Air Cargo Market Size to Approach USD 210.93 Billion by 2031, Growing at 5.8% CAGR, Experiences Growth in Adoption of E-Commerce Platforms | The Insight Partners

The global Air Cargo Market is witnessing significant growth, driven by rising e-commerce, global trade expansion, and the need for rapid delivery of goods, including perishables and pharmaceuticals. Technological advancements in cargo tracking and fleet modernization are enhancing efficiency. Top key players in the air cargo market include DHL Aviation, FedEx Express, UPS Airlines, Cathay Pacific Cargo, Emirates Sky Cargo, and Cargolux Airlines.

US & Canada, June 06, 2025 (GLOBE NEWSWIRE) -- According to a new comprehensive report from The Insight Partners, the global air cargo market is observing healthy growth owing to rising adoption of e-commerce and online shopping demand across different regions.

The report runs an in-depth analysis of market trends, key players, and future opportunities. During the course of the research study, various leading industry experts, global sales managers, key opinion leaders, and industry veterans shared their valuable and critical insights about global and regional trends related to the air cargo market.

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Overview of Report Findings

1. Market Growth: The air cargo market is expected to reach US$ 143.01 billion in 2024 and is expected to reach US$ 210.93 billion by 2031; it is estimated to record a CAGR of 5.8% from 2025 to 2031. The rapid adoption of e-commerce platforms; constant need to transport temperature-sensitive products; sustainable aviation and green logistics solutions; infrastructure development and airport expansion; express and time-definite delivery services; perishable goods and fresh food transportation; and pharmaceutical & healthcare product transportation are some of the major factors pushing the growth of air cargo market across different regions.
2. The Rapid Adoption of E-Commerce Platforms: Online retailing attracts prospective customers than brick and mortar-based competitors due to the global scale of the internet. In addition, e-commerce market players opt from a variety of logistics options such as the surface transport and air transport, to deliver packages to their customers. Therefore, as the global e-commerce market is heating up, varying buying patterns and trends have been observed in different countries of the regions. Majority of the purchase is influenced by the demographics of the country such as the percentage of youth population indulging in e-commerce activity, the economy of the country, age group interested in e-commerce, and the level of awareness in the country. Thus, e-commerce is a future growth driver for the air cargo industry, as online shopping boosts the demand for parcel delivery services worldwide. Air cargo is well-positioned to serve their needs and deliver their goods globally with speed, efficiency, and reliability. The fast-growing cross-border e-commerce market remains a key driver in addition to rising domestic volumes sent by large and small e-retailers.
3. Constant Need to Transport Temperature-Sensitive Products: The transportation of temperature-sensitive products including drugs, chemicals, and medicines is creating a huge opportunity for the air cargo market. For instance, almost 68% of all biotech products are considered to be temperature sensitive. In addition, Marken announced clinical home healthcare services that include clinical drug storage, direct-to-patient delivery, biologic sample collection, central pharmacy, and home care/nursing services. Thus, the pharmaceutical companies are highly dependent on-air transportation due to factors such as time-sensitivity and temperature-controlled transportation. The rapid growth of the pharmaceutical industry resulted in augmenting the demand for transportation services for temperature-sensitive cargo. The demand is anticipated to increase with new pharmaceutical and biotechnology products entering the market every day. Therefore, airlines using advanced cool chain solutions will be well-placed to take full advantage of this sector as it grows. Therefore, airlines can expect increasing demand for shipping services that cater to their specific needs with the pharmaceutical industry is anticipated to increase further in the next several years.
4. Geographical Insights: In 2024, Asia Pacific led the market with a substantial revenue share, followed by North America and Europe, respectively. Asia Pacific is expected to register the highest CAGR during the forecast period.

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Market Segmentation

• Based on end user, the air cargo market is segmented into retail, pharmaceutical/healthcare, food/beverage, consumer electronics, automotive, and others. The pharmaceutical/healthcare segment held the largest market share in 2024.
• By type, the market is segmented into air mail and air freight. The air freight segment held a larger share of the market in 2024.
• Based on services, the air cargo market is segmented into express and regular. The regular segment held the largest market share in 2024.
  
  

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Competitive Strategy and Development

• Key Players: A few of the major companies operating in the air cargo market are ANA Cargo; Cargolux Airlines International S.A.; FEDEX Corporation; DHL; Cathay Pacific Airways Limited; Emirates SkyCargo; Etihad Cargo; FedEx Corp; United Parcel Service Inc; Zela Aviation The Air Charter Company; Lufthansa Group; and Deutsche Post AG among others.
• Trending Topics: Global air cargo market, air freight market size, air cargo market forecast 2025, air cargo industry analysis, air freight logistics market, air cargo market valuation, e-commerce air cargo, digital transformation air freight, supply chain optimization, last-mile delivery air cargo, cross-border e-commerce logistics, customer-centric air cargo, air cargo digitalization etc.

Global Headlines on Air Cargo Market

• Etihad Airways and SF Airlines signed cargo business joint business agreement
• Menzies won a contract from Air India to provide full suite of ground handling and cargo services at eight locations across four continents for the period of 3 years.
• UPS became the prime air cargo provider for the United States Postal Service
  
  

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Conclusion

The global air cargo market is segmented into five major regions: North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM). Asia Pacific accounts for the largest market share in 2024. The dominance of APAC market is attributed to the growth of e-commerce in countries such as China and India. Another important factor is the presence of technologically advanced industries in countries, including the China and Japan. The increased adoption of Industry 4.0 together with rising advancements in manufacturing and machinery tools is propelling the air cargo market growth. Furthermore, the willingness to invest in advanced components by the manufacturing industries in these countries is adding to the growth of the market. Such factors are expected to propel the growth of Air Cargo Market in the region.

Huge demand for air cargo in Asia Pacific is attributed to the robust economic growth of the region and increased focus on retail enactment. Foreign players prefer Asian countries for the expansion of their manufacturing activities due to the availability of a cheaper workforce. Factors such as continuous urbanization, strong economic growth, and a large middle-class population create high domestic demand for fast-moving consumer goods, personal automobiles, household items, and luxury items. Additionally, companies in the e-commerce market opt for various logistic alternatives, including surface transport and air transport, to deliver items to their clients. Thus, with the flourishment of the e-commerce business, different purchase habits and trends have been noted in various countries in Asia Pacific. The proliferating e-commerce industry is likely to boost the air cargo market in Asia Pacific in the coming years with the rise in demand for parcel delivery services around the region.

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The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We specialize in industries such as Semiconductor and Electronics, Aerospace and Defense, Automotive and Transportation, Biotechnology, Healthcare IT, Manufacturing and Construction, Medical Device, Technology, Media and Telecommunications, Chemicals and Materials.

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