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Views: 263 Author: Site Editor Publish Time: 2022-10-31 Origin: Site
Transport Intelligence released "Competitive Landscape in the Global Freight Forwarding Market". The report said that in 2021, despite the problems of capacity and congestion caused by supply chain bottlenecks, the growth of global trade will still lead to the growth of freight volume under different modes of transportation; Under the special market conditions in 2021, freight forwarders will perform strongly and profitability will be very significant.
Transport Intelligence said all major freight forwarders benefited from the unusual market environment, with all the forwarding companies counted posting significant revenue growth in 2021.
In 2021, Kuehne + Nagel leads the top 20 global freight forwarding companies with excellent performance and significantly improved profitability.
Asia Pacific remains the world's largest freight forwarding region, accounting for 35.3% of the global market share, according to Transport Intelligence's report
Kuehne + Nagel's combined air and sea freight revenue rose 97.6 percent to 22.7 billion euros ($22.43 billion) last year, while DSV squeezed out DHL's No. 2 spot as a global freight forwarder.
Switzerland-based Kuehne+Nagel International AG leads the world's top 20 freight forwarders in 2021, with these giants outperforming and profitable in extraordinary market conditions, Transport Intelligence (Ti) said in a new report published in October. improved significantly.
Denmark's DSV Panalpina came in second with a 79.7% surge in total revenue of 17.6 billion euros, while Germany's DHL Global Freight Forwarding was only third, despite a 44.5% year-on-year increase in revenue to 15.8 billion euros, the report said.
Rounding out the top five were Germany's DB Schenker, whose revenue rose 57.5% to 12.96 billion euros in 2021, and US freight forwarder Expeditors, whose revenue rose 66.5% to 10.4 billion euros.
Transport Intelligence (Ti) analysts Marta Chiriatti, John Maners-bell and Thomas Cullen said: "All major forwarders benefited from the unusual market environment, with all of the forwarders surveyed reporting significant gains in 2021. Revenue growth. Freight volumes have returned to growth in a year impacted by the global pandemic, but supply chain bottlenecks, capacity constraints and general congestion have all contributed to the surge in freight rates.”
Revenue growth in 2021 will be driven by higher freight rates due to capacity shortages, driven by a sharp rebound in economic activity and trade, container shortages, shortages of drivers and dockworkers, and port congestion in Europe, America and Asia, the report said. A rebound in global demand, especially in manufacturing and retail, has sparked a race for sea and air freight capacity to replenish inventories in global supply chains.
In the top 10, Kuehne + Nagel and DSV Panalpina posted strong revenue growth despite supply chain disruptions over the past two years. “Kuehne + Nagel has fully benefited from the integration of Apex, the 17th air freight forwarder in 2020. Meanwhile, DSV’s integration of Panalpina, and subsequent acquisition of Agility, has put the company over DHL Global Forwarding No. 1 The second ranking rose to second place.”
The report said Kuehne + Nagel was No. 1 in ocean freight forwarding last year, which has been a strong point for the company. Compared with the impact of the epidemic in 2020, its ocean shipping revenue has surged by 91.4%, while the other companies in the top five are slightly behind.
In terms of cargo volume, among the top 20 freight forwarders, Kuehne + Nagel is the largest ocean freight forwarder in 2021, with a 2% increase in cargo volume, about 830,000 TEUs higher than the second-ranked Sinotrans. DHL and Panalpina were third and fourth respectively, with DB Schenker fifth.
In 2021, 11 of the world's top 20 forwarders will have a freight volume of more than 1 million TEUs, while in 2020, 8 will exceed this threshold.
In 2021 Kuehne + Nagel topped the list of air freight forwarders with just over 10 billion euros in revenue, DHL Global Cargo was second, DSV was third and DB Schenker was fourth with a 31.4% increase in cargo volume, The sea freight decreased by 2.4%.
In 2021, a total of 16 air freight forwarders will generate a record revenue of more than 1 billion euros. Sri Lanka-based third-party logistics company Expolanka made the list with a 131% increase in revenue.
Gross profit as a percentage of revenue fell, but rose in absolute terms as air cargo prices rose in absolute terms, the report said. The company said the market disruption has created unusual new opportunities for forwarders.
It is possible for the top 20 global forwarders to lease cargo aircraft and then sell capacity to existing customers on a shared user or occasional ad hoc basis. This appears to be profitable for both aircraft operators and forwarders.
Europe, Asia Pacific, and the Middle East and North Africa are the most attractive regions for M&A.
Over the past decade, there has been a surge in mergers and acquisitions in Europe as logistics companies seek to increase their presence and business presence in the region. The reasons behind these acquisitions vary from company to company, but there is a unified logic in reflecting trends in the freight forwarding market. Recognition in one area of expertise, including know-how and new business, appears to be a key rationale for acquisitions in Europe. .
Asia Pacific is the second most attractive region for M&A, which is not surprising considering it is the most important region for global trade and logistics activity. According to Ti market size data, Asia Pacific remains the largest freight forwarding region, accounting for 35.3% of the global freight forwarding market in 2021. Therefore, in order to expand and remain competitive, and to seize the huge opportunities this market offers, freight forwarding giants have realized that they need to add Asia Pacific to their business portfolio.
The Middle East and North Africa is the third most attractive region for M&A transactions in the freight forwarding industry. For many years, the region has been a fueling point for air cargo and shipping companies traveling between Europe and Asia. Therefore, creating a hub-and-spoke business in the region is only a small step to maximize capacity and operational efficiency.