South Korea Cold Chain Logistics Market
South Korea Cold Chain Logistics Market, By Service Type (Transportation, Warehousing, Packaging, Monitoring); By Temperature Type (Chilled, Frozen); By End User (Food & Beverages, Pharmaceuticals, Biotechnology, Chemicals, Others), Trend Analysis, Competitive Landscape & Forecast, 2019–2030
- Published Date: November 2024
- Report ID: BWC24848
- Available Format: PDF
- Page: 123
Report Overview
An increasingly high demand for fresh and processed foods from the growing geriatric population and the thriving e-commerce sector are expected to boost the growth of South Korea Cold Chain Logistics Market during the forecast period between 2024 and 2030.
South Korea Cold Chain Logistics Market - Industry Trends & Forecast Report, 2030
South Korea Cold Chain Logistics Market size was estimated to be worth USD 5.30 billion in 2023. During the forecast period between 2024 and 2030, South Korea Cold Chain Logistics Market size is projected to grow at a CAGR of 9.50%, reaching a value of USD 9.92 billion by 2030. Major growth factors for South Korea Cold Chain Logistics Market include a spurring demand for perishable and non-durable goods and expanding e-commerce sector. Increasing adoption of work from home (WfH) trend and growing female workforce have escalated the demand for fresh and frozen food products, which is projected to further drive South Korea Cold Chain Logistics Market during the period in analysis.
Cold Chain Logistics – Overview
Cold chain logistics involves the transportation and storage of temperature-sensitive products, such as food, pharmaceuticals, and chemicals, under controlled conditions. This process ensures that products remain within a specific temperature range throughout the supply chain, from production to delivery. Key components include temperature-controlled packaging, refrigerated transport, and specialized storage facilities. Effective cold chain logistics prevent spoilage, maintain product quality, and ensure compliance with regulatory standards, ultimately safeguarding public health and enhancing customer satisfaction.
South Korea Cold Chain Logistics Market
Growth Drivers
High Popularity of Convenience Store Food
The growing popularity of South Korean convenience stores among both citizens and foreigners alike is driving the need for efficient cold chain logistics across the country. The convenience stores offer a wide variety of packaged and frozen food and beverages that cater to the needs of office goers and consumers who lead hectic lifestyles. In addition, convenience store products are also gaining traction due to the growing influence of social media, particularly ‘Korean wave.’ The growing influence of K-pop and Korean TV dramas has established South Korean convenience store products, such as ‘trends.’ As a result, the demand for cold chain logistics is rising in South Korea to maintain continuous supply of goods in these stores, driving Cold Chain Logistics Market across the country.
Challenges
Stringent Domestic and International Regulations
The cold chain logistics companies operating in South Korea need to adhere to stringent domestic and international regulations, particularly during the transportation and storage of perishable goods, such as food and pharmaceuticals. Seafood products and raw fish, for instance, are required to be kept in a temperature-controlled environment at -35°C. Adhering to these stringent regulations can prove challenging to these companies, particularly small players. They also need to deal with complicated documentation requirements and safety certifications, which could increase the cost of operations and limit the growth of South Korea Cold Chain Logistics Market.
Impact of Escalating Geopolitical Tensions on South Korea Cold Chain Logistics Market
Intensifying geopolitical tensions among countries spreading across the major regions could significantly impact various aspects of South Korea Cold Chain Logistics Market. Geopolitical tensions among major countries around South Korea, such as China and North Korea, along with the United States as well, disrupt the global supply chain of the country. This affects the air and freight routes in the region, resulting in delays in logistics operations and increased shipping costs. Such situation could also impose serious complications for the cold chain logistics industry as they fail to meet their target of delivering perishable goods. In addition, trade barriers, such as sanctions and tariffs, could affect the trade relationships of South Korea, resulting in a significant decline in imports and exports and impacting the demand for cold chain logistics services as well.
South Korea Cold Chain Logistics Market
Segmental Coverage
South Korea Cold Chain Logistics Market – By Service Type
Based on service type, South Korea Cold Chain Logistics Market is segmented into transportation, warehousing, packaging, and monitoring. The warehousing segment holds the largest share of South Korea Cold Chain Logistics Market by service type. The changing consumer preferences and increasing spending is influencing the growth of e-commerce, propelling the growth of refrigerated products, such as packaged food, cosmetics, and pharmaceuticals. The demand for warehousing is increasing as a result of growing need for e-commerce platforms to maintain inventory to provide fresh products and on-time delivery to their customers, driving its market.
South Korea Cold Chain Logistics Market – By Temperature Type
By temperature type, South Korea Cold Chain Logistics Market is bifurcated into chilled and frozen segments. The frozen segment accounts for a higher share of the market, owing to the rising demand for frozen food. The hectic lifestyle of South Korean consumers and increasing female workforce is propelling the frozen food consumption as they are cheaper and do not require preparation time. However, the chilled segment also covers substantial market share owing to the high demand in the pharmaceutical sector. Many pharmaceutical products require chilled environment between +2°C and +8°C to prevent degradation and loss of potency.
South Korea Cold Chain Logistics Market – By End User
Based on end user, South Korea Cold Chain Logistics Market is segmented into food and beverages, pharmaceuticals, biotechnology, chemicals, and others. The food and beverage segment dominates South Korea Cold Chain Logistics Market. The high popularity of convenience store and packaged food products in South Korea owing to rapid urbanization and availability of wide range of products, including ready-to-eat meals fuels the need for efficient cold chain logistics in the country. Another factor influencing the segment’s growth is the increasing number of single-person households in the country, which is influencing the demand for packaged food and beverages, driving South Korea Cold Chain Logistics Market.
Competitive Landscape
South Korea Cold Chain Logistics Market is intensely competitive, as a number of companies are competing to gain a significant market share. Key players in the market include Yusen Logistics Co. Ltd, HL Holdings Corp., Rhenus Group, Borim Logistics, Dongwon Group, Leschaco, CJ Logistics, Daewoo Logistics, and Lotte Global Logistics. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.
Scope of the Report
Attributes |
Details |
Years Considered |
Historical Data – 2019–2023 |
Base Year – 2023 |
|
Estimated Year – 2024 |
|
Forecast Period – 2024–2030 |
|
Facts Covered |
Revenue in USD Billion |
Product/ Service Segmentation |
Service Type, Temperature Type, End User |
Market Coverage |
South Korea |
Key Players |
Yusen Logistics Co. Ltd, HL Holdings Corp., Rhenus Group, Borim Logistics, Dongwon Group, Leschaco, CJ Logistics, Daewoo Logistics, Lotte Global Logistics |
By Service Type
-
Transportation
-
Warehousing
-
Packaging
-
Monitoring
By Temperature Type
-
Chilled
-
Frozen
By End User
-
Food & Beverages
-
Pharmaceuticals
-
Biotechnology
-
Chemicals
-
Others
- Research Framework
- Research Objective
- Product Overview
- Market Segmentation
- Executive Summary
- South Korea Cold Chain Logistics Market Insights
- Industry Value Chain Analysis
- DROC Analysis
- Growth Drivers
- Rising Demand for Fresh and Processed Foods
- Aging Population in South Korea
- Rapid Growth of E-Commerce, Particularly in Food and Grocery
- Restraints
- High Operating Costs in South Korea
- Strict Regulations and Compliance Requirements
- Limited Availability of Skilled Labor
- Opportunities
- Stringent Food Safety Regulations
- Offering Value-Added Services like Temperature Monitoring, Packaging, and Labeling
- Adopting Sustainable Practices, such as Energy-Efficient Technologies and Eco-Friendly Packaging
- Challenges
- Ensuring Consistent Temperature Control Throughout the Cold Chain
- Aging Infrastructure in South Korea
- Growth Drivers
- Technological Advancements/Recent Developments
- Regulatory Framework
- Porter’s Five Forces Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of New Entrants
- Threat of Substitutes
- Intensity of Rivalry
- South Korea Cold Chain Logistics Market: Marketing Strategies
- South Korea Cold Chain Logistics Market: Pricing Analysis
- South Korea Cold Chain Logistics Market Overview
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Service Type
- Transportation
- Warehousing
- Packaging
- Monitoring
- By Temperature Type
- Chilled
- Frozen
- By End User
- Food & Beverages
- Pharmaceuticals
- Biotechnology
- Chemicals
- Others
- By Service Type
- Market Size & Forecast, 2019–2030
- Competitive Landscape
- List of Key Players and Their Products
- South Korea Cold Chain Logistics Company Market Share Analysis, 2023
- Competitive Benchmarking, By Operating Parameters
- Key Strategic Development (Merger, Acquisition, Partnership)
- Impact of Escalating Geopolitical Tensions on South Korea Cold Chain Logistics Market
- Company Profiles (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook, and SWOT Analysis)
- Yusen Logistics Co. Ltd
- HL Holdings Corp.
- Rhenus Group
- Borim Logistics
- Dongwon Group
- Leschaco
- CJ Logistics
- Daewoo Logistics
- Lotte Global Logistics
- Other prominent players
- Key Strategic Recommendations
- Research Methodology
- Qualitative Research
- Primary & Secondary Research
- Quantitative Research
- Market Breakdown & Data Triangulation
- Secondary Research
- Primary Research
- Breakdown of Primary Research Respondents
- Assumptions & Limitations
- Qualitative Research
*Financial information of non-listed companies can be provided as per availability.
**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.
List of Figures
Figure 1 South Korea Cold Chain Logistics Segmentation
Figure 2 South Korea Cold Chain Logistics Market Value Chain Analysis
Figure 3 Company Market Share Analysis, 2023
Figure 4 South Korea Cold Chain Logistics Market Size, By Value (USD Billion), 2019–2030
Figure 5 South Korea Cold Chain Logistics Market Share, By Service Type, By Value (USD Billion), 2019–2030
Figure 6 South Korea Cold Chain Logistics Market Share, By Temperature Type, By Value (USD Billion), 2019–2030
Figure 7 South Korea Cold Chain Logistics Market Share, By End User, By Value (USD Billion), 2019–2030
List of Tables
Table 1 South Korea Cold Chain Logistics Market Size, By Value (USD Billion), 2019–2030
Table 2 South Korea Cold Chain Logistics Market Share, By Service Type, By Value (USD Billion), 2019–2030
Table 3 South Korea Cold Chain Logistics Market Share, By Temperature Type, By Value (USD Billion), 2019–2030
Table 4 South Korea Cold Chain Logistics Market Share, By End User, By Value (USD Billion), 2019–2030
Table 5 Yusen Logistics Co. Ltd Company Overview
Table 6 Yusen Logistics Co. Ltd Financial Overview
Table 7 HL Holdings Corp. Company Overview
Table 8 HL Holdings Corp. Financial Overview
Table 9 Rhenus Group Company Overview
Table 10 Rhenus Group Financial Overview
Table 11 Borim Logistics Company Overview
Table 12 Borim Logistics Financial Overview
Table 13 Dongwon Group Company Overview
Table 14 Dongwon Group Financial Overview
Table 15 Leschaco Company Overview
Table 16 Leschaco Financial Overview
Table 17 CJ Logistics Company Overview
Table 18 CJ Logistics Financial Overview
Table 19 Daewoo Logistics Company Overview
Table 20 Daewoo Logistics Financial Overview
Table 21 Lotte Global Logistics Company Overview
Table 22 Lotte Global Logistics Financial Overview
Market Segmentation
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