US Transportation and Warehousing Sector NAICS 48

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Industry Summary
The 237,500 transportation and warehousing establishments in the US provide the transport of commodities, goods, cargo, and passengers by land, sea, or air as well as temporary and long-term storage for goods.
Variable Fuel Costs
Fuel is a major expense, and the cost can vary significantly based on global market conditions.
Supply Chain Interdependence
The transportation and warehouse sectors are integral parts of the supply chain so the sectors are dependent on the effectiveness of the other links, which include suppliers, manufacturers, wholesalers, importers, exporters, e-commerce, and distributors that may be located anywhere in the world.
Recent Developments
Aug 21, 2025 - Shipping Volume and Customer Spending Up in Q2
- The freight trucking industry increased both volume of shipped goods and spending in Q2 2025 for the first time in three years, a welcome bright spot for an industry having a tough year of tariff woes and overall economic unease. The US Bank National Shipments Index rose 2.4% from Q1, while the National Spend Index grew 1.2%. All five regional trends also improved shipment volume over Q1, with the Southwest leading the way at 6.7%. While positive in the short term, the year-over-year results still show a shrinking industry - shipments down 9.8% and spending dropping 4.9% compared to Q2 2024. Amid an economic environment of uneven manufacturing activity, marginal consumer spending growth, and an up and down housing market, industry experts caution that the positive financial results could be from lower trucking capacity rather than higher demand from customers.
- Import cargo volume to US ports should end the year down 5.6% compared to 2024, according to a forecast from the National Retail Federation (NRF) and trade consultancy Hackett Associates. US ports in June 2025 processed about 1.96 million twenty foot equivalent units (TFEU, a measuring standard in shipping equal to the volume of a 20-foot container), an 8.4% year-over-year decrease. The NRF report attributes the glum forecast in the back half of the year to inventory stockpiling early in 2025 in anticipation of tariffs, as well as port worker labor disputes in late 2024 that also had buyers thinking ahead and stocking up on goods. The pulling forward of cargo drove a 2025 year to date TFEU increase of 3.6%, which NRF expects to decline rapidly as companies buy less goods due to soaring tariffs and rely on those stockpiles instead.
- An $85 billion megamerger between Union Pacific and Norfolk Southern will create the nation’s largest rail company. The combined company will create a massive rail network that spans the entirety of North America and will transport the majority of freight in the US. Union Pacific, with a market value of about $140 billion, has touted the benefits of a transcontinental railroad in America claiming it would improve service and reduce delays when changing cargo to a new rail carrier. Norfolk Southern, worth $60 billion, was particularly vulnerable to takeover because of an infidelity scandal that drove out CEO Andy Shaw last year, as well as its poor handling of a 2023 train derailment and chemical spill in East Palestine, Ohio. The proposed deal struck is likely spur intense regulator scrutiny from the US government.
- There is more vacant warehouse space across the US than at any point in the last 11 years as companies respond to tariffs by delaying leasing space. According to real estate firm Cushman & Wakefield, vacancy rates climbed to 7.1% in Q2, up from 6.9% in Q1 and 6.1% year over year. Vacancy rates haven’t climbed higher than 7% since 2014. Warehouse leasing by retailers, wholesalers, and manufacturers is based on long-term planning, and the yo-yoing tariff situation runs counter to that strategy. Businesses stockpiled inventory before the tariffs were announced and then paused overseas orders and leasing decisions afterwards. Tariff headaches come at a time of weak demand for warehousing after a building boom during and after the pandemic oversaturated the market and drove vacancy rates down to 3%. Developers have since pulled back on warehouse construction, with newly built space available down 49% from last year.
Industry Revenue
US Transportation and Warehousing Sector

Industry Structure
Industry size & Structure
The transportation and warehousing sector is comprised of 237,500 establishments that employ 6.6 million workers and generate $1.4 trillion in annual revenue, according to government sources.
- The transportation and warehousing sector represents 2.7% of the nation's Gross Domestic Product (GDP) and employs 4% of the country's workers.
- The sector is concentrated at the top with the 20 largest firms representing 34% of revenue, but it is fragmented at the bottom.
- In addition to employer establishments, the transportation and warehousing sector has 2.5 million owner-operated establishments with no employees. Subsectors with the highest numbers of nonemployer establishments are transit and ground passenger transportation (52%); truck transportation (27%); couriers and messengers (14%); and support activities for transportation (6%). The owners of nonemployer establishments typically perform the work and may outsource support functions like marketing and accounting.
- The transportation and warehousing sector shed about 27,000 establishments in 2021, which equals about 8.5% of existing establishments, according to the Bureau of Labor Statistics. However, the sector added about 43,000 new establishments, which is equivalent to 13.6% of existing establishments. As a result, the sector had a growth rate of 5%.
- The transportation and warehousing sector is forecast to grow its employment base by 8.4% overall in 2021-2031, which is higher than the national average of 5.3% for all jobs, according to the Bureau of Labor Statistics.
Industry Forecast
Industry Forecast
US Transportation and Warehousing Sector Industry Growth

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