The automated guided vehicles (AGV) market is anticipated to be valued at USD 1,126.7 million in 2023 and is predicted to rise to USD 2,432.5 million. The sales of automated guided vehicles are estimated to secure a notable CAGR of 8% from 2023 to 2033.
A recent automated guided vehicles market study by Future Market Insights (FMI) opines that the growing demand for efficient material handling solutions has significantly propelled the sales of automated guided vehicles.
Surging applications in various industries, including logistics, food and beverage, healthcare, and manufacturing are like to guarantee consistent growth in automated guided vehicles. Based on this, FMI has forecasted the automated guided vehicles market to expand at an impressive 8% CAGR between 2023 and 2033.
Sales of automated guided vehicles grew substantially, registering 5.4% year-on-year growth in 2023 as manufacturing growth remained tepid amid the unprecedented COVID-19 outbreak,
| Attribute | Details |
|---|---|
| Base Year (2022) Automated Guided Vehicles (AGV) Market Value | USD 1043.2 million |
| Projected Year (2033) Automated Guided Vehicles (AGV) Market Value | USD 2432.5 million |
| CAGR% (2023 to 2033) | 8% |
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As per FMI’s market analysis on automated guided vehicles, the market registered sluggish growth at 2% CAGR from 2018 to 2022, due to limited awareness and penetration of industrial automation in various countries. However, the automated guided vehicles market gained immense traction in the following year, owing to increasing laser-guided AGV production and reduced labor costs.
Emerging as a feasible material handling solution, automated guided vehicles significantly reduce transportation damage and provide accessibility in high-volume storage and logistic facilities.
Advanced technologies such as telematics services and laser, magnetic, infrared, and optical navigation are being introduced in automated guided vehicles. Furthermore, wireless communication gaining significant traction, since it enhances accuracy in tracking position. It has therefore become a key trend in the automated guided vehicles market.
Increasing industrialization across the globe is propelling demand for automated guided vehicles in the oil & gas, transportation, and construction industry. Additionally, the growing demand can be attributed to advanced features offered by automated guided vehicles such as fuel efficiency and customized material handling, which might further shape the sales outlook of the market
AGV Sales are Increasing with Growing Urbanization and Expansion of Key Industries.
Expansion in urbanization is directly proportional to growth in population. With increasing urbanization and expansion of key industries such as construction, logistics, and automotive, automated guided vehicles, AGV sales are increasing.
Bulk production across key industries is creating demand for AGVs. Deploying AGVs helps streamline operations, reducing overheads and curtailing transit time to consumer markets.
The incorporation of artificial intelligence, robotics, and machine learning in AGV is creating a wide berth of opportunities for key players. With rising demand for advanced automation in material across handling processes across diverse end-use verticals, sales of AGVs are expected to soar.
Automated guided vehicles offer better scalability as compared to fixed equipment. As demand for automation rises, manufacturers can add a fleet of automated guided vehicles for short operational time and increase productivity, instead of investing in bulky fixed conveyors.
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Automated guided vehicles are known for minimizing damages to materials, products, machinery, and infrastructure. Equipped with motion sensors, these vehicles effectively avoid collisions in walls, protecting the items stored in shelves, crates, and pallets.
AGVs are intelligently programmed to handle products as gently as needed, thereby acting instrumentally for quality material handling in warehouses, airports, healthcare, and other production facilities. In warehouses, these vehicles take care of repetitive tasks such as loading and unloading, picking, packing, and moving goods, without human assistance or supervision.
AGVs do not eliminate the human task force, but they certainly make operations easy and safe for the staff, which is a chief factor driving automated guided vehicle sales. Further, in the upcoming years, these vehicles might play a critical role in industrial automation. Delivery trucks can now arrive at loading points, plugged into an AGV system, and have their pallets safely unloaded by these machines.
Automated forklifts can move the pallets to their storage destination, following the given order of arrangement. When not in use, AGVs can move themselves to charge stations and wait for the next shipment to arrive, reducing staff interference and saving time.
Real-time interaction and navigation in AGVs let the staff keep track of their locations in warehouses. These vehicles can be integrated into software including warehouse management systems (WMS) and enterprise resource planning (ERP) to enhance operational efficiency.
AGVs significantly reduce the time used in manual inventory tracking, which is a growing concern in high-volume production facilities. These vehicles considerably reduce handling and tracking errors and ensure the timely delivery of products.
A perfect combination of WMS and automated guided vehicles can maintain storage availability and shelf adjustments. Such a combination can also support material requisition and procurement, which helps ensure supreme material handling.
AGV manufacturers keep safety at the forefront, to avoid collisions and reduce operational accidents while dealing with heavy product volumes in warehouses. These vehicles are packed with sensors, cameras, and lasers, allowing them to safely navigate around staff and shelves, thereby reducing operational downtime and cost.
In addition to safety, automated guided vehicles are capable of operating in harsh climatic conditions such as extreme heat or cold or around hazardous material. With the help of AGVs, manufacturers can increase profitability in many operations, providing tailwinds to automated guided vehicle sales during the assessment period.
AGVs also improve productivity by operating round the clock. By launching a fleet of AGVs instead of additional human task forces, manufacturers can reduce workflow errors, increase output and allow operations to be accurate and productive.
Considering the aforementioned factors, sales of AGV are expected to increase over the forecast period.
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The maintenance cost required for optimal performance of these vehicles may act as a restraining factor, as automated guided vehicles can reduce labor, erroneous, and wastage costs significantly,
The initial investment in AGVs can be burdensome for small operations and could be expensive as compared to hiring personnel for similar tasks. These vehicles are not suitable for non-repetitive tasks, which can be normally performed by staff operating forklifts.
AGVs require routine maintenance and occasional repair like any other equipment. Increased dependency on AGVs can hinder daily operations at the time of maintenance, which can result in losses if not handled carefully. This might limit the adoption of automated guided vehicles in emerging markets.
FMI projects a positive growth outlook for automated guided vehicles in the United States with the market expanding at around 5.7% CAGR through 2033. The growing demand for AGVs in the region is attributable to:
Increasing demand for AGVs within consumer goods, automotive, food & beverage, oil & gas, and healthcare sectors is fueling further growth. Owing to the rising demand, manufacturers have increased the production of AGVs, widening future growth prospects.
The presence of leading players such as Bastian Solutions, AGVE Group, and JBT Corporation is facilitating fast adoption across the United States. Also, the growing demand for AGVs in warehouses is going to provide incremental opportunities for these players, fostering sales.
Currently, the growing demand for advanced AGVs within the healthcare, aerospace, and e-commerce industry across the United Kingdom is fueling growth. The deployment of AGVs for streamlining operations in warehouses is boosting the demand within these industries.
As per FMI’s analysis, the United Kingdom is anticipated to spearhead Europe’s AGV market, expanding at a significant 7% CAGR during the forecast period. Moreover, the demand for AGVs is anticipated to bolster during the assessment period, which might create notable growth opportunities for AGV manufacturers in the region.
Growth in the retail sector is projected to spur demand for automated guided vehicles in the United Kingdom owing to the presence of a highly functional fashion industry in the country.
The application of automated guided vehicles in the hospitality sector is estimated to generate considerable outcomes. The use of forklifts and light-load transporters in hotels for the distribution of food, bathroom supplies, linen, and laundry might boost sales in the automated guided vehicles market.
In China, automated guided vehicles are highly being adopted in automotive, consumer electronics, chemicals and materials, and eCommerce industries. These industries have been displaying high-growth potential, which has a direct impact on promoting AGV sales in China.
Technological advancements in the automotive sector have aided the growth of AGV across China. Adoption of advanced technologies such as laser guidance, wireless and sales magnetic systems in AGV might improve demand over the coming years.
Rapid industrialization and reduced labor costs have encouraged AGV manufacturers to expand their production facilities across China. For instance,
The growing interest of such industry giants in AGV is going to provide notable growth opportunities over the coming years across China.
Industrial automation is a novel concept for many high-growth industries across India. With the expansion of e-commerce, several global players are increasing the adoption of AGVs. For instance,
Thanks to the presence of numerous fast-moving consumer goods companies in India. Industrial automation is emerging as a key trend that is helping the country maintain its position in a highly competitive environment.
AGVs are viable instruments that support industrial automation and several manufacturers in India are enjoying the benefits of reduced manual labor and robotized manufacturing. Moreover, enhanced productivity, increased output, and reliable accuracy are some prominent benefits that are propelling automated guided vehicle sales in India.
AGVs equipped with laser guidance technology are anticipated to account for maximum sales in the market, owing to advanced features such as security, flexibility and reliability, and precise navigation.
Laser guidance technology in AGVs is easy to install and does not interrupt arrangement patterns in a storage facility. Additionally, the laser used for navigation emits continuous beams of laser light in a 360-degree pattern, interacting with reflectors and targets positioned in the area. These reflectors send back uninterrupted reflection signals for navigation, allowing AGVs to access coordinates and place themselves accordingly.
Laser-guided AGVs calculate and correct their position around 40 times per second, which makes them highly accurate and a popular choice in the market.
In terms of end-user, the logistics industry is anticipated to showcase an upward trend in demand for automated guided vehicles during the forecast period.
Increasing demand posed by the logistics industry is attributable to the ability of AGVs to work in hazardous environments, irrespective of weather and temperature, which has eliminated interruptions in daily operations.
Expansion in the eCommerce industry might also propel sales of automated guided vehicles, as AGVs are highly efficient in streamlining logistic operations, helping retailers to cater to the growing customer demand.
Based on application, transportation is estimated to be the preferred application avenue for automated guided vehicles, especially in the automotive, logistics, and manufacturing industries.
Features such as accuracy, round-the-clock assistance, load-bearing, and reduced labor cost might further increase the adoption of AGVs in transportation during the assessment period. Also, the growing need for automation in material handling solutions is going to complement the growth of AGVs over the forecast period, driving sales.
As per FMI’s market survey, tow vehicles, also known as tuggers, might lead the vehicle type segment, accounting for maximum sales during the assessment period. These vehicles can comparatively tow many trailers as compared to single-fork trucks, thereby enhancing operations in warehouses.
The unit load carrier segment is projected to witness growth through 2033, finding applications in the logistics and transportation sector. These vehicles are used for delivering pallets and containers while reducing aisle congestion and material damage, making them an ideal choice for various high-volume warehouses.
Top manufacturers of automated guided vehicles account for almost 45% of the total market share, finds FMI in this study. Leading players in the market are emphasizing on expansion of their already existing wide range of product portfolios.
Increasing investment in research to develop enhanced products is also a key strategy for market players to maintain their position in the market. Other key strategies include facility expansions and strategic partnerships to assist the growing demand for AGVs from various end-use industries. For instance:
| Attribute | Details |
|---|---|
| Forecast Period | 2023 to 2033 |
| Historical Data Available for | 2018 to 2022 |
| Market Analysis | USD million for Value |
| Key Regions Covered | North America; Latin America; Europe; South Asia; East Asia; Oceania; Middle East and Africa |
| Key Countries Covered | The United States, Canada, Germany, The United Kingdom, France, Italy, Spain, Russia, China, Japan, South Korea, India, Thailand, Malaysia, Indonesia, Australia, New Zealand, GCC Countries, Turkey, Northern Africa, and South Africa |
| Key Segments Covered | Technology Type, Application Type, Vehicle Type, End-Use, and Regions |
| Key Companies Profiled | JBT Corporation; Kuka AG; Daifuku Co., Ltd.; Kion Group AG; Omron Adept Technologies, INC.; AGVE Group, Inc.; Murata Machinery; Transbotics Corporation; Oceaneering International Inc.; Seegrid Corporation; Murata Machinery; SSI Schaefer; AVT Europe NV; Cassioli Srl; Toyota Industries Corporation; Robotnik; Kollmorgen; E&K Automation GMBH; BEUMER Group GmbH & Co. KG; Mecalux, S.A; Bastian Solutions, Inc. |
| Report Coverage | Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives |
| Customization & Pricing | Available upon Request |
The automated guided vehicles (AGV) market CAGR for 2033 is 8%.
Asia-Pacific region is the leading region in the market.
The projected market value of the market for 2033 is USD 2,432.5 million.
Key players are developing the market by investing in research and development.
China, India, the United States, Japan, and Germany are the major countries in this market.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Technology Type 5.1. Laser Guidance 5.2. Magnetic Guidance 5.3. Infrared Guidance 5.4. Wire Guidance 5.5. Inertial Guided 5.6. Optical Guided 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application Type 6.1. Transportation 6.2. Distribution 6.3. Storage 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Vehicle Type 7.1. Value (USD Million) & Volume (Units) Load Carrier 7.2. Pallet Truck 7.3. Assembly Line Vehicle 7.4. Tow Vehicle 7.5. Forklift Truck 7.6. Light Load Transporters 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By End Use 8.1. Logistics 8.2. Healthcare 8.3. Automotive 8.4. Manufacturing 8.5. Food & Beverages 8.6. Aerospace 9. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 9.1. North America 9.2. Latin America 9.3. Europe 9.4. South Asia 9.5. East Asia 9.6. Oceania 9.7. MEA 10. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. South Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 15. Oceania Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 16. MEA Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 17. Key Countries Market Analysis 18. Market Structure Analysis 19. Competition Analysis 19.1. JBT Corporation 19.2. Kuka AG 19.3. Daifuku Co., Ltd. 19.4. Kion Group AG 19.5. Omron Adept Technologies, INC. 19.6. AGVE Group, Inc. 19.7. Murata Machinery 19.8. Transbotics Corporation 19.9. Oceaneering International Inc. 19.10. Seegrid Corporation 19.11. Murata Machinery 19.12. SSI Schaefer 19.13. AVT Europe NV 19.14. Cassioli Srl 19.15. Toyota Industries Corporation 19.16. Robotnik 19.17. Kollmorgen 19.18. E&K Automation GMBH 19.19. BEUMER Group GmbH & Co. KG 19.20. Mecalux, S.A 20. Assumptions & Acronyms Used 21. Research Methodology
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Automated Guided Vehicles (AGV) Market
