TCL warehousing and logistics capacity shows a vital increase in 2026

Temperature-Controlled Logistics’ warehousing added much needed capacity in 2025…but will there be more in ’26?

The past year brought a “vital” capacity increase in response to rising demand for temperature-controlled logistics services, according to a leading international cold chain trade group.

The Global Cold Chain Association’s (GCCA) 2026 Top 25 list of Temperature-Controlled Warehousing and Logistics reported their member businesses now operate 7.76 billion cubic feet (219.7 million cubic meters) of temperature-controlled space, an increase of 6.3 percent from 2025.

“The increase in capacity within the Top 25 over the past half-decade has been driven by significant consolidation activity as well as new cold storage facilities coming online, in response to strong demand for cold chain services,” said Shane Brennan, GCCA’s Senior Vice President, Global Policy, Projects & Partnerships. “Construction of new space in mature cold chain markets (including the US) is now more measured. Over the medium and longer term, we can expect steady and continued capacity growth in response to the ongoing increase in demand for frozen food and 3PL cold chain services, notwithstanding year-on-year fluctuations.”

The annual list recognizes the association’s largest temperature-controlled warehousing and logistics members, determined by their total reported capacity. GCCA membership includes more than 1,500 members and facilities in 92 countries offering a range of logistics solutions, including storage, transportation, processing, and blast freezing.

The global cold chain market size is estimated at $371 billion and is projected to reach $1.6 trillion by 2033, growing at a CAGR of 20.5 percent from 2026 to 2033. Changes in consumer preferences and growing e-commerce sales are expected to drive the market, reported Grandview Research.

Targeting the Market

Helping fuel the growth are firms such as Alpharetta, GA-based Agile Cold Storage which clocked in at just over 78 million cubic feet of capacity at 13 facilities in North America. Launched in early 2020, Agile is backed by ERA Partners LLC and the Continental Grain Co. with a goal of creating a nationwide network of greenfield TCL warehouses.

The company said it does not expand simply to grow and instead targets markets that make sense.

“Our goal is not to ‘build it (buildings with cold air) and they will come’ but rather to build partnerships with our customers based on delivering service excellence. We focus on providing a safe work environment for our associates, high standards for inventory accuracy that contribute to accuracy and speed filling customer orders, and productivity standards that ensure we operate at an efficiency level that results in competitive service for our customers,” said John Ripple, Chief Development Officer at Agile. “Our growth has been in cooperation with partner customers that value responsiveness and our willingness to accommodate their business needs with decisions made at the local level.”

“Agile Cold Storage continues to make strong progress... Our Kaufman, Texas and Buffalo, NY facilities opened in December of 2025. Our growth is continuing to the West Coast. Agile recently broke ground in Vernon, California, just south of Los Angeles, with the facility scheduled to open in Spring 2027. This project is another exciting milestone as we expand our footprint and strengthen our ability to serve customers across a broader, more connected network. As Agile grows, our focus remains the same: delivering modern, efficient facilities, strong teams, food safety, technology, and a customer-first approach that makes cold storage easier for our partners.”

“We have a structural advantage in the area of technology and automation. First, all of our facilities are modern new-construction purpose-built, purpose-designed cold storage facilities constructed to the latest standards. We are not burdened by deploying technology-band aids on 30-, 40-, and 50-year-old buildings. We have a mix of conventional, semi-automated, and fully automated facilities based on customer needs. When considering new development, we start with customer requirements, not what type of building we’d like to add to our portfolio. There is not a single building type that is most optimal,” Ripple said. “We consider customer mix, throughput, case/layer pick, product types/conditions, and several other factors when determining the level of automation in a building. Separately, a key differentiator for Agile is that our WMS that was purpose-built for our needs. It has all the functionality we need and none of the complexity we don’t. The WMS was architected around 21st century security needs and was designed and deployed considering modern day IT security challenges. We do not have multiple legacy systems from prior acquisitions to support both from the perspective of meeting customer needs and managing IT security.”

2026: Expansion Yes, But Less…

Although steady, the 6.3% growth of GCCA’s Top 25 to 7.76 billion cubic feet in 2026 is a deceleration from the 8.3% expansion recorded in 2025, as higher interest rates and tightening market conditions made operators more selective about new development.

“We might categorize this as a recalibration in the market. The beginning of 2026 didn’t see an easing of market conditions, and the uncertainty will remain elevated for the foreseeable future. Tariff uncertainty, geopolitical disruptions, high costs of capital, and some pockets of overcapacity are leading cold chain operators to be even more intentional about how they are growing,” said Adam Thocher, GCCA’s Senior Vice President, Global Market Engagement. “Speculative development around the world has slowed, and we don’t see that picking up again in the short term. Operators are prioritizing growth in markets where demand signals are clear, driven by population growth, rising protein consumption where both current and future business opportunities exist.”

“We predict the sector will continue to grow however if we take apart the food, pharma there are different paces for each of these segments and different industry needs in the short and medium term,” Thocher continued. “Over the last 5 years, the pace of growth has been fast and consistent from the GCCA member perspective – according to our international research ~10 percent CAGR – which stemmed from a confluence of factors that changed the investment thesis in the industry. At the time, low cost of capital, prediction of just in case over just in time inventory, tight labor markets, and high consumer confidence led to a significant amount of development amid the ongoing M&A activity that was already taking place globally. Today we are seeing a slowing of the speculative space globally and some pockets of oversupply in certain markets, but investment in response to demand.”

He said the Middle East, Asia Pacific and Africa markets present varied growth opportunities.

“The APAC market is a current focus for many investors who see opportunity. Some countries in the region have developed cold chain infrastructures while others are still emerging. The fundamentals of the region have made it an attractive place for investors who can understand that every area is unique. Some areas have aging infrastructure that may need modernization, other countries are seeing overcapacity challenges like we see in certain US markets, and others need basic infrastructure investment. We are seeing that those operators and investors who are developing regional networks are driving professionalism and maturity in the markets very quickly,” Thocher said. “In the GCCA, a caveat here is the ongoing regional stability and how long it takes for the international markets to see the area as a stable environment for investment and business opportunity to return. There has been significant focus from governments on regional food security. As the area is so heavily reliant on imports and global trade, investment in port capacity and transportation infrastructure has led to a large focus on facilitating the storage and distribution of temperature-controlled goods.”

“Africa is the area that has some of the greatest potential but also some of the largest challenges. We see significant interest and investment across the continent, and the fundamentals required for developing cold-chain infrastructure are all there – growing population, more middle-class families, urban resident growth all point to a growing need. GCCA has been working for quite a while to connect the disparate parties to develop the third-party logistics markets and infrastructure because there is interest and need, but access to capital, regulation, and a lack of knowledge of how cold chains can solve some of the major challenges with accessibility of foods present roadblocks.”

Brennan agreed and said the latest Farm Bill contains some dollars to help spur investment in Africa.

“There is a particular focus on cold chain infrastructure investment in East Africa, centered around Kenya and the Northern Corridor. Looking ahead, the progress of the 2026 Farm Bill in the U.S. could help unlock further investment into cold chain infrastructure in developing economies. The Bill includes the Fortifying Refrigeration Infrastructure and Developing Global Exports (FRIDGE) Act, which GCCA has championed. This provision directs the US Department of Agriculture to work with eligible trade organizations to enhance cold chain capacity, port infrastructure, and related logistics capabilities in emerging and developing export markets. Its implementation could help create new trade opportunities, improve food security and nutrition, and reduce food loss and waste.”

Cold Chain Challenges

Thocher said a more robust cold chain is eventually headed to developing countries, but challenges remain.

“Developing economies represent some of the most compelling long-term opportunities in the sector, but the investment calculus is fundamentally different from mature markets. There is significant investment locally and from foreign investors, but the equation isn’t simply about funding a building construction project and making the higher cost of capital work. Beyond capital, the industry development work itself is critical - convincing farmers and producers that cold chain utilization will yield higher returns on their product is often as important as the infrastructure investment itself,” he said. “The nicest buildings will be ineffective for the supply chain if there aren’t refrigerated transport providers available, the ports and import/export terminals are inefficient, or if the roads are impassable for significant periods. Access to water, reliable electricity, and a talent pool are yet more considerations that investors must take into account when entering emerging markets. GCCA and the Global Cold Chain Foundation have been bridging these gaps through capacity building, knowledge transfer, and connecting investors with local partners for over 20 years.”

The adoption of technologies such as RFID, sensors, cloud computing, IoT and automation has helped operators minimize waste and maximize efficiency,” Brennan said.

“There has been a strong correlation between the cold chain investment curve and improvements in efficiency. In the US, smart technologies are increasingly designed into new facilities, and they are also being applied to improve the efficiency of existing facilities,” he said. “Alongside embracing new technologies, temperature-controlled logistics businesses are improving efficiency through holistic approaches including training, business culture, sustainable practices and facility design. Advances in efficiency are further ahead in individual businesses than at an overall system level, and there is still plenty of scope for progress. We can expect continuous improvement at business and system levels for years to come.”

The food and beverage segment dominated the TCL market in 2025. But the pharmaceutical segment is expected to register significant growth in the future, both Thocher and Brennan said.

“The main difference between food and pharma supply chains is scale, not in value but volume, this does impact the relative size of the real estate need. Food and beverage logistics and pharmaceutical logistics operate in distinct regulatory spheres, so many 3PLs tend to specialize rather than offer services across both,” he said. “That said we expect continued exciting growth and innovation in the pharmaceutical supply chain from everyday medicines to advanced biotechnology.”