ASEAN Road Network: What is it?
The ASEAN Road Network is a connected network of trucking routes, crossing six countries and transporting over 15 million kilograms in 2019. The Association of Southeast Asian Nations (ASEAN) Road Network is an excellent alternative to the traditional shipping options, especially in times of disruption. ASEAN countries include Indonesia, Thailand, Singapore, Malaysia, Philippines, Vietnam, Brunei, Cambodia, Myanmar (Burma), Laos.
Growing Demand
Customers are constantly looking for quicker and more cost-effective means to deliver goods to end consumers; hence, trucking has gained popularity in the past few years. The ASEAN Cross-border Road Transport Market will see an estimated growth of 15% per year to USD 4.57B by 2024.
The primary industries using cross-border services in today’s market are as follows:
- Manufacturing and Automotive
- Oil and Gas, Chemicals
- Agriculture, Fishing, and Forestry
- Construction
- Distributive Trade
- Pharmaceutical and Healthcare
- Telecommunications
- Food and Beverage
In addition to these industries, Expeditors also serves Electronics, Hi-tech, and Solar Energy customers in our cross-border trucking services.
Increasing Population and Urbanization Demanding for a Stronger Flow of Goods and Services
Southeast Asia makes up a combined population of 640 million people. The region is the 3rd most populous globally, equal to almost 8.5% of the total world population.
High population, growing economies, and rising disposable income propel the demand for consumer goods. The growing demand presents an opportunity for businesses to expand their activities in other ASEAN countries, thereby fostering the cross-border trade of goods.
The integrated logistics of cross-border trucking and customs clearance and value-added services such as storage, packaging, and white glove services are crucial differentiators in the market. Expeditors is well-positioned in offering all these as an end-to-end solution to our customers.
