Cold Chain Logistics Market: Pharmaceutical Biologics Demand and Fresh Grocery E-Commerce to Drive Market Growth

The global cold chain logistics market was valued at USD 415.6 billion in 2025 and is projected to reach USD 764.06 billion by 2035, expanding at a CAGR of 7.0%. Cold chain logistics — encompassing the temperature-controlled transportation, warehousing, and monitoring of perishable products across the supply chain — is the critical infrastructure connecting pharmaceutical manufacturers to patient healthcare settings, food producers to retail shelves, and fresh grocery e-commerce platforms to consumer doorsteps. The market is structurally driven by three demand forces: the explosive growth of biologics, biosimilars, and cell and gene therapies requiring ultra-cold storage and distribution; the expansion of fresh grocery and meal kit e-commerce requiring chilled last-mile delivery infrastructure; and the tightening of global food safety regulations mandating documented temperature chain integrity.

The transportation segment holds the dominant cold chain logistics revenue share, anchored by the capital intensity of refrigerated truck fleets, reefer container operations, and temperature-controlled air freight. Pharmaceuticals and biologics is the fastest-growing cold chain application, driven by the disproportionate growth of temperature-sensitive therapies within the global pharmaceutical market. Active cold chain — where mechanical refrigeration maintains temperature throughout the supply chain — is the dominant temperature control method, but passive cold chain using advanced phase change materials and vacuum-insulated packaging is growing fastest in the last-mile pharmaceutical delivery segment where active refrigeration infrastructure is not available.

Executive Snapshot

What is the confirmed market size and growth trajectory for the global cold chain logistics market?
The market was valued at USD 415.6 billion in 2025 and is projected to grow at a CAGR of 7.0% to USD 764.06 billion by 2035. Transportation holds the dominant service type revenue share. Refrigerated warehousing is the dominant warehousing type. Pharmaceuticals and biologics is the fastest-growing application. Active cold chain is the dominant temperature control method. The chilled 2°C to 8°C temperature range is the largest by revenue. North America leads by revenue; Asia-Pacific is fastest-growing.

What makes pharmaceuticals and biologics the fastest-growing cold chain application?
Biologics — protein-based drugs including monoclonal antibodies, vaccines, insulin, and recombinant proteins — require 2°C to 8°C continuous cold chain integrity from manufacturing to patient administration. Cell and gene therapies additionally require ultra-low temperatures below -70°C and in many cases cryogenic storage below -150°C — creating the most technically demanding and highest-value cold chain requirements in any product category. As biologics and cell therapies grow from approximately 40% to a projected 55% of the global pharmaceutical pipeline by 2030, each percentage point of biologics market share growth creates proportionately larger cold chain logistics demand.

How does IoT-enabled temperature monitoring transform cold chain risk management?
IoT temperature data loggers, real-time GPS telematics, and cloud-based visibility platforms enable cold chain operators to monitor shipment temperature, location, and condition continuously from origin to destination — with automated alerts triggering corrective action when temperature excursions are detected before product quality is compromised. This real-time monitoring capability is shifting cold chain risk management from retrospective documentation — where excursions are discovered upon delivery — to proactive intervention that protects product integrity during transit. Regulatory agencies including FDA and EMA are progressively requiring real-time temperature monitoring documentation for pharmaceutical cold chain shipments.

How is fresh grocery e-commerce creating structural last-mile cold chain investment demand?
Fresh grocery e-commerce — where consumers order produce, meat, dairy, and meal kits for home delivery — requires refrigerated last-mile delivery infrastructure that conventional grocery logistics cannot provide. Each grocery delivery vehicle must maintain chilled 2°C to 8°C and frozen -18°C zones simultaneously, while completing 20 to 40 consumer deliveries per route at commercially viable per-order delivery cost. This last-mile cold chain requirement is driving investment in electric refrigerated delivery vehicles, insulated delivery packaging that maintains temperature for 2 to 8 hours post-vehicle delivery, and micro-fulfilment dark store networks positioned within 30-minute delivery range of consumer density.

What is driving warehouse automation adoption in cold storage facilities above ambient warehouse automation rates?
Cold storage warehouse automation — AS/RS systems, AGVs, and robotic picking operating in sub-zero environments — is being adopted at rates above ambient warehouse automation because the labour availability crisis is most acute in cold storage environments where workers are limited by regulatory working time restrictions in freezing temperatures. Automated systems can operate continuously in -25°C frozen storage and -70°C deep-frozen environments without the labour exposure limitations that restrict human working hours — creating an even stronger economic case for automation in cold storage than in ambient warehousing.

How do government and NGO cold chain programmes for vaccine distribution create structured public-sector demand?
WHO’s Expanded Programme on Immunization, COVAX vaccine delivery infrastructure, and national government public health immunisation programmes create structured public-sector cold chain procurement that is independent of commercial market demand cycles. Vaccine cold chain logistics — requiring 2°C to 8°C integrity from manufacturer to last-mile health clinic in remote rural settings — drives cold chain investment in developing markets where commercial pharmaceutical logistics infrastructure is insufficient.

Market Dynamics: Cold Chain Logistics Market

  • The chilled 2°C to 8°C temperature range is dominant by revenue because it serves both pharmaceutical biologics and fresh grocery — the two highest-growth cold chain application categories simultaneously. The 2°C to 8°C chilled range’s revenue dominance reflects the convergence of pharmaceutical biologics and fresh grocery cold chain requirements within the same temperature band — enabling cold chain infrastructure investment to serve two high-growth markets simultaneously, improving asset utilisation economics above single-application cold chain operations.
  • Deep-frozen below -25°C is the fastest-growing temperature range segment, driven by cell and gene therapy ultra-low temperature requirements creating entirely new cold chain infrastructure. Cell and gene therapy logistics at -70°C to -196°C cryogenic temperatures requires liquid nitrogen dry shippers, cryogenic storage vessels, and temperature monitoring systems that have no precedent in conventional pharmaceutical cold chain infrastructure — creating a new cold chain segment with no existing asset base and therefore 100% growth from commercial adoption.
  • Reefer container sea freight is growing fastest among transportation modes, driven by the Asia-to-Europe and Asia-to-North America pharmaceutical and perishable food export lanes. Reefer container sea freight growth is anchored by pharmaceutical API and finished goods exports from Asia — where active pharmaceutical ingredient manufacturing is concentrated in India and China — requiring temperature-controlled ocean transport to European and North American distribution centres. The growth of Asian protein exports (shrimp, fish, tropical fruit) to European and North American markets adds high-volume food perishable reefer container demand alongside pharmaceutical lanes.
  • Monitoring and telemetry services are the fastest-growing cold chain service type, transitioning from add-on compliance documentation to core operational value-creation tools. Real-time temperature monitoring, GPS location tracking, and automated alert systems are transitioning from compliance add-ons to core operational tools as cold chain operators use continuous data streams to optimise route planning, predict equipment maintenance needs, and demonstrate regulatory compliance — reducing insurance premiums and enabling premium pricing above unmonitored cold chain competitors.
  • Integrated cold chain logistics — where a single provider manages transportation, warehousing, and monitoring under a unified service level agreement — is growing fastest among cold chain logistics types. Integrated cold chain logistics providers managing the full cold chain under a single SLA eliminate the temperature excursion risk at handoff points between transport, warehouse, and delivery operators — the most common location of cold chain failures in multi-provider arrangements. Pharmaceutical companies in particular prefer integrated cold chain providers for high-value biologics where handoff temperature excursions can result in product destruction and patient safety events.
  • Asia-Pacific is the fastest-growing cold chain region driven simultaneously by pharmaceutical export growth and domestic fresh food e-commerce expansion. Asia-Pacific’s cold chain demand growth combines pharmaceutical API and biologics manufacturing cold chain export requirements — anchored in India’s API and biosimilars export growth — with domestic fresh food and grocery e-commerce cold chain demand anchored in China’s and South Korea’s mature grocery e-commerce markets.

Market Segmentation: Cold Chain Logistics Market

By Temperature Range
  • Chilled (2°C to 8°C)
  • Frozen (-18°C to -25°C)
  • Deep-Frozen (Below -25°C)
  • Ambient Controlled (8°C–15°C / 15°C–25°C)
  • Others
By Type
  • Cold Chain Transportation
  • Cold Chain Warehousing
  • Integrated Cold Chain Logistics
By Temperature Control Method
  • Active Cold Chain
  • Passive Cold Chain
By Technology
  • Refrigerated Transportation Equipment
    • Refrigerated Vehicles
    • Insulated Vans
    • Refrigerated Trucks (Light, Medium & Heavy Duty)
    • Reefer Containers
  • Refrigeration Equipment
    • Compressors
    • Evaporators
    • Condensers
  • Cold Storage Technologies
    • Blast Freezers
    • Cold Rooms
    • Modular Cold Storage
  • IoT & Monitoring Solutions
    • RFID & Barcode Systems
    • Temperature Data Loggers
    • GPS & Telematics
    • Cloud-Based Visibility Platforms
  • Warehouse Automation
    • Automated Storage & Retrieval Systems (ASRS)
    • Automated Guided Vehicles (AGVs)
    • Warehouse Management Systems (WMS)
  • Others
By Service Type
  • Transportation
    • Road Transportation
    • Rail Transportation
    • Sea Transportation
    • Air Transportation
  • Warehousing & Storage
    • Refrigerated Warehousing
    • Frozen Warehousing
    • Chilled Warehousing
  • Value-Added Services
    • Packaging & Labeling
    • Kitting & Assembly
    • Order Fulfillment
    • Cross-Docking
  • Monitoring & Telemetry Services
    • Real-Time Temperature Monitoring
    • Location Tracking (GPS/RFID)
    • Automated Alerts & Reporting
  • Installation & Maintenance Services
    • Refrigeration Units
    • Temperature Sensors
    • Warehouse Infrastructure
  • Others
By End User
  • Pharmaceutical & Biotechnology Companies
  • Food & Beverage Manufacturers
  • Retail Chains & Supermarkets
  • E-commerce Grocery Platforms
  • Hospitals & Clinics
  • Diagnostic Laboratories
  • Chemical Manufacturers
  • Government, Defense & NGOs
  • Other End Users
By Application
  • Fruits & Vegetables
  • Meat & Poultry
  • Fish & Seafood
  • Dairy Products & Frozen Desserts
  • Bakery & Confectionery
  • Ready-to-Eat Meals
  • Pharmaceuticals & Biologics
  • Vaccines & Clinical Trial Materials
  • Chemicals & Specialty Materials
  • Floral Products
  • Other Applications
By Geography
  • North America: United States, Canada, and Mexico
  • Europe:  Germany, U.K., France, Italy, Spain, Russia, Benelux, Nordics, and Rest of Europe
  • Asia Pacific: China, Japan, India, South Korea, Australia, New Zealand, Taiwan, South East Asia, and Rest of Asia Pacific
  • Latin America: Brazil, Argentina, Columbia, Chile, Peru, and Rest of Latin America
  • Middle East: Saudi Arabia, United Arab Emirates, Oman, Qatar, and Rest of Middle East
  • Africa: Nigeria, Egypt, Ethiopia, South Africa, and Rest of Africa

Key Growth Drivers: Cold Chain Logistics Market

  1. Biologics and biosimilars growing to projected 55% of global pharmaceutical pipeline by 2030, creating mandatory 2°C-8°C cold chain for a growing majority of pharmaceutical products. Each percentage point of biologics’ pharmaceutical pipeline share growth creates proportionately larger cold chain logistics demand — making biologic pipeline growth the most commercially reliable structural driver of pharmaceutical cold chain market expansion.
  2. Cell and gene therapy below -70°C ultra-low cold chain creating an entirely new infrastructure segment with no existing asset base. Cell and gene therapies requiring cryogenic -70°C to -196°C cold chain create commercial investment demand in liquid nitrogen dry shippers, cryogenic storage, and monitoring systems that have no existing asset base — representing 100% new cold chain investment.
  3. Fresh grocery e-commerce requiring last-mile refrigerated delivery infrastructure at commercially viable per-order cost. Fresh grocery e-commerce’s last-mile cold chain requirement is driving investment in electric refrigerated delivery vehicles, insulated delivery packaging, and micro-fulfilment dark store networks — the most capital-intensive e-commerce logistics infrastructure investment category.
  4. Food safety regulation tightening temperature chain documentation requirements, converting cold chain monitoring from voluntary to mandatory. FDA’s Food Safety Modernization Act, EU Food Safety Regulation, and national food safety frameworks tightening temperature monitoring and documentation requirements convert cold chain investment from competitive differentiation to regulatory compliance obligation.
  5. Cold storage warehouse automation creating 24/7 operational capability in sub-zero environments impossible with labour-restricted human operations. Automated cold storage systems operating continuously in -25°C environments without the labour exposure time restrictions affecting human workers create throughput economics that make automation ROI superior in cold storage versus ambient warehouse operations.
  6. WHO, COVAX, and national immunisation programme procurement creating non-discretionary public-sector cold chain demand independent of commercial market cycles. Government vaccine cold chain logistics procurement from WHO and national immunisation programmes creates structured public-sector demand that sustains cold chain infrastructure investment in developing markets independent of commercial logistics market conditions.

Regional Outlook: Cold Chain Logistics Market

  • North America: Dominant established market anchored by Lineage Inc.’s 480-plus temperature-controlled warehouses and 3 billion cubic feet of capacity across 19 countries, Americold’s U.S. cold storage REIT, and UPS Healthcare Logistics’ pharmaceutical and biotech cold chain network. The U.S. biologics and biosimilars pipeline is the world’s largest, creating sustained pharmaceutical cold chain demand growth.
  • Europe: Significant established market with pharmaceutical cold chain concentrated in Switzerland, Germany, Ireland, and Belgium — the primary EU pharmaceutical manufacturing hubs. EU GDP pharmaceutical logistics compliance requirements and EU food safety regulation temperature documentation mandates create the most stringent regulatory cold chain framework globally, sustaining premium cold chain service pricing.
  • Asia-Pacific: Fastest-growing regional market driven by India’s pharmaceutical API and biosimilars export cold chain, China’s domestic fresh grocery e-commerce cold chain investment, and Australia’s and New Zealand’s protein export refrigerated logistics. South Korea’s kimchi, seafood, and pharmaceutical logistics cold chain represent one of the highest per-capita cold chain infrastructure densities in the region.

Competitive Landscape: Cold Chain Logistics Market

Key Players: Lineage Inc. (NASDAQ: LINE), Americold Realty Trust (NYSE: COLD), UPS Healthcare Logistics, DHL Life Sciences & Healthcare, FedEx Custom Critical, CEVA Logistics, Kuehne+Nagel (Life Sciences), DSV (Cold Chain), Maersk (Temperature-Controlled), NYK Line (Reefer), Geodis (Life Sciences), World Courier (CEVA), and XPO (Refrigerated Transport)

Recent Developments

  • Lineage Inc.’s FY2024 Annual Report filed with the SEC confirmed the November 2024 acquisition of ColdPoint Logistics for USD 223 million — expanding Lineage’s presence in the strategic Kansas City market — alongside the opening of a new, fully automated cold storage warehouse in Hazleton, PA, backed by its patented LinOS technology with full pallet, layer pick, and case pick automation capabilities.
  • UPS’s FY2024 Annual Report filed with the SEC confirmed the January 2025 acquisition of Frigo-Trans and Biotech & Pharma Logistics in Germany for approximately USD 440 million — described as an “industry-leading, complex healthcare logistics provider” — to increase complex cold-chain capabilities internationally within UPS’s Healthcare Logistics and Distribution business.
  • Lineage Inc.’s 2025 Annual Report proxy filed with the SEC described 2024 as a “transformational year” anchored by the largest IPO of 2024 and the largest REIT IPO in history on the Nasdaq Global Select Market in July — establishing Lineage as a publicly traded cold storage leader with 480-plus warehouses across 19 countries and approximately 3 billion cubic feet of capacity.

Consultant POV

The cold chain logistics market’s 7.0% CAGR through 2035 from a USD 415.6 billion 2025 base is driven by pharmaceutical biologics and cell therapy requirements that are structurally non-discretionary — every gram of biologic drug produced requires end-to-end cold chain integrity, creating logistics demand that grows proportionately with the biologics pipeline regardless of macroeconomic conditions. Lineage’s ColdPoint acquisition and Hazleton automated warehouse launch, UPS’s Frigo-Trans USD 440 million healthcare cold-chain acquisition, and Lineage’s landmark 2024 REIT IPO collectively document that the cold chain logistics market is attracting its largest-ever capital investment from both specialist operators and logistics conglomerates — confirming that the market’s structural demand drivers have created investment economics that justify long-duration capital commitment at institutional scale.

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