Report Overview

A surging demand for efficient logistics and cold chain solutions and services from the growing manufacturing and e-commerce sectors, increasing investments in smart logistics and AI technologies, EV supply chain expansion, and rising consumer delivery expectations are expected to boost the growth of South Korea Third Party Logistics (3PL) Market during the forecast period between 2025 and 2031.

South Korea Third Party Logistics (3PL) Market – Industry Trends & Forecast Report, 2031

South Korea Third Party Logistics (3PL) Market size was estimated at USD 24.20 billion in 2024. During the forecast period from 2025 to 2031, South Korea Third Party Logistics (3PL) Market size is projected to grow at a CAGR of 5.15%, reaching a value of USD 34.39 billion by 2031. The expansion of South Korea 3PL Market is driven by surging e-commerce demand, rapid digitalization of supply chains, and government support for smart logistics infrastructure. The rise of cross-border trade, especially with China and Southeast Asia, boosts freight forwarding services. Growing consumer expectations for fast, reliable delivery fuel last-mile innovations. Cold chain logistics is expanding due to the pharmaceutical and food sectors. Additionally, the adoption of AI, robotics, and electric vehicles enhances operational efficiency, making 3PL providers increasingly indispensable across industries.

Third Party Logistics (3PL) – Overview

Third party logistics (3PL) refers to outsourcing logistics operations—such as transportation, warehousing, inventory management, and order fulfillment—to specialized providers. These firms help businesses streamline supply chains, reduce costs, and improve delivery efficiency. 3PLs offer scalable solutions tailored to client needs, often leveraging advanced technologies like automation, AI, and real-time tracking. As global trade and e-commerce expand, 3PL services have become vital for companies seeking agility, speed, and expertise in managing increasingly complex logistics networks.

South Korea Third Party Logistics (3PL) Market 

Growth Drivers

Rising Demand for E-commerce and Cross Border Fulfillment

The booming e-commerce sector and increasing cross-border trade are key growth drivers for South Korea Third Party Logistics (3PL) Market. Consumers expect fast, reliable delivery, prompting businesses to outsource logistics to specialized providers. The surge in international orders, especially from China and Southeast Asia, requires advanced fulfillment capabilities. 3PL firms are investing in smart warehouses, AI-driven tracking, and micro-fulfillment centers to meet demand. This trend is reshaping logistics infrastructure and accelerating the adoption of tech-enabled, scalable supply chain solutions.

Challenges

High Land and Warehouse Costs in Urban Centers

The growth of South Korea Third Party Logistics (3PL) Market faces a major restraint from soaring land and warehouse costs in urban hubs like Seoul and Busan. As the demand for logistics space intensifies, especially near consumer clusters, rental rates have surged, squeezing profit margins for 3PL providers. This cost pressure limits expansion opportunities and deters smaller players from entering the market. High overheads also challenge scalability, forcing logistics firms to seek alternative locations or invest heavily in automation to offset expenses.

Impact of Escalating Geopolitical Tensions on South Korea Third Party Logistics (3PL) Market 

Intensifying geopolitical tensions among countries, particularly United States-China trade disputes and the Russia-Ukraine war, impact South Korea Third Party Logistics (3PL) Market by destabilizing global supply chains. Tariff shifts, sanctions, and raw material restrictions are forcing logistics firms to restructure operations and diversify sourcing. Increased uncertainty has raised costs and delayed shipments, especially in high-tech sectors like semiconductors and batteries. South Korean 3PL providers must now navigate fragmented trade routes and invest in resilience strategies to maintain competitiveness amid rising international volatility.

South Korea Third Party Logistics (3PL) Market 

Segmental Coverage

South Korea Third Party Logistics (3PL) Market – By Services

Based on services, South Korea Third Party Logistics (3PL) Market is divided into Domestic Transportation Management (DTM), International Transportation Management (ITM), Value-Added Services, and Freight Forwarding segments. The Domestic Transportation Management (DTM) segment is the largest service in South Korea Third Party Logistics (3PL) Market. The DTM segment’s market dominance is fueled by the country’s dense urban population, high e-commerce penetration, and demand for fast, reliable last-mile delivery. DTM includes services like parcel distribution, trucking, and regional freight movement, making it essential for meeting consumer expectations. Its scale and integration with smart logistics infrastructure position it as the backbone of South Korea Third Party Logistics (3PL) Market.

South Korea Third Party Logistics (3PL) Market – By Logistics Model

South Korea Third Party Logistics (3PL) Market by logistics model is divided into Asset-Light, Asset-Heavy, and Hybrid segments. The Asset-Light segment accounts for the largest market share of South Korea Third Party Logistics (3PL) Market by logistics market, due to its flexibility, scalability, and cost-efficiency. The asset-light model allows logistics providers to outsource transportation and warehousing, enabling rapid adaptation to shifting demand and e-commerce growth. Asset-Light firms leverage digital platforms, data analytics, and partnerships to optimize supply chains without heavy capital investment. Their agility and tech-driven operations make them dominant players, especially in urban logistics and cross-border fulfillment, fueling continued expansion across South Korea’s logistics landscape.

South Korea Third Party Logistics (3PL) Market – By End User

On the basis of end user, South Korea Third Party Logistics (3PL) Market is divided into Automotive, Manufacturing, Life Sciences & Healthcare, Energy & Utilities, and Consumer & Retail segments. The manufacturing segment is the largest end user in South Korea Third Party Logistics (3PL) Market. The dominance is driven by the country’s robust industrial base and export-oriented economy. It accounts for a significant share due to high demand for efficient supply chain solutions across electronics, semiconductors, and machinery sectors. Advanced logistics technologies, automation, and just-in-time delivery models are widely adopted to support production efficiency. As South Korea continues to lead in high-tech manufacturing, this segment remains the backbone of its 3PL growth trajectory.

Competitive Landscape

Major companies operating in South Korea Third Party Logistics (3PL) Market include Hyundai Glovis, SEBANG, Daewoo Logistics, Yusen Logistics, Sunjin Logistics, Kuehne + Nagel, CTSI Logistics, Lotte Global Logistics, Omni Logistics, DSV, and CJ 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

By Services

• • Domestic Transportation Management

  • International Transportation Management

  • Warehousing & Distribution

  • Value-Added Logistics Services

  • Freight Forwarding 

By Logistics Model

• • Asset-Light

  • Asset-Heavy

  • Hybrid

By End User

• • Automotive

  • Manufacturing

  • Life Sciences & Healthcare

  • Energy & Utilities

  • Consumer & Retail