(MENAFNEditorial) Comprehensive analysis maps trade corridor expansion, multimodal infrastructure upgrades, and e-commerce–led demand reshaping the UAE’s logistics backbone.

Delhi, India — November 2025 — Ken Research has released its latest mandate titled “UAE Logistics Market Outlook to 2028,” indicating that the UAE logistics market is projected to cross USD 110 billion by 2028, supported by its role as a global transshipment hub, sustained non-oil diversification, and large-scale investments in ports, free zones, and integrated logistics parks. The report decodes how the country’s strategic location between Asia, Europe, and Africa, combined with pro-trade policies, continues to anchor its logistics competitiveness.

The 150+ page report provides in-depth coverage of freight forwarding, warehousing, contract logistics, express & parcel, and value-added services across key corridors including Jebel Ali, Abu Dhabi, Sharjah, and emerging logistics clusters. It benchmarks the strategies of leading operators such as DP World, Abu Dhabi Ports, Aramex, UPS, DHL, and Emirates SkyCargo, tracking capacity additions, digital investments, and vertical focus across retail, industrial, energy, and healthcare sectors.

“The UAE is transitioning from a transit-driven logistics hub to an integrated supply chain orchestrator,” said Ankur Gupta, Director at Ken Research. “Players who combine infrastructure, technology, and sector specialization will capture disproportionate value in the next growth cycle.”

Key Growth Drivers Shaping the UAE Logistics Ecosystem
1. Non-Oil Diversification and Trade Facilitation
The UAE’s economic agenda focuses on expanding non-oil trade, manufacturing, and re-exports. Simplified customs processes, single-window trade platforms, and free zone incentives are boosting throughput across ports and airports, enhancing the country’s relevance as a regional consolidation and redistribution hub.

2. E-commerce and Omnichannel Fulfilment Boom
Rapid growth in online retail, cross-border e-commerce, and D2C brands is driving demand for last-mile delivery, dark stores, and e-fulfilment centers. The report highlights how e-commerce logistics is expected to grow at a double-digit CAGR through 2028, pushing 3PLs to redesign networks for same-day and next-day delivery SLAs.

3. Multimodal Integration through Etihad Rail and Port Linkages
National rail development and enhanced road-port-air connectivity are reshaping freight flows. The integration of Etihad Rail with industrial zones, ports like Khalifa and Jebel Ali, and inland logistics hubs is expected to reduce transit times, optimize cost structures, and unlock new corridors for bulk and containerized cargo.

4. Advanced Warehousing, Automation, and 3PL Outsourcing
Developers and 3PLs are increasingly investing in grade A warehouses, automation, WMS, and temperature-controlled facilities. The report notes rising outsourcing to contract logistics providers as manufacturers and retailers focus on core operations while demanding higher visibility, flexibility, and cost efficiency from specialist partners.

5. Regulatory Stability and Free Zone Competitiveness
Business-friendly policies, long-term visas, favorable FDI regulations, and specialized free zones such as JAFZA, Dubai South, and KIZAD continue to attract global logistics players. The study maps how these zones are evolving into integrated ecosystems with clustering for automotive, FMCG, pharmaceuticals, and industrial goods.

Strategic Questions Answered in the Report
How will multimodal integration and rail connectivity alter freight economics in the UAE by 2028?

Which verticals (FMCG, pharma, automotive, industrial, retail) are expected to lead logistics demand?

What role will technology – including TMS, WMS, IoT, and data analytics – play in margin improvement?

How can global and regional players position themselves to benefit from free zone upgrades and regulatory clarity?

Competitive Benchmarking and Market Outlook
The report benchmarks 20+ leading operators across freight forwarding, warehousing, and express logistics, analyzing their service portfolios, lane strengths, key customer segments, and digital capabilities. It assesses how DP World’s port-centric logistics strategy, Aramex’s regional express leadership, and Emirates SkyCargo’s air freight strength are converging into integrated supply chain solutions.

“The UAE logistics landscape is entering a phase where differentiation comes from solutions, not just assets,” observed Harsh Saxena, Principal at Ken Research. “End-to-end visibility, sustainability, and sector-specific expertise will be the core levers of competitive advantage.”

Strategic Insights for Investors, Operators, and Policymakers
Detailed market sizing and forecast for key logistics segments up to 2028

Corridor-wise analysis covering sea, air, road, and upcoming rail freight

Warehousing supply, occupancy trends, and grade A vs. grade B stock dynamics

Vertical-wise case studies for retail, automotive, industrial, oil & gas, and pharmaceuticals

Policy and regulatory landscape, including customs reforms and free zone positioning

White-space opportunities in cold chain, contract logistics, e-commerce fulfilment, and value-added services

About Ken Research
Ken Research offers strategic market intelligence and advisory solutions across logistics, transportation, and industrial infrastructure. Its data-backed research helps global companies, investors, and policymakers navigate evolving trade corridors, regulatory landscapes, and infrastructure-led growth opportunities.

Contact:
Ankur Gupta
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