Market Overview

The global military logistics market (also called the defence logistics market) plays a critical role in enabling armed forces to move personnel, equipment and supplies efficiently. According to MRFR, the global market was valued at USD 43.1 billion in 2022, and is projected to grow to USD 60.64 billion by 2030, representing a CAGR of 5.0 % over the 2023-2030 period. 
This growth underscores rising investments in military logistics infrastructure, growing geopolitical tensions, and the need for rapid deployment capabilities.

Segmentation & Key Trends

MRFR segments the market by Type (Logistics & Distribution, Facility Management, Services) and by Mode of Transportation (Roadways, Railways, Waterways, Airways).

  • By Type: Logistics & Distribution dominates the market, reflecting the emphasis on moving supplies and materiel across theatre.

  • By Mode of Transportation: Roadways segment currently holds the largest share, given its flexibility and reach. Railways, waterways and airways are significant too — e.g., airways gaining due to increasing use of large transport aircraft.

  • Regionally: North America leads in share due to high defence budgets; Europe follows; Asia-Pacific is forecast to grow fastest, notably India and China.

Growth Drivers & Opportunities

Key growth drivers in the military logistics and defence logistics market:

  • Geopolitical instabilities: Conflicts and border tensions lead militaries to strengthen logistics readiness.

  • Increased defence budgets: More funding means better logistics infrastructure and support services.

  • Technological advancement: Integration of IoT, AI, real-time tracking (GIS/RFID) in logistics operations opens new opportunities.

  • Disaster relief & humanitarian missions: Military logistics are also used for emergency response, expanding the market horizon.

Forecast Insights & Future Outlook

Looking ahead beyond 2030, MRFR projects the market may reach USD 77.4 billion by 2035, with a CAGR of about 4.78 % from 2024 to 2035.
This suggests continued steady growth, albeit perhaps at a slightly slower pace. Key opportunities will include:

  • Enhancing supply-chain resilience in uncertain environments.

  • Deploying green and sustainable logistics solutions in defence contexts.

  • Growth of the Asia-Pacific region as militaries upgrade logistics capabilities.

FAQs

  1. What is the current size of the military logistics market?
    The market was valued at USD 43.1 billion in 2022.

  2. What is the projected market size by 2030?
    Forecasted at USD 60.64 billion by 2030.

  3. What is the expected CAGR for 2023-2030?
    Approximately 5.0 %.

  4. Which mode of transportation dominates the market?
    Roadways currently dominate.

  5. Which region is expected to grow fastest?
    Asia-Pacific region is projected to show the fastest growth.