PUBLISHER: KBV Research | PRODUCT CODE: 1649324
PUBLISHER: KBV Research | PRODUCT CODE: 1649324
The Latin America, Middle East and Africa Automotive Logistics Market would witness market growth of 9.3% CAGR during the forecast period (2024-2031).
The Brazil market dominated the LAMEA Automotive Logistics Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $7,835.5 million by 2031. The Argentina market is registering a CAGR of 10.8% during (2024 - 2031). Additionally, The UAE market would witness a CAGR of 8.4% during (2024 - 2031).
The automotive aftermarket is expanding rapidly due to the rising demand for spare parts, accessories, and maintenance services. As vehicles stay on the road longer, the need for replacement components and performance upgrades increases, driving logistics innovation to ensure fast and efficient distribution. Companies like Bosch, Denso, and Delphi are leveraging automated warehousing, predictive analytics, and AI-driven inventory management to optimize supply chains.
Additionally, the surge in e-commerce platforms such as Amazon, eBay Motors, and AutoZone has transformed how consumers and repair shops source automotive parts, enabling faster deliveries and competitive pricing. Logistics providers like FedEx and DHL have developed specialized express delivery networks for spare parts, ensuring minimal vehicle downtime for customers. Meanwhile, remanufactured and recycled parts are gaining popularity due to sustainability efforts, with companies like ZF and Valeo investing in reverse logistics solutions to refurbish and redistribute components efficiently.
In the Middle East, Saudi Arabia is at the forefront of the automotive sector's expansion, propelled by its Vision 2030 initiative, which seeks to diversify the economy and augment vehicle production. According to the International Trade Administration, Saudi Arabia accounted for over 52% of GCC auto sales in 2020, with total vehicle sales reaching 436,000 units. The National Industrial Development Center (NIDC) has set a 2030 goal of producing 300,000 vehicles annually, with 40% local content, requiring logistics providers to support the growing supply chain for both internal combustion engines (ICE) and electric vehicles (EVs). The Saudi Standards, Metrology, and Quality Organization also mandate strict vehicle safety and impact protection regulations. These necessitating logistics solutions ensure the timely and compliant transportation of safety components and vehicle parts.
The rising urbanization and population growth in LAMEA's key markets are increasing vehicle ownership rates, further driving the need for efficient transportation and supply chain management. Government initiatives in the region focus on road safety, sustainability, and industrial localization, as well as increasing demand for digitized logistics operations, automated warehousing, and AI-powered fleet management. Hence, as the region continues to develop its automotive production capabilities, logistics providers will play a critical role in supporting efficient vehicle assembly, component distribution, and export operations, ensuring sustained growth in the automotive logistics market across LAMEA.
Based on Type, the market is segmented into Finished vehicle, and Automobile Parts. Based on Distribution, the market is segmented into Domestic, and International. Based on Activity, the market is segmented into Warehousing, and Transportation (Roadways, Maritime, Railways, and Airways). Based on Solution, the market is segmented into Inbound, Outbound, Reverse, and Other Solution. Based on countries, the market is segmented into Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria, and Rest of LAMEA.
List of Key Companies Profiled
LAMEA Automotive Logistics Market Report Segmentation
By Type
By Distribution
By Activity
By Solution
By Country