) further boosts market growth. Additionally, investments in green infrastructure, such as charging stations and intermodal transport systems, contribute to the expansion of environmentally friendly logistics practices.

Restraining Factors

The Europe green logistics market faces challenges such as high initial investment costs, limited charging infrastructure for electric and hydrogen-powered vehicles, complex regulatory compliance requirements, and the operational inefficiencies associated with transitioning to sustainable logistics solutions.

Market Segmentation

The Europe green logistics market share is classified into business type and mode of transportation.

• The distribution segment is expected to hold the largest market share through the forecast period.   

The Europe green logistics market is segmented by business type into warehousing, distribution, and value-added services. Among these, the distribution segment is expected to hold the largest market share through the forecast period. This dominance is driven by the increasing emphasis on sustainable transportation solutions, including the adoption of electric and hydrogen-powered delivery vehicles, optimized route planning, and carbon-neutral shipping practices. The rise of e-commerce and the demand for last-mile delivery solutions further contribute to the expansion of green distribution networks.

• The roadways segment dominates the market with the largest market share over the predicted period.

The Europe green logistics market is segmented by mode of transportation into roadways and railways. Among these, the roadways segment dominates the market with the largest market share over the predicted period. This dominance is attributed to the high reliance on road transportation for freight movement across Europe, particularly for last-mile delivery and regional distribution. The increasing adoption of electric and hydrogen-powered trucks, along with advancements in fuel-efficient logistics technologies, further strengthens the segment’s growth.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Europe green logistics market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• United Parcel Service
• Bowling Green Logistics
• GEODIS
• Yusen Logistics Co., Ltd
• DHL International GmbH
• XPO Logistics
• DB SCHENKER
• Kuehne + Nagel
• CEVA Logistics
• Agility Public Warehousing Company K.S.C.P.
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-added resellers (VARs)

Market Segment

This study forecasts revenue at Europe, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the Europe green logistics market based on the below-mentioned segments:

Europe Green Logistics Market, By Business Type

• Warehousing
• Distribution
• Value-Added Services

Europe Green Logistics Market, By Mode of Transportation

• Roadways
• Railways