Moreover, the expansion of global trade has led to the need for more efficient and secure ways to track cargo as it moves across borders and through various transportation modes. Modern supply chains often involve multiple stakeholders, modes of transportation, and various hand-offs. Electronic cargo tracking systems help streamline these complex processes and provide real-time visibility into cargo movements. Cargo theft and security breaches are significant challenges in the logistics industry. Electronic cargo tracking systems help mitigate these risks by providing real-time alerts in case of unauthorized access or tampering.
| Attribute |
Segment |
|
By Type
|
|
|
By Application
|
-
Container
-
Truck
-
Tankers
-
Freight Aircraft
-
Others
|
|
By Technology
|
|
|
By Industry Vertical
|
|
|
By Geography
|
-
North America (U.S., Canada and Mexico)
-
Europe (Germany, France, UK, Italy, Spain, Russia and Rest of Europe),
-
Asia-Pacific (China, Japan, South Korea, India, Australia & New Zealand and Rest of Asia-Pacific),
-
South America (Brazil, Argentina, Chile, Colombia and Rest of South America)
-
Rest of the World (Middle East and Africa).
|
COVID-19 / Ukraine Crisis - Impact Analysis:
• The COVID-19 pandemic has significantly impacted the Electronic Cargo Tracking System (ECTS) market. It has led to increased cargo pendency and dwell times at ports, affecting logistics and supply chains. Additionally, ECTS in the transportation and logistics sector has seen disruptions due to the pandemic, affecting global trade and transportation industries. The pandemic has highlighted the importance of resilient ECTS solutions to adapt to the challenges posed by global crises.
• The Electronic Cargo Tracking System (ECTS) market in Ukraine has experienced disruptions due to the ongoing Ukraine Crisis. This crisis has led to logistical challenges, affecting the transportation and tracking of cargo. ECTS providers are adapting to the changing landscape to ensure the security and efficiency of cargo shipments amidst this crisis, but the market has been impacted significantly.
Key Takeaways:
• APAC Exhibits the Fastest Growth
APAC is expected to grow at higher CAGR during the forecast period 2024-2030. The Asia-Pacific region, boasting several major economies and witnessing swift economic expansion, is witnessing a surge in trade activities. This growth is fuelling a rising demand for Electronic Cargo Tracking Systems as businesses seek efficient ways to monitor and secure their shipments, promoting innovation and competitiveness in the market.
Additionally, according to the U.S United Nations Economic and Social Commission for Asia and the Pacific, Real exports from Asia-Pacific are predicted to increase by 3.0% while imports are predicted to decrease by 0.3%. It is projected that the nominal value of merchandise trade in Asia and the Pacific is US$ 19.0 trillion in 2023. The regional merchandise trade is anticipated to develop slightly more in 2023. As trade continues to expand, businesses will seek more efficient and secure ways to monitor and manage their cargo, driving the market for these systems.
• Air Type Segment Register the Fastest Growth
The "Air" segment of the Electronic Cargo Tracking System (ECTS) has experienced the fastest growth in recent years, and expected to continue the same trend in the forecast period. This remarkable expansion is attributed to increased demand for swift and efficient air freight transportation, driven by e-commerce and global supply chain dynamics. The rapid adoption of air cargo services has propelled the "Air" segment to unprecedented growth levels, transforming the logistics industry.
For instance, according to the Bureau of Transportation Statistics in December 2023, air cargo revenue ton miles reached 2.57 billion, indicating a robust demand for efficient cargo tracking systems. This data underscores the critical need for advanced Electronic Cargo Tracking Systems to enhance supply chain management, security, and logistics operations, offering substantial growth opportunities for providers in this market.
• Government and Defense sector leading the Market
The Government and Defense sector held the largest market share in 2023. The demand for electronic cargo tracking systems in the Government and Defense sectors is driven by enhanced security needs. These systems offer real-time monitoring, ensuring the security and integrity of high-value and sensitive cargo during transportation. This prevents theft, tampering, and unauthorized access, making them crucial for safeguarding defense equipment, weapons, and classified materials.
For instance, according to the World Bank, India's military expenditure (% of GDP) was recorded at 2.4% in 2023. This financial commitment reflects the nation's focus on bolstering its defense capabilities. Consequently, the Electronic Cargo Tracking System Market is experiencing heightened demand, particularly in the Government and Defense sectors, as security and logistics play pivotal roles in safeguarding the country's interests.
• The Growing Importance of Cargo Security
Cargo security is becoming increasingly vital in today's globalized world. With the increasing risks of theft, tampering, and smuggling, companies are looking for ways to enhance the security of their cargo. ECTS provides real-time tracking and monitoring of cargo, allowing companies to detect and respond to any security breaches promptly. This helps in preventing theft, reducing losses, and ensuring the integrity of the supply chain.
According to the International Air Transport Association, Air cargo moves nearly $6 trillion in goods, accounting for around 35% of global trade in terms of value. This substantial economic activity underscores the critical need for robust tracking and security solutions to protect these valuable shipments.
• High Implementation Costs Hampers the Market Growth
The Electronic Cargo Tracking System (ECTS) market faces a significant hurdle in the form of high implementation costs. This includes expenses for hardware, software, and integration with existing systems. Such expenditures can be prohibitive for small and medium-sized businesses, limiting their ability to adopt ECTS solutions, and hindering market expansion.
The Electronic Cargo Tracking System (ECTS) Market Share (%) By Region, 2023
Key Market Players:
Product/Service launches, approvals, patents and events, acquisitions, partnerships and collaborations are key strategies adopted by players in the The Electronic Cargo Tracking System (ECTS) Market. The top 10 companies in this industry are listed below:
1. Ascent Solutions Pte. Ltd. (Ascent)
2. Transecur Telematics Pvt. Ltd (Transecur)
3. Descartes Systems Group Inc. (Descartes)
4. Avante International Technology, Inc. (Avante)
5. Utrack Africa Limited (Utrack)
6. Gurtam (Gurtam)
7. Jointech (Jointech)
8. Teltonika (Teltonika)
9. SGS S.A. (SGS)
10. Orbcomm Inc. (Orbcomm)
Scope of the Report:
Email
Print
