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Jun 22, 2023

Automated Guided Vehicle (AGV) Market size to grow by USD 1,395.15 million from 2022 to 2027, 36% of the overall growth to originate from Europe

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05 Jun, 2023, 05:58 ET

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NEW YORK, June 5, 2023 /PRNewswire/ -- The automated guided vehicle (AGV) market size is expected to grow by USD 1,395.15 million during 2022-2027, progressing at a CAGR of 8.97% as per the latest Technavio market research report. Europe is going to have lucrative growth during the forecast period. About 36% of the market's overall growth is expected to originate from Europe. Europe is seeing strong demand for large warehouse spaces. There is also a growing demand for warehouses near metropolitan areas to support last-mile delivery models. In Europe, increasing online sales are increasing the demand for warehouse space in the region, increasing the demand for warehouse space among e-commerce merchants. This has increased demand for the company's AGVs in Europe. Increased acceptance of AGVs and continued growth in the corporate sector are also stimulating demand for AGVs in the region. Furthermore, the European energy industry is undergoing major changes due to investments in smart grids and renewable energy. Several European countries are planning to increase the share of renewable energy in their energy mix to reduce CO2 emissions from fossil fuels. Such factors drive the growth of the market during the forecast period. For more insights on the market share of various regions- Download sample report in MINUTES

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Read the 186-page report with TOC on "Automated Guided Vehicle (AGV) Market Analysis Report by Product (Unit load carrier, Tow vehicle, Pallet truck, Assembly line vehicle, and Others), End-user (Automotive, Food and beverages, Electronics and electrical, Pharmaceuticals, and Others), and Geography (Europe, APAC, North America, South America, and Middle East and Africa), and the Segment Forecasts,2023-2027". Gain competitive intelligence about market leaders. Track key industry opportunities, trends and threats. Information on marketing, brand, strategy and market development, sales, and supply functions. https://www.technavio.com/report/report/automated-guided-vehicle-market-industry-analysis

Automated Guided Vehicle (AGV) Market-Market Dynamics

Driver

Rapid growth in e-commerce retail to drive growth. The rapid growth of e-commerce retail is driving the growth of the AGV market. Consumer preferences are rapidly shifting from traditional retail to e-commerce due to various factors such as diversified product portfolio, competitive prices, and shopping convenience. E-commerce is experiencing significant growth not only in developed markets such as the United States, but also in emerging markets such as India and China, with several major companies such as Amazon and Walmart having a presence in emerging markets in the Asia-Pacific region. Additionally, as e-commerce retail becomes more popular, the need for warehouses and distribution centers is increasing, especially in emerging markets. Therefore, e-commerce retail growth is expected to continue to drive the growth of the global AGV market during the forecast period.

Trend

Rising warehouse automation is the key trend driving the AGV market. End-users require products in a variety of package sizes. Different packaging systems increase the quantity of goods in a consumer goods warehouse. The proliferation of SKUs is driving warehouse automation around the world. To maintain many of these SKUs, the consumer goods manufacturer will face productivity and cost-efficiency issues. This has led manufacturers and wholesalers to choose automated warehouses. In addition, warehouse automation improves the speed and accuracy of fulfilling orders before product expiration dates (for perishables such as groceries). In addition, warehouse automation allows the supply chain to remain efficient even with seasonal product demand. Warehouse automation also reduces the time it takes to replenish shelves.

Challenge

Fluctuating prices of raw materials are the key challenge in this market. Raw materials and parts used in the manufacture and construction of AGVs include mild steel, forged and machined steel bars, steel tubes, steel bars, electric motors, reducers, bearings and other electromechanical parts. Steel is one of the most important raw materials for manufacturing various AGVs. Since steel is made from iron ore, fluctuations in iron ore prices have a direct impact on steel prices.

For example, iron ore prices increased by about 90% in July 2019 compared to January 2019. As commodity prices reach a threshold, commodity suppliers are forced to pass on higher prices to downstream industries. Such decisions by raw material suppliers affect the growth of various industries as well as manufacturers of handling and lifting equipment. This may pose challenges to the growth of the global AGV market during the forecast period.

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Some of the key Automated Guided Vehicle (AGV) market players:

The automated guided vehicle (AGV) market is fragmented and the vendors are deploying organic and inorganic growth strategies to compete in the market.

Aichikikai Techno System Co. Ltd., Atab Automationsteknik AB, Balyo SA, Beumer Group GmbH and Co. KG, Daifuku Co. Ltd, Dearborn Mid West Co, ek robotics GmbH, Fritz SCHAFER GmbH and Co KG, Groupe Gorge, Hitachi Ltd., Hyster Yale Materials Handling Inc., John Bean Technologies Corp., KION GROUP AG, Meidensha Corp., MIDEA Group, Murata Machinery Ltd, Oceaneering International Inc., Scott Technology Ltd., Seegrid Corp., and Toyota Industries Corp.

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Automated Guided Vehicle (AGV) Market: Segmentation Analysis

This market research report segments the automated guided vehicle (AGV) market by Product (Unit load carrier, Tow vehicle, Pallet truck, Assembly line vehicle, and Others), End-user (Automotive, Food and beverages, Electronics and electrical, Pharmaceuticals, and Others), and Geography (Europe, APAC, North America, South America, and Middle East and Africa).

The unit load carrier segment will account for a large share of the market growth during the forecast period. Unit load carriers are designed for transporting large amounts of material in industrial environments and are used for horizontal transport in manufacturing and assembly plants. They are integrated into conveyor systems or storage and retrieval systems.

Based on end user, the market is segmented into Automotive, Food & Beverage, Electronics & Electrical, Pharmaceuticals, and Others. The automotive sector will account for the largest share during the forecast period. The automotive industry was an early adopter of AGVs as they can improve the efficiency of manufacturing and logistics processes, reduce costs, and improve safety. AGVs are used in various automotive applications such as material handling, assembly lines, maintenance, warehousing, and logistics. Overall, the automotive industry is one of the largest end-users of AGVs and is expected to further drive the growth of the AGV market during the forecast period.

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Automated Guided Vehicle (AGV) Market Scope

Report Coverage

Details

Base year

2022

Historic period

2017-2021

Forecast period

2023-2027

Growth momentum & CAGR

Accelerate at a CAGR of 8.97%

Market growth 2023-2027

USD 1,395.15 million

Market structure

Fragmented

YoY growth 2022-2023 (%)

7.52

Regional analysis

Europe, APAC, North America, South America, and Middle East and Africa

Performing market contribution

Europe at 36%

Key countries

US, Japan, China, Germany, and UK

Competitive landscape

Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks

Key companies profiled

Aichikikai Techno System Co. Ltd., Atab Automationsteknik AB, Balyo SA, Beumer Group GmbH and Co. KG, Daifuku Co. Ltd., Dearborn Mid West Co., ek robotics GmbH, Fritz SCHAFER GmbH and Co KG, Groupe Gorge, Hitachi Ltd., Hyster Yale Materials Handling Inc., John Bean Technologies Corp., KION GROUP AG, Meidensha Corp., MIDEA Group, Murata Machinery Ltd., Oceaneering International Inc., Scott Technology Ltd., Seegrid Corp., and Toyota Industries Corp.

Market dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period.

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

Table of Contents

1 Executive Summary

2 Market Landscape

3 Market Sizing

4 Historic Market Size

5 Five Forces Analysis

6 Market Segmentation by Product

7 Market Segmentation by End-user

8 Customer Landscape

9 Geographic Landscape

10 Drivers, Challenges, and Trends

11 Vendor Landscape

12 Vendor Analysis

13 Appendix

About Technavio

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Contacts

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