Automated Guided Vehicle Market Size, Share & Trends Analysis Report By Vehicle Type, By Navigation Technology, By Application, By End-Use Industry, By Component, By Battery Type, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global automated guided vehicle market size was valued at USD 4.28 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 9.7% from 2023 to 2030. Automated guided vehicle (AGV) systems assist in moving and transporting items in manufacturing facilities, warehouses, and distribution centers without any permanent conveying system or manual intervention. It follows configurable guide paths for optimizing storage, picking, and transport functions in the environment of premium space. AGVs are being highly adopted owing to several benefits, such as reduced labor costs, reduced product damage, increased productivity, and scale to support automation processes. These notable advantages encourage transportation and logistics firms to deploy AGVs to boost the efficiency of their operations.

For instance, in May 2021, AUDI AG stated that they use AGVs in their manufacturing centers, which helps them indirectly plan the production process to know which component is out of stock and needs to be available. Further, it also helps in carrying items supply trolleys which helps them maintain safety.

Retailing and other logistics-related companies are collaborating and partnering with tech giants to transform the material handling industry. For instance, in November 2021, OTSAW Digital Pte Ltd, an autonomous mobile robot solution, partnered with Swisslog Healthcare to develop automated guided vehicles for the healthcare sector to enable better patient care. Further, this partnership would expand their business by deploying AGV in Asia Pacific, Europe, and MEA.

Besides, in February 2022, Siemens, a Germany-based industrial manufacturer, partnered with Parmley Graham Ltd. and AR Controls to build, design, and manufacture automated guided vehicles. The partnership and the launch of AGV would bring a lot of advantages, such as low labor costs, reduced risk of workplace injury, logistics management, and faster delivery. Furthermore, retail and commerce-based companies and businesses are deploying collaborative robots in their warehouses and expanding their businesses through acquisitions of large-scale cobot providers.

For instance, in February 2022, SAVE MART SUPERMARKETS, a grocery store company, partnered with Starship Technologies, a provider of autonomous delivery vehicles. The initiative aims to deliver groceries using the Starship robot, a combination of artificial intelligence and machine learning. With the installation of the starship robot, SAVE MART SUPERMARKETS expanded its delivery area. Besides, in January 2023, Barcoding, Inc., a prominent player in supply chain efficiency, connectivity, and accuracy, announced the acquisition of FRED AGV, a manufacturer of automated guided vehicles. The acquisition illustrates continuous investment and expansion in industrial automation for Barcoding, Inc.

Automated guided vehicles are used in various end-use industries, such as logistics, automotive, healthcare, manufacturing, food & beverages, and others. Increased productivity and reduced labor costs are the key factors driving the need for industrial equipment. The demand for AGVs is expected to grow owing to the increasing automation in industries. Increasing industrialization has led to the continuous need for customized material handling and transport solutions for fuel efficiency.

For instance, in February 2023, The SSI Schaefer Group, a prominent supplier of systems, components, and software for warehouse automation, acquired DS AUTOMOTION GmbH, a global supplier of automated guided vehicles and autonomous mobile robotics. The acquisition intends to expand the minority interest of SSI Schaefer to reminisce the growing significance of AGV and autonomous and mobile robotics business in intralogistics.

COVID-19 Impact Insights

The COVID-19 outbreak created economic turmoil for almost every industry at the global level. Many organizations have suffered or are suffering losses due to a shortfall in productivity as governments worldwide inflicted nationwide lockdowns to control the epidemic's spread. The pandemic has resulted in a vast decline in profits and revenue for the manufacturing industry. Businesses have experienced a significant cut down in their staff resulting in an overall loss to manufacturing activities. SMEs (Small and Medium Enterprises) have been the worst hit due to substantial layoffs, financial crises, and attritions. Industrial automation and deployment of AGVs hold a crucial role in ensuring that businesses meet certain production levels during such turmoil.

The pandemic has brought numerous opportunities for the AGV market worldwide as it helps industries continue their production operations. For instance, in February 2022, AEROTECH US. launched AGV-XPO galvo scanner, a laser scan head that helps in high precision production of complex components in medical technology. Further, it enables minimal consequential errors and faster execution of aggressive paths. Besides WEWO, Techmotion provides AGVs in healthcare and pharma to transport medicines, foods, medical equipment, laundry, and sterile goods. These AGVs are also used for cleaning rooms, controlled material validation, and flows.

Vehicle Type Insights

The tow vehicle segment dominated the market in 2022 and accounted for a revenue share of over 40% owing to high requirements for bulk movement of products into and out of warehouse areas. Tow vehicles are used in towing applications, which help move bulk products into and out of warehouse areas. Side path spurs are placed in shipping or receiving areas to facilitate loading or unloading goods from trains off the main line.

For instance, in March 2021, Bastian Solutions, LLC launched a Raymond courier vision-guided tow tractor vehicle to provide automated solutions and optimize the warehouse. The tow tractor VGV can carry a payload capacity of up to 10,000 lbs with a maximum speed of 2.6mph and a route capacity of up to 1.5 miles. Further, a single operator could control multiple tow tractor VGVs, increasing the impact of both the workforce and fleet of trucks without increasing the labor costs.

The unit load carrier segment is expected to expand at the fastest CAGR during the forecast period. Unit load AGVs are used for delivering pallets, large containers, and roll handling. Also, it allows scheduling tasks efficiently by reducing aisle traffic and product damage. For instance, in September 2021, Addverb Technologies Private Limited, a robotics and automation firm, announced its business expansion across Australia, Europe, and Singapore markets. This initiative was initiated in response to the growing need for unit load AGVs, robotics, and automation solutions in the global market.  

Application Insights

The logistics and warehousing segment dominated the market in 2022 and accounted for a revenue share of over 41%. The logistics & warehousing segment has been further segmented into transportation, cold storage, wholesale & distribution, and cross-docking. Enterprises upgrading their existing facilities and building new facilities are aggressively adopting modern retrieval and automated storage systems and other material handling equipment to save on labor costs and boost efficiency and productivity. For instance, in March 2023, Rocla AGV, a Mitsubishi Logisnext company, launched a new automated compact truck designed to lift heavy loads in narrow spaces. The new truck works efficiently between the warehouse and loading docks and fits easily in the existing warehouse setting with minimal rack modifications.

The assembly segment is expected to expand at the fastest CAGR in the forecast period. Modern retrieval and automated storage systems, as well as other material handling equipment, are rapidly adopted by businesses renovating their current facilities and establishing new ones to reduce labor costs and increase productivity and efficiency. For instance, in February 2021, SAFELOG GmbH, an automated transportation company, launched warehouse robots, SafeLogAGV L1 lifts which load up to 15000kg. This model would enable cost-effective and efficient operation, operating in a swarm or individually.

End-Use Industry Insights

The manufacturing segment dominated the market in 2022 and accounted for a revenue share of over 77%. The manufacturing industry is further sub-segmented into aerospace & defense, automotive, electronics, pharmaceuticals, chemicals, plastics, FMCG, and tissue. The wholesale and distribution sector segment is expected to expand at the fastest CAGR over the forecast period. Also, the wholesale & distribution sector is further sub-segmented into e-commerce, grocery stores, retail chains/conveyance stores, and hotels & restaurants. The growing adoption of AGVs across various industries can be attributed to the benefits of AGVs in terms of productivity, safety, and accuracy.

AGVs are equipped with cameras, laser heads, and other sensors, which help them operate safely around machinery, structures, and employees. While operators can make errors that can lead to accidents and mishaps in a manufacturing or distribution facility, AGVs can help improve the accuracy of the workflows, thereby reducing waste and augmenting productivity. For instance, in March 2021, GIDEON., an automation and AI company, installed its AGVs into a prominent regional food industries company Atlantic Grupa d.d., This installation would allow the company to have paperless operations and further increase the throughput of the central facility.

Aerospace & defense manufacturing facilities tend to be massive owing to the size of the components, such as fuselages, nacelles, engine pods, and wings, among others. However, the paths through which these components are moved within the facility tend to be narrow. While moving heavy elements through such narrow pathways, natural errors could lead to mishaps and accidents. Aerospace & defense companies are deploying automated guided vehicles so that heavy components can be moved within the facility on predefined routes and human errors can be avoided. For instance, in July 2021, Lodige Industries, a German-based automation company, installed its AGV at the Swissport with a loading capacity of 6,800kg. The AGV installed would eliminate the ground transportation routes and improve flexibility, safety, and efficiency.

Component Insights

The hardware segment dominated the market in 2022 and accounted for a revenue share of over 70%. The growth can be attributed to the increasingly deployed collaborative robots for reduced human labor and repetitive tasks in manufacturing or distribution facilities. For instance, in June 2021, Amazon.com, Inc. designed new autonomous mobile robots, including Scooter, Ernie, Bert, and Kermit, to reduce human labor tasks and warehouse injuries. These robots would complete tasks such as physical labor and transporting totes. The service segment is expected to grow at the fastest CAGR over the forecast period. The growth can be attributed to the growing demand among the end-users for various services, which include preventive and corrective maintenance, vehicle and software health check, and training employees involved directly or indirectly with the operation of AGVs.

The service segment is predicted to foresee significant growth in the coming years. This growth can be attributed to the rising demand for various services, which include preventive and corrective maintenance, vehicle and software health check, and training employees directly or indirectly with the operation of AGVs.Several manufacturing plants and warehouses deploy material handling equipment (hardware) for various activities, such as locating stock, picking orders, and moving products and raw materials. Transportation and logistics firms mainly focus on deploying such equipment to boost the efficiency of their operations in line with the growing demand for their services.

Navigation Technology Insights

The laser guidance segment dominated the market in 2022 and accounted for a revenue share of over 36% owing to the adoption of technological advancements in the automotive sector. For instance, tow vehicles use laser guidance technology to navigate. Further, laser targets are positioned all over the warehouse to identify the precise location of each vehicle. These vehicles' software effectively coordinates the movements based on incoming instructions and vehicle traffic. The AGV system has been connected with the existing management systems for warehousing center operations to offer two-way communication of product movement.

The natural navigation segment is expected to register the fastest CAGR over the forecast period. The vision guidance segment is expected to witness healthy growth over the forecast period. The need for intelligent and efficient routing contributes to the increasing adoption of automated vehicles. Computer vision and related software solutions allow AGVs to analyze the environment in real-time better, thereby boosting the demand for AGVs for operations in challenging environments, such as maneuvering significant components through narrow aisles. For instance, in April 2021, Toyota Industries Corporation launched a global autonomous vehicle software company, “T-Hive,” to add solutions to all the vehicles produced by Toyota Industries Corporation.

Furthermore, camera-based vision available in AGVs, complemented by the LiDAR sensors and computer systems, helps ensure accurate navigation within production facilities and warehouses. The cameras installed on these vehicles can assist with obtaining information and detecting obstacles. It can also help analyze the infrastructure in real-time within the facilities. The information provided by the LiDAR sensors and the cameras can help create a 3D image of the operational area. For instance, in July 2021, ElephantRobotics, a Chinese company specializing in robotics design, production, development, and intelligent manufacturing services, launched MyAGV with an A-5-megapixel camera 8-meter identification range, which would help detect obstacles and obtain information.

Battery Type Insights

The lead battery segment dominated the market in 2022 and accounted for a revenue share of over 62%. These batteries have low-cost advantages over other battery types. Besides, it offers good reversibility, stable voltage, and long service life and is suitable for various applications. The lithium-Ion battery segment is expected to grow at the fastest CAGR over the forecast period.

The AGVs market is witnessing a progressive switch from lead-acid to lithium-ion batteries. Compared to lead-acid batteries, lithium-ion batteries have higher costs. Lithium-ion batteries support high-power charge and discharge. Also, it meets different industry conditions of user demand, including excellent temperature performance, high energy density, and a long-life cycle. These advantages of lithium-ion batteries are anticipated to encourage AGV manufacturers to adopt lithium-ion among battery types. For instance, in July 2021, Flux Power, a manufacturing company for rechargeable lithium energy solutions, stated that lithium batteries used in AGV would help maintain high voltage levels. These batteries are highly efficient, high performing, low maintenance, and fast charging.

Regional Insights

Europe dominated the market in 2022 and accounted for a revenue share of over 30.0%. Besides, the European regional market is projected to remain the dominating regional market over the forecast period. The growth of the regional market is primarily driven by the increasing demand for material handling equipment by the incumbents of the manufacturing industry. Furthermore, automation in every sector has also augmented the market’s growth in this region. For instance, in January 2022, PUMA SE announced that it would install more automated robots with a combination of artificial intelligence, cameras, and grippers. Adding more robots would reduce labor costs, increase productivity, and help assemble the order of shoes and clothing in the distribution center.

The Asia Pacific region is expected to grow at the fastest CAGR over the forecast period. The e-commerce industry has been growing considerably in emerging economies of the Asia Pacific region, such as China and India. For instance, in February 2023, Mitsubishi Electric Asia, a subsidiary of Mitsubishi Electric Corporation, launched a new Integrated Solutions Centre. The new center showcases the company’s advanced and comprehensive digital technologies to facilitate co-creation with clients and create next-generation integrated solutions.

In October 2021, Shenzhen Casun Intelligent Robot Co., Ltd., an automation machinery manufacturing company, launched CASUN Intelligent Robot “little giant.” The CASUN’s self-deployed intelligent control lets AGV perform in and out of the warehouse to achieve and fulfill the loading and unloading in various industries. Such a surge in the e-commerce industry is encouraging several e-commerce companies to consider a foray into these regional markets.

The competition in the e-commerce industry is intensifying, and industry incumbents are trying to differentiate themselves by reducing the time taken to deliver the products to the end-users. Deploying AGVs in warehouses is helping e-commerce companies in automating the intralogistics tasks, such as sorting, picking, and palletizing, thereby augmenting efficiency. The adoption of AGVs by the e-commerce industry is increasing substantially as industry incumbents try to roll out a reliable storage process and enhance efficiency.

Key Companies & Market Share Insights

Increasing collaborations and mergers & acquisitions are expected to maximize the environmental and economic benefits for the market players by enabling them to share ideas and enhance their internal skills and technologies. For instance, in March 2022, Seegrid Corporation, an autonomous mobile robot provider, partnered with ROBEX. This initiative towards partnership would allow Seegrid Corporation to expand its business, and clients of ROBEX would also be introduced to Seegrid Corporation products. Further, this would help grow the demand for automation in supply chain management. It would also make it easier to supply clients and partners with complete end-to-end warehouse management solutions. Some prominent players in the global automated guided vehicle market include:

• Swisslog Holding AG

• Egemin Automation Inc.

• Bastian Solutions, Inc.

• Daifuku Co., Ltd.

• Dematic

• JBT

• Seegrid Corporation

• TOYOTA INDUSTRIES CORPORATION

• Hyster-Yale Materials Handling, Inc.

• BALYO

• E&K Automation GmbH

• Kollmorgen

• KMH Fleet Solutions

• ELETTRIC80 S.P.A.

• Fetch Robotics, Inc.

• inVia Robotics, Inc.

• Locus Robotics

• Schaefer Systems International, Inc.

• System Logistics Spa

• Transbotics (A division of Scott Systems International Incorporated)

Recent Developments

• In June 2023, Bastian Solutions, Inc., a Toyota advanced logistics company, made facility expansion at St. Louis for accommodating the rapid growth of the company’s robotic division. The latest production of the CB18 automated guided forklift vehicle will occur at the new facility

• In May 2023, Locus Robotics, a leader in autonomous mobile robots, accepted the partnership of United Drug, an Irish pharmaceutical distribution company. This reflected the establishment of automated and innovative guided vehicle as a logistics solution with the use of advanced technology

• In May 2023, Swisslog Holding AG, a Swiss-based automation solution company, showcased AutoStore at Seamless Middle East 2023. It is an efficient automated order processing and storage vehicle that is designed for e-commerce and retail companies, and can be integrated into buildings for fulfilling orders and deliveries rapidly

• In March 2023, Dematic, an American system software company, equipped the latest logistics facility of KION Group, a leading supplier of supply chain solutions and industrial trucks. The purpose was to ensure an automated and smooth material flow by the conveyer systems

• In March 2023, Swisslog Holding AG, launched the next generation of the CarryPick mobile robotic retrieval and goods-to-person storage system with automated guided vehicle features

• In December 2022, Daifuku Co. Ltd., a global leading producer of automated material handling solutions, reported to build a brand-new manufacturing facility at Hyderabad, Telangana, India with the aim to produce automated warehouse, conveyors, rail-guided vehicle systems, sorters, and others

• In October 2022, Seegrid Corporation, a provider of autonomous mobile robots (AMRs), declared its strategic partnership with Koops Automation Systems, a leading integrator in industrial automation. This partnership enabled Koops to uplift their portfolio for their customers with Fleet Central^TM enterprise solutions, and Seegrid Palion^TM automated mobile robots

• In September 2022, Bastian Solutions, Inc., a Toyota advanced logistics company, launched the SmartPick robotic piece picking, an automated order fulfilment solution at the PACK EXPO International

• In September 2022, JBT Corporation, a global technology service provider, acquired Bevcorp, a leading provider of aftermarket and equipment support services for implementing a resilient business model, and gaining 60% recurring revenue

• In September 2022, Toyota Material Handling Japan (YMHJ), a division of TOYOTA INDUSTRIES CORPORATION, launched an automated lift truck AI-based technology for the automatic recognition of the position and location of trucks, and generate an automated travel routes for loading operations

Automated Guided Vehicle Market Report Scope

Global Automated Guided Vehicle Market Report Segmentation

This report provides forecasts for revenue growth at the global, regional, and country levels and analyses of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global automated guided vehiclemarket report on the basis of vehicle type, navigation technology, application, end-use industry, component, battery type, region:

• Vehicle Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Tow Vehicle

  • Unit Load Carrier

  • Pallet Truck

  • Forklift Truck

  • Hybrid Vehicles

  • Others

• Navigation Technology Outlook (Revenue, USD Million, 2017 - 2030)

  • Laser Guidance

  • Magnetic Guidance

  • Vision Guidance

  • Inductive Guidance

  • Natural Navigation

  • Others

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Logistics & Warehousing

    • Transportation

    • Cold Storage

    • Wholesale & Distribution

    • Cross-docking

  • Assembly

  • Packaging

  • Trailer Loading and Unloading

  • Raw Material Handling

  • Others

• End-Use Industry Outlook (Revenue, USD Million, 2017 - 2030)

  • Manufacturing Sector

    • Automotive

    • Aerospace

    • Electronics

    • Chemical

    • Pharmaceuticals

    • Plastics

    • Defense

    • FMCG

    • Tissue

    • Others

  • Wholesale & Distribution Sector

    • E-commerce

    • Retail Chains/Conveyance Stores

    • Grocery Stores

    • Hotels & Restaurants

• Component Outlook (Revenue, USD Million, 2017 - 2030)

  • Hardware

  • Software

  • Service

• Battery Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Lead Battery 

  • Lithium-Ion Battery

  • Nickel-based Battery 

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

  • Latin America

    • Brazil

    • Mexico

  • Middle East and Africa (MEA)

    • Kingdom of Saudi Arabia (KSA)

    • UAE

    • South Africa