Automated Guided Vehicle Market Size, Share, and Trends 2025 to 2034

Automated Guided Vehicle Market Size and Forecast 2025 to 2034

The global automated guided vehicle market size was valued at USD 5.27 billion in 2024 and is anticipated to reach around USD 12.99 billion by 2034, expanding at a CAGR of 9.44% over the forecast period 2025 to 2034.

Automated Guided Vehicle Market Key Takeaway

• In terms of revenue, the automated guided vehicle market is valued at $5.77 billion in 2025.
• It is projected to reach $12.99 billion by 2034.
• The automated guided vehicle market is expected to grow at a CAGR of 9.44% from 2025 to 2034.
• Europe led the global market with the highest market share of 31% in 2024.
• Asia Pacific region is expanding at a CAGR of 11.2% during the forecast period 2025 to 2034.
• The natural navigation segment is expanding at a CAGR of 17.5% from 2025 to 2034.
• The wholesale and distribution sector is growing at a notable CAGR of 12.4%.
• By application, the logistics and warehousing segment accounted for a revenue share of around 41% in 2024.
• The assembly segment is expected to drive growth at a CAGR of 13.1% from 2025 to 2034.
• By component, the hardware segment dominated the market in 2024 and accounted for a revenue share of over 70%.
• The service segment is growing at a CAGR of 11.8% from 2025 to 2034.
• By battery type, the lead battery segment has captured a revenue share of around 61% in 2024.
• The lithium-ion battery segment is expanding at a CAGR of 15.9%.

Europe Automated Guided Vehicle Market Size and Growth 2025 to 2034

The Europe automated guided vehicle market size was exhibited at USD 1.63 billion in 2024 and is projected to be worth around USD 4.03 billion by 2034, poised to grow at a CAGR of 9.47% from 2025 to 2034.

Based on the region, the Europe segment dominated the global automated guided vehicle market in 2024, in terms of revenue. The use of automated guided vehicles is increasing in Europe in various sectors to enhance the safety of workers in risky tasks. At the same time, technological advancements are also enhancing various parameters of AGVs, increasing their use. Furthermore, the regulations by the government, as well as regulatory bodies, are also enhancing their use and safety. Thus, all these factors promote the market growth.  

In North America, the U.S. is the most powerful economy. The manufacturing industry in this region is a major source for automated guided vehicles. Furthermore, automation allows small enterprises or local market players to compete on an equal ground with the global market players. The U.S. is regarded as one of the top most automobile and automotive manufacturer across the globe. Thus, the increase in demand for automated guided vehicle in U.S. is contributing to the region’s expansion.

On the other hand, the Asia-Pacific is estimated to be the most opportunistic segment during the forecast period. The retail industry, particularly e-commerce industry is growing at a faster rate in Asia-Pacific countries. The application of automated guided vehicle in e-commerce industry is growing at a rapid pace which is contributing to the growth of the market in Asia-Pacific region.

Automated Guided Vehicle Market Growth Factors

The demand for automation in material handling across various industries, the rise in popularity of online sales channel, the transition from mass production to mass customization, and enhanced workplace safety norms are some of the factors driving the automated guided vehicle market growth.

The automated guided vehicle market is growing due to an increase in demand for automation technologies in different types of industries. The market is also driven by improvements in accuracy, safety, and high productivity of automated guided vehicles. Moreover, the low labor costs help to boost the market growth of automated guided vehicle market. 

However, the automated guided vehicle market’s growth is hampered by high initial investment costs and a lack of flexibility. Furthermore, the integration of industry 4.0 is expected to give lucrative growth prospects for market players in the automated guided vehicle market. 

The industries such as food & beverage, automotive, aerospace, manufacturing, retail, logistics, and other end-use industries are all using automated guided vehicles. The demand for industrial equipment is driven by lower labor costs and increased productivity. As industries have become more technology driven and automated, the need for automated guided vehicles is likely to rise.

The factors such as increasing automation in material handling process and increased production and efficiency of automated guided vehicles is boosting the market growth. On the other hand, risks associated with automated guided vehicles restrict the growth of automated guided vehicles market. The technological advancements are creating lucrative opportunities for the growth and development of automated guided vehicle market.

Market Scope

Type Insights

Based on the type, the tow vehicles segment has garnered 41.5% revenue share in 2024. This is attributed to improved lifestyles in emerging economies, rising middle class group in developing countries, and increased urban population. As disposable income rises, more people are willing to drive their own vehicle instead of ride sharing or carpooling. All these factors drive the growth of tow vehicles segment.

The unit load carrier segment is expected to grow at a CAGR of 13.4% during the forecast period. The main advantages of unit load carrier include better protection against weather conditions and damage & faster loading and unloading of cargo products.

Navigation Technology Insights

Based on the navigation technology, the laser guidance segment has hit 35.6% revenue share in 2024. The market for laser automated guided vehicles is growing because of the features such as scalability, versatility, and accuracy. The technology also helps to improve safety of the automated guided vehicles. The laser guidance provides accurate navigation.

On the other hand, the others segment is estimated to be the most opportunistic segment during the forecast period. The wire-guided and other types of automated guided vehicles comprise the others segment of the navigation technology.

End Use Industry Insights

Based on the end use industry, the manufacturing segment has garnered 76% revenue share in 2024. The manufacturing segment includes manufacturing of automotive, chemicals, food & beverage, pharmaceuticals, and others.

The aerospace is estimated to be the most opportunistic segment during the forecast period. The complexity of components such as wings, engine pods, and nacelles, causes aerospace manufacturing facilities to be immense. The automated guided vehicles help aerospace components to transport easily without any accidents or mishaps.

Automated Guided Vehicle Market Companies

• 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

Key Companies Share Insights

The market is moderately fragmented with the presence of several local companies. These market players are striving to gain higher market share by adopting different marketing strategies, such as new product launch, investments, partnerships, and mergers & acquisitions. The companies are also spending on the development of improved products. Moreover, they are also focusing on competitive pricing.

In October 2019, the Hit Robotic Group (HRG) launched new product line of automated guided vehicles for simultaneous localization and mapping.

The various developmental strategies such as new product launches, acquisition, partnerships, joint venture, and mergers fosters market growth and offers lucrative growth opportunities to the market players.

Recent developments 

• In May 2025, the AC7 and DC7 Motor Controllers, which are powerful new generation of AC and DC motor controllers used for AGVs and AMRs, were announced and launched by Kollmorgen, who is one of the leaders in navigation and controls technology for automated guided vehicles (AGVs) and autonomous mobile robots (AMRs). These innovations offer flexibility as well as durability and enhanced performance, which are the requirements of the newest, most advanced autonomous vehicle applications.
• In May 2025, to reduce the complexities and costs associated with the infrastructure charging, a new automated overhead charging system, named Weplug, was developed by Westfalia Technologies. With the help of driver driver-inserted adapter, the 50 kW DC fast charger which utilizes gantry-based robotic arm, is connected to EVs.
• In February 2025, with the production of Automated Guided Vehicles (AGVs) at Kenitra, Morocco, the performance of the Automotive manufacturing giant Stellantis is enhancing. A total of 1,000 units per year of AGVs will be produced by the group’s Kenitra factory, according to the reports of Faro de Vigo. Furthermore, the industrial autonomy and supporting local sourcing of the company’s Kenitra plant will be enhanced, as per the reports of Wandaloo  
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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

By Component Type

• Hardware
• Software
• Service

By Battery Type

• Lead Battery
• Lithium-ion Battery
• Nickel-based Battery
• Others

By Geography

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
• Asia-Pacific
  • China
  • India
  • Japan
  • South Korea
• MEA
• Rest of the World