High-tech Logistics Industry

High-tech Logistics Market Analysis

The High-tech Logistics Market is expected to register a CAGR of greater than 3% during the forecast period.

With the growing market of the high-tech industry, especially for consumer electronics, digital printing systems, MedTech, and various such sectors, the demand for a reduced cost and specialized logistics quality is increasing. Logistics players provide a range of specialized solutions for the high-tech market in response to its specificities which extend from product assembly, software installation, and customizations to value-added distribution to the end customer and installation.

Companies like DHL provide services to the computer industry as DHL Semiconductor Logistics provides a full suite of end-to-end solutions. The suite of services covers the entire value chain from inbound to manufacturing facilities to final distribution to end-users. It provides end-to-end visibility of products, full compliance with international regulations, and maximum security of sensitive and high-value goods.

Electronic products are strongly characterized by constant innovation, have logistics requirements specific to the industry. The outbreak of the COVID-19 has put the electronics industry under pressure owing to the slowdown in logistics, city shutdowns, and the unavailability of a workforce across the world. However, there has been an increase in the demand for laptops and related computer hardware as companies look to support their employees working from home. This demand is expected to negate some of the negative impacts caused by the outbreak.

High-tech Logistics Market Trends

Growth in the High-tech Industry

The technology industry has been a catalyst for change for global enterprises, delivering innovative solutions and business impact to help them become more competitive. Innovation and technology transformation is happening across the sectors in manufacturing, transportation, healthcare, BFSI, social impact, government, and other verticals. Technology will play a critical role as an enabler for growth in governance, social paradigm, and various other sectors. With a growing semiconductor consumption and acceleration in electronics manufacturing activities, several hotspots have emerged in this segment supported by the high-tech and electronics segment.

Key products in the high-tech consumer goods segment demanding flexible, sensitive, and transparent transportation solutions include mobile phones, tablets, LED lights, and flat panel display products.

China is the Largest Market

China is the largest producer and exporter of consumer electronics in the world. It has the world's most extensive electronics manufacturing units and supply chain exceeding Japan with more than five times the electronics suppliers and a huge labor force of manufacturing workers. Electronics is a sector that is constantly evolving in response to trends, market changes, and advanced technology. Products under this sector easily become obsolete due to rapid product development and paced production. China's production parallels more than one-third of the global consumer electronics manufacturing productivity. China accounts for a value of about USD 1.09 billion, which was about 42% of the total exports of China in the year 2019. However, the actual value is expected to be significantly higher considering that exports through Hong Kong usually originate from Mainland China.

High-tech Logistics Industry Overview

The high-tech logistics market is fairly fragmented, with a good number of companies active in the market. Companies like DB Schenker, Aramex, and DHL Global Forwarding are some of the major players operating in the market. To remain aggressive and improve performance, keeping up with modern technology is a necessity for the logistics players in the market. The companies are working on developing features like flexibility and openness to coordinated technological efforts as they explore the continually changing worldwide economy. The companies are also under significant pressure to manage costs and minimize time to market.

High-tech Logistics Market Leaders

High-tech Logistics Market News

March 2021: Rhenus High Tech joined TENESO, one of the largest cross-border high-tech transport companies in Europe, as a co-shareholder in the company, enabling the strengthening of its existing European network structures for high-tech logistics.

May 2020: cargo-partner, the international transport and info-logistics provider, set up a dedicated department for high-tech logistics at its headquarters near Vienna Airport. The services range from time-definite delivery with a dedicated vehicle fleet up to on-site installation, customer training, and specialized warehousing solutions.