The Automated guided vehicle market was valued at $2.2 million in 2022 and is estimated to reach $3.23 billion by 2028, with a CAGR of 7.90% from 2023 to 2028.
An automated portable robot is another name for an autonomous guided vehicle. The moveable robot moves in accordance with the wires or lines marked on the floor. Moreover, it uses radio waves, cameras with vision, or lasers for navigation. These automated guided vehicles are autonomously moving through a warehouse, distribution center, or manufacturing facility without a driver or operator on board. They are utilized for material handling or loading carriers. The autonomous guided cars can be found in many configurations with various navigating systems. The global expansion of the automated guided vehicle industry is primarily driven by the tow vehicle type of AGV and the laser-guided navigation system. These AVGs are extensively used in logistics and warehouses for cross-docking, distribution, cold storage, and transportation.
Automobile, e-commerce, food & beverage, and healthcare industries all have rising demand for automated guided vehicles. According to predictions, the main market for automated guided vehicles will be in the Asia-Pacific region. The Automated Guided Vehicles Market is expected to increase between 2022 and 2027 as a result of the rising emphasis on industrial automation for boosting production, improving quality, managing labor, and managing time.
Market Drivers and Restraints:
Automation is gaining popularity in the automotive, healthcare, e-commerce, and food and beverage sectors due to the general demand for high efficiency. Automation of industrial facilities using AGVs can assist meet the demand for increased material handling capacity while simultaneously reducing production time, reducing the chance of human mistake, enhancing safety, maintaining high production volumes, and improving precision and repeatability.
Just-in-time (JIT) supply of raw materials, computerized administration of received final parts, and tracking of products that have been shipped are all made possible by AGVs. AGVs assist in the storage, distribution, and transportation of goods without the need for human intervention, reducing the risk of worker injury and product damage while also improving accuracy. AGVs also lower labor expenses in warehouses in a variety of ways over the long term. For instance, a company saves money by replacing a human worker with an AGV because there is only one initial investment required rather than multiple ongoing labor costs.
Additionally, the adoption of AGV enables companies across a range of industries to utilize cutting-edge technology that offer both short-term and long-term benefits. AGVs are becoming increasingly popular as a result of this trend, which could aid organizations in improving the management of their plant assets and operational decisions.
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The report is segmented as follows:
The Automated guided vehicle market is segmented by Types; the Market is segmented by Navigation; the Market is segmented by Application; the Market is segmented by Industry:
By Types (Tow Vehicles, Unit Load Carriers, Forklift Trucks, Assembly Line Vehicles, Pallet Trucks)
By Navigation (Laser Guided, Magnetic Guided, Vision Guided, And Others)
By Application (Logistics & Warehouse, Assembling, Packing, Trailer Loading And Unloading, Raw Material Handling, Others)
By Industry (Automotive, Metals & Heavy Machinery, Food & Beverages, Chemicals, Healthcare, 3PL, Semiconductors & Electronics, Aviation, E-Commerce, Others)
Due to growing import and export activity, North America is the Automated Guided Vehicle Market's major contributor. The massive adoption of automated technologies in warehouses to enhance workflow and operational efficiency would drive the market growth of the Automated Guided Vehicle Market between 2022 and 2027.
The Automated Guided Vehicle Market is anticipated to expand at the fastest rate in Asia Pacific. China, India, and South Korea will help the AGVs market grow in the APAC region as a result of the fast expansion of the automotive, food & beverage, e-commerce, and healthcare sectors. In order to accelerate the expansion of the Automated Guided Vehicles Market throughout the anticipated period, the government is also putting more of an emphasis on safety and security in manufacturing regions and launching efforts to enhance industrial manufacturing.
The Automated Guided Vehicle Market is expanding most rapidly in Europe and South America. The market for automated guided vehicles is expected to develop in the future due to the growing use of Industrial 4.0 and industrial automation.
The Automated Guided Vehicle Market will rise throughout the forecast period due to manufacturers' increased focus on automation technologies in the Middle East and Africa.
Impact of COVID-19 pandemic on the market:
The covid-19 outbreak stopped all industrial activity globally, which caused a significant loss to the economy. Lockdowns and manpower shortages disrupted supply chains and had a big impact on the market for automated guided vehicles. Additionally, the e-commerce, food and beverage, and healthcare industries expand due to the fear of the deadly virus and the social isolation regulations, which raises the market's demand for automated guided vehicles.