How AI, delivery drones helped China cut logistics costs to a new low
Beijing brings per unit costs to lowest level on record – though outlays still remain well above levels in most developed economies

The ratio of total social logistics costs to gross domestic product fell to 13.9 per cent in 2025 – the lowest level on record – down from 14.1 per cent in 2024, according to data released by the National Development and Reform Commission.
That meant 13.9 yuan (US$2.01) was spent on logistics for every 100 yuan of economic output, a crucial measure of supply-chain efficiency and overall productivity.
Many of these applications remain in the trial or early adoption stage, suggesting potential for further growth. Industry-wide penetration and depth of intelligent operations lag behind those of leading global logistics companies, while some high-end technologies continue to depend on imported components.
Infrastructure also underpins China’s strengths. The country has been the world’s largest logistics market for nearly a decade, with total value reaching 368.2 trillion yuan (US$53.3 trillion) in 2025, up 5.1 per cent year on year in real terms. Parcel deliveries climbed to 216.5 billion, an 11.8 per cent increase.