Automated Guided Vehicle Market Size to Worth US$ 12.57 Bn by 2032

The automated guided vehicle market size is expected to be worth around US$ 12.57 billion by 2032 and is expanding growth at a CAGR of 11.30% from 2023 to 2032.

Key Takeaway:

The natural navigation segment is expanding at the CAGR of 17.5% from 2023 to 2032.
The wholesale and distribution sector is growing at a notable CAGR of 12.4%.
By application, the logistics and warehousing segment has accounted revenue share of around 41% in 2022.
The assembly segment is expected to drive growth at a CAGR of 13.1% from 2023 to 2032.
By component, the hardware segment dominated the market in 2022 and accounted for a revenue share of over 70%.
The service segment is growing at a CAGR of 11.8% from 2023 to 2032.
By battery type, the lead battery segment has captured revenue share of around 61% in 2022.
The lithium-ion battery segment is expanding at a CAGR of 15.9%.
Asia Pacific region is expand at a CAGR of 11.2% during the forecast period 2023 to 2032.

The automated guided vehicle demand is expected to increase as a result of increasing industrialization, particularly in non-traditional industries in Asia-Pacific’s emerging economies. Due to their widespread applications, market players of automated guided vehicles are projected to benefit from the growth in the manufacturing industry.

In addition, businesses are extending out into new markets. As a result, the global automated guided vehicle market is expected to grow strongly over the forecast period. The new product development, mergers and acquisitions, and partnerships among the automated guided vehicle industry companies are some of the other key factors.

Get the sample copy of report@ https://www.precedenceresearch.com/sample/1463

Regional Snapshot

North America is the largest segment for automated guided vehicle market in terms of region. North America is expected to have the strongest sales growth during the forecast period. Due to presence of major market players in the U.S., the growth of regional market is expected. The key market players are investing heavily in innovative and modern automated guided vehicle rather than traditional vehicles.

Asia-Pacific region is the fastest growing region in the automated guided vehicle market. The countries such as China, Japan, India, Australia, and South Korea show the highest growth in the region. The companies such as Transbotics, Locus Robotics, Fetch Robotics Inc., EK Automation, and JBT Corporation are some of the leading automated guided vehicle companies in the Asia-Pacific region.

Report Highlights

Based on the type, the tow vehicles segment dominated the global automated guided vehicle market in 2020 with highest market share. The tow vehicles are most productive type of automated guided vehicle, which helps to load and unload the material or luggage.
Based on the navigation technology, the laser guidance segment is estimated to be the most opportunistic segment during the forecast period. The laser guidance is a flexible system incorporated in automated guided vehicle to increase scalability, accuracy, and flexibility of the vehicles.

Table of Contents

Toggle

Scope of the Automated Guided Vehicle Market

Report Coverage	Details
Market Size by 2032	US$ 12.57 Billion
Growth Rate from 2023 to 2032	CAGR of 11.30%
Largest Market	North America
Fastest Growing Market	Asia Pacific
Base Year	2022
Forecast Period	2023 to 2032
Segments Covered	Type, Navigation Technology, Application, Industry, End User, Component, Battery, Geography

Drivers

Surge in demand for automation solutions in material handling processes

The material handling systems that are automated boost productivity, automate processes, and reduce workload. By removing the need for humans, it enables effective material transportation in the manufacturing area or storage sites. It also aids in the faster, cheaper, and higher-quality production and delivery of goods to clients. Furthermore, Small and Medium Enterprises (SMEs) are increasingly deploying automated material handling equipment coupled with improvements in modern technologies such as Artificial Intelligence (AI) and Internet of Things (IOT), as well as their integration with automated systems, are projected to drive the automated guided vehicle market growth during the forecast period.

Restraints

Low labor costs

The emerging economies such as India, Cuba, Bangladesh, Tanzania, and Venezuela have low labor wage rates as compared to developed nations. So, these countries don’t easily adopt automated guided vehicles, due to high price. Automation in industrial facilities is less common in these emerging economies, owing to a lower cost benefit in labor trade-offs with robots due to the availability of inexpensive labor. The countries such as Tanzania, Cuba, and Bangladesh have very low average daily incomes. As a result, developed economies are hesitant to invest in automated guided vehicle. Human labor is used in a variety of processes in emerging economies’ manufacturing sectors. Thus, the low labor costs are hindering the growth of the automated guided vehicles market during the forecast period.

Opportunities

Evolution of industry 4.0 and smart factories

The automated guided vehicle market is expected to benefit from the growing trend towards smart factories. The wireless remote-control systems that help give better diagnostics and save setup and installation time are also provided by the integration of such automated systems placed in facilities. The automated guided vehicle enables monitoring of each and every process of factory. The rise in industry 4.0 and smart factory development is creating a potential market for automated guided vehicle as a result of aforementioned considerations.

Challenges

High implementation costs

The huge initial investments are required for the automated guided vehicle, which is restricting the market growth. The installation, integration of software solutions and robotics, after sales services, and regular maintenance all add to the overall capital costs, making it difficult for businesses to invest in automated guided vehicle. Due to poor production output and investment returns, as well as the reorganization of existing warehouses, and other factors, small and medium enterprises find it difficult to transition from traditional to automated guided vehicles. As a result, the high implementation costs are big challenge for the growth of the automated guided vehicle market.

Some of the prominent players include:

Swisslog Holding AG
AGVE Group
JBT
Hyster-Yale Materials Handling, Inc.
Toyota Advanced Logistics
KION GROUP AG
Heartland Automation LLC
E&K Automation GmBH
Daifuku
SSI Schaefer

Segments Covered in the Report

By Type

Unit Load Carriers
Tow Vehicles
Pallet Trucks
Forklift Trucks
Assembly Line Vehicles

By Navigation Technology

Magnetic Guidance
Laser Guidance
Inductive Guidance
Vision Guidance
Natural Navigation
Others

By Application

Logistics and Warehousing
- Transportation
- Cold Storage
- Wholesale & Distribution
- Cross-docking
Assembly
Packaging
Trailer Loading and Unloading
Raw Material Handling
Others

By Industry

Food & Beverage
Automotive
Manufacturing
Retail
Logistics
Others

By End User

Manufacturing Sector
- Automotive
- Aerospace
- Electronics
- Chemical
- Pharmaceuticals
- Plastics
- Defense
- FMCG
- Tissue
- Others
Wholesale and Distribution Sector
- E-commerce
- Retail Chains/Conveyance Stores
- Grocery Stores
- Hotels and Restaurants