Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value

The global logistics sector, valued at nearly $8 trillion, contributes 11% of global greenhouse gas emissions. In emerging markets, high logistics costs—reaching 27% of GDP in the Philippines—make green innovation an economic driver. The report identifies 15 innovation levers across four themes: green fuel production, green vehicle manufacturing, green infrastructure, and digital operational enhancement. Key barriers to scaling include regulatory fragmentation, high upfront costs, and skills gaps. The report proposes a playbook involving integrated policy frameworks, blended finance, workforce upskilling, and ecosystem collaboration to transition from pilot projects to systemic scale.

• The global logistics sector is a major contributor to climate change, accounting for 11% of global greenhouse gas emissions from freight transport, ports, and warehousing.
• The report identifies 15 innovation levers for systemic change categorized into four themes: green fuel production and use; green vehicle and propulsion manufacturing and adoption; green infrastructure construction; and digital and green operational enhancement.
• Scaling green logistics in emerging markets is hindered by three primary systemic barriers: fragmented policy and regulatory frameworks, limited financial resources and skills gaps, and a lack of ecosystem-wide alignment combined with data fragmentation.
• China has implemented a multi-tiered policy framework that integrates national strategies, such as the 14th Five-Year Plan for Modern Logistics Development, with regional pilot projects to accelerate green transition.
• Brazil leverages its position as a top biofuel producer through mandatory policies, including a mandatory ethanol blend since the 1970s and a law requiring a 1% reduction in aviation GHG emissions via SAF starting in 2027.
• Public-private partnerships (PPPs) are highlighted as essential for closing infrastructure financing gaps, exemplified by the $1.5 billion Lekki Deep Sea Port project in Nigeria and a $250 million sustainable logistics park at Jeddah Port in Saudi Arabia.
• The report argues that workforce readiness requires both technical upskilling in automation and digital supply chain management, as well as the implementation of behavioral incentives like green performance bonuses.

APA

World Economic Forum (2025). Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value. https://reports.weforum.org/docs/WEF_Green_Logistics_Innovation_for_Emerging_Markets_Driving_Competitiveness_and_Shared_Value_2025.pdf

Chicago

World Economic Forum. Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value. 2025. https://reports.weforum.org/docs/WEF_Green_Logistics_Innovation_for_Emerging_Markets_Driving_Competitiveness_and_Shared_Value_2025.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value |date=November 2025 |url=https://reports.weforum.org/docs/WEF_Green_Logistics_Innovation_for_Emerging_Markets_Driving_Competitiveness_and_Shared_Value_2025.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2025green, author = {{World Economic Forum}}, title = {{Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value}}, institution = {World Economic Forum}, year = {2025}, month = nov, url = {https://reports.weforum.org/docs/WEF_Green_Logistics_Innovation_for_Emerging_Markets_Driving_Competitiveness_and_Shared_Value_2025.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }