Global AGV market to reach $7.3 billion by 2025
Growing demand for material handling equipment will boost AGV market over next seven years, study shows.
The global market for automated guided vehicles (AGV) is expected to reach $7.3 billion by 2025—a compound annual growth rate of 16.5 percent—according to a report from Grand View Research, Inc., released November 29.
The study points to increased demand for AGVs in manufacturing plants and warehouses as well transportation and logistics firms, where there is pressure to improve operational efficiencies. The result is a heavy investment in AGVs and other material handling equipment over the next seven years, the study authors said.
The study also reveals a "progressive switch" in the market from lead-acid batteries to lithium-ion batteries, which can help reduce maintenance requirements and improve equipment runtimes, the authors said.
Other report findings include:
- Rising adoption of AGVs by the automotive and automotive supply industry for moving products within facilities is expected to drive the AGV market;
- The manufacturing industry is increasingly adopting AGVs to save labor costs;
- The logistics and warehousing segment is the largest user of AGVs, generated the highest revenue in 2017 and is expected to retain its dominance over the forecast period;
- Europe dominated the global AGV market in 2017 while Asia Pacific is projected to exhibit the highest CAGR of 17.6 percent between 2018 and 2025.
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