North America Sea Freight Forwarding Market

North America Sea Freight Forwarding Market Analysis

The North America Sea Freight Forwarding Market size is estimated at USD 79.95 billion in 2025, and is expected to reach USD 98.26 billion by 2030, at a CAGR of 4.28% during the forecast period (2025-2030).

Driven by rising trade volumes and the expansion of e-commerce, the North American sea freight forwarding market plays a pivotal role in the larger logistics industry. The boom in online shopping has notably heightened the demand for shipping services, especially for cross-border transactions. As reported, U.S. eCommerce sales reached USD 291.64 billion by Q2 2024, representing 15.9% of the nation's total retail sales. In the year's first half, U.S. eCommerce sales climbed to USD 579.45 billion, with projections suggesting a leap to USD 1.22 trillion by year's end.

• Trade agreements, such as the United States-Mexico-Canada Agreement (USMCA), streamline trade processes among these nations, boosting maritime cargo volumes. In the first half of 2024, global shipping costs spiked due to major maritime route disruptions and escalating operational expenses. The repercussions are felt acutely, especially by vulnerable small island developing states (SIDS) and least developed countries (LDCs).
• Rising freight rates amplify concerns about trade sustainability, economic growth, and the global pursuit of sustainable development goals. From the Far East to the U.S. West Coast, spot rates are poised to exceed levels witnessed during the peak of the Red Sea crisis earlier in 2024. After a dip post-Red Sea tensions, spot rates surged by an average of USD 1,500 on routes to U.S. coasts since late April 2023.
• In conclusion, the North American sea freight forwarding market is navigating a complex landscape shaped by e-commerce growth, trade agreements, and fluctuating shipping costs. Stakeholders must adapt to these dynamics to sustain growth and achieve long-term success.

North America Sea Freight Forwarding Market Trends

Rising Demand for FCL Services: U.S. Ports Modernize to Meet Growing Needs

As businesses increasingly seek cost-effective solutions for transporting large volumes of goods, the demand for Full Container Load (FCL) services is on the rise. FCL shipping often proves to be more economical than its counterpart, Less-than-Container Load (LCL), especially for bulk shipments. This is primarily because FCL reduces the cost per unit of goods transported. According to sources, opting for FCL can lead to transportation cost savings of up to 30% when compared to making multiple smaller shipments.

Furthermore, investments in port infrastructure and logistics networks are bolstering the efficiency of FCL shipping. Enhanced facilities not only facilitate the handling of larger volumes but also mitigate congestion at ports. This is vital for ensuring timely deliveries, especially as demand continues to surge. For instance in December 2023, U.S. ports are benefiting from multimillion-dollar grants aimed at upgrading cargo handling infrastructure. These grants are a segment of the Biden administration’s broader USD 21 billion initiative to modernize U.S. port infrastructure. Among the 2023 grant beneficiaries are midsize port cities like Baltimore. In November 2023, Baltimore's port secured a USD 47 million grant, setting the stage for an offshore wind manufacturing hub and other enhancements. Notably, a portion of the funds is allocated for a new dock, or berth, dedicated to rolling cargo. This is significant as Baltimore stands as the premier U.S. destination for rolling cargo imports, a category that encompasses farm machinery from John Deere and light-duty vehicles from BMW, as highlighted by the Maryland Port Administration.

In 2023, the U.S. Department of Transportation's Maritime Administration disbursed over USD 653 million in Port Infrastructure Development Program grants to various U.S. ports. Other notable projects benefiting from federal funds include Washington state's Port of Tacoma Husky Terminal Expansion, receiving USD 54.2 million, and California's North Harbor Transportation System Improvement Project in Long Beach, which got USD 52.6 million. Additionally, the Environmental Protection Agency is contributing to port enhancements by providing funds aimed at combating truck idling. Meanwhile, the U.S. Department of Defense is deepening certain East Coast waterways to accommodate larger ships. According to maritime economists, Baltimore isn't the sole city witnessing port growth. Experts note that as major entry points become congested with truck traffic, gateways along the U.S. southeast coast are increasingly handling more cargo. “All of the ports on the East Coast are upgrading their infrastructure and capacity," In conclusion, the modernization of U.S. ports is crucial to meeting the rising demand for FCL services, ensuring efficient and cost-effective transportation of goods.

USA is dominating the market in the region

In 2024, the U.S. maritime trade is poised for substantial growth, fueled by heightened demand for containerized goods and other key commodities. The United Nations Conference on Trade and Development (UNCTAD) anticipates a 2% uptick in total maritime trade for the year. This projected growth is largely due to strong demand for essential commodities, including iron ore, coal, grain, and oil. Containerized goods, in particular, are forecasted to see a 3.5% rebound from previous years. In September 2024, the top 10 U.S. ports recorded a rise of 46,855 TEUs in container import volumes, marking a 2.2% increase from August. Notable gains were seen at the ports of Long Beach (up 50,401 TEUs), Charleston (up 13,357 TEUs), and Baltimore (up 6,144 TEUs). Conversely, the ports of New York/New Jersey (down 19,731 TEUs), Savannah (down 7,730 TEUs), and Tacoma (down 2,435 TEUs) faced the most pronounced month-over-month declines. U.S. container imports from China have remained robust over the past three months, with July (1,022,913 TEUs), August (975,129 TEUs), and September (989,425 TEUs) marking the three highest monthly volumes on record. September's figures not only show a 1.5% uptick from August but also a notable 14.2% surge compared to the same month last year (866,762 TEUs). However, it's worth noting that September's Chinese import volumes dipped 3.3% from July’s 2024 peak.

This surge in trade activity occurs against a backdrop of geopolitical tensions and disruptions in critical shipping routes. Notably, ongoing Houthi attacks and the Israel-Hamas conflict have necessitated diversions in shipping routes, moving from the Red Sea to the Cape of Good Hope. Additionally, the Port of Baltimore has reclaimed its position among the Top 10 U.S. ports, outpacing the Port of Philadelphia in volume. Despite challenges like geopolitical tensions and port congestion, the U.S. maritime trade outlook for 2024 remains optimistic, adapting to shifting demands and conditions.

North America Sea Freight Forwarding Industry Overview

The North America Sea Freight Forwarding Market is characterized by intense competition and fragmentation, with numerous players vying for dominance. A Sea Freight forwarder serves as an intermediary, orchestrating shipments through common sea carriers and managing all related arrangements on behalf of clients. Prominent players in the market include Kuehne + Nagel, DHL Supply Chain & Global Forwarding, DB Schenker, DSV Panalpina, Sinotrans, Expeditors, Nippon Express, CEVA Logistics, C.H. Robinson, and Kerry Logistics.

North America Sea Freight Forwarding Market Leaders

North America Sea Freight Forwarding Market News

• March 2024: DP World has inaugurated 15 new freight forwarding offices throughout the Americas. Key U.S. cities marking this expansion include Atlanta, Chicago, Dallas, Detroit, Houston, El Paso, Laredo, Miami, New York, Philadelphia, Seattle, and Los Angeles. DP World intends to harness its global assets—spanning ports, terminals, and warehouses—to enhance visibility and efficiency for its clientele. Looking ahead, by mid-2024, the company has set its sights on launching additional offices in Buenos Aires (Argentina), Itajai (Brazil), and Mexico, aligning with the region's burgeoning nearshoring investments. This strategic move reaffirms DP World's dedication to delivering holistic end-to-end supply chain solutions, not just in North America, but on a global scale.
• February 2024: Gebrüder Weiss has bolstered its presence in the U.S. by acquiring Cargo-Link, a freight forwarding company specializing in sea and air transport, located in Salt Lake City, Utah. This move comes on the heels of Gebrüder Weiss inaugurating new locations in Laredo and Miami the previous year. Through this expansion, the company seeks to amplify its logistics services tailored for small and medium-sized enterprises, designating Salt Lake City as a pivotal hub for both transpacific and transatlantic transport.