Global Automated Material Handling Equipment Market Size By Equipment Types, By Industries of End Use, By Geographic Scope And Forecast

Automated Material Handling Equipment Market Size And Forecast

Automated Material Handling Equipment Market size was valued at USD 29.6 Billion in 2024 and is projected to reach USD 60.04 Billion by 2031 , growing at a CAGR of 6.8% during the forecast period 2024-2031. Global Automated Material Handling Equipment Market Drivers The market drivers for the Automated Material Handling Equipment Market can be influenced by various factors. These may include: Demand for Productivity and Efficiency: To increase productivity, streamline operations, and improve efficiency, industries look to automation solutions. For Example: "Smart Factory Suite" for Connected AMHE Systems is Introduced by KUKA (February 2024): This package offers real-time monitoring, predictive maintenance, and increased operational efficiency by integrating robots, software, and analytics to optimise material handling processes.

Labour Costs and Availability:

Businesses are turning to automation to lessen their reliance on manual labour as a result of growing labour costs and difficulties in locating competent people.

For Example: The Robotic Process Automation (RPA) company "Automation Anywhere" is acquired by Honeywell in January 2024. With this transaction, Honeywell's automation portfolio is strengthened and they can now provide more complete solutions that deal with labour shortages and raise overall operational efficiency.

Technological Developments:

More complex and effective AMHE solutions are made possible by developments in robotics, artificial intelligence, machine learning, and the Internet of Things (IoT). This appeals to companies seeking to modernise their processes.

For Example: Siemens Unveils "MindSphere for Logistics" (February 2024): An AI-driven platform for optimising AMHE By using AI and machine learning, this platform can detect equipment failures, schedule preventive maintenance, and optimise material handling procedures-all of which increase operational dependability and efficiency.

E-commerce Growth:

In order to handle higher order quantities and satisfy customer expectations for prompt deliveries, the rise in e-commerce activity calls for quicker and more dependable material handling systems.

For Example: In November 2023, Amazon and Swisslog Partner to Provide Advanced Automation Solutions in New Fulfilment Centres: This partnership demonstrates how e-commerce businesses are working with top AMHE suppliers to deploy cutting-edge automation solutions for expedited order fulfilment and effective logistics administration.

Safety and Ergonomics:

Automation reduces workplace accidents and injuries linked to manual material handling jobs, which encourages sectors that prioritise safety to use it.

Supply Chain Optimisation:

Automation lowers lead times, boosts inventory control, and increases supply chain efficiency, making it a desirable investment for businesses looking to gain a competitive edge.

Regulatory Compliance:

Tight safety and environmental laws force businesses to implement automated solutions that meet compliance requirements, which propels the market's expansion.

Trade and Globalisation:

As trade between countries grows, there is a need for effective material handling technologies to handle intricate supply chains and logistical systems.

Sustainability Concerns:

Businesses are adopting automated solutions that maximise energy efficiency and reduce waste as a result of their growing emphasis on sustainability and environmental responsibility.

Post-pandemic Recovery:

The COVID-19 pandemic brought to light the weaknesses in conventional supply chains, which prompted businesses to make investments in automation in order to increase flexibility and resilience.

Global Automated Material Handling Equipment Market Restraints

The Global Automated Material Handling Equipment Market has a lot of room to grow, but there are several industry limitations that could make it harder for it to do so. It's imperative that industry stakeholders comprehend these difficulties. Among the significant market limitations are:

High Initial Investment:

Some organisations, especially small and medium-sized enterprises (SMEs), may find it difficult to enter the automated material handling industry due to the significant upfront expenditures involved in deploying these systems.

For Example: "Rental and Subscription Models for AMHE" are introduced by KION Group (Dematic) in November 2023. Through rents or subscriptions, this programme offers alternative financing methods for AMHE, lowering the initial financial barrier and promoting wider adoption among businesses, particularly SMEs.

Complexity of Integration:

It can take a lot of planning, customisation, and collaboration with other systems and processes to successfully integrate AMHE into current operations.

For Example: "Modular AMHE Solutions with Standardised Interfaces" are introduced by Daifuku in October 2023. The goal of this work is to create AMHE solutions with standardised interfaces that make it simpler to integrate them with current systems and procedures, minimise the need for customisation, and streamline the integration process.

Fears of Job Displacement:

Labour union opposition and, in some cases, regulatory scrutiny result from worker fears of job displacement brought on by the automation of material handling duties.

For Example: Industry-wide Training and Reskilling Initiatives: In order to address job displacement concerns and promote a more seamless transition towards automation, industry participants, governments, and educational institutions are collaborating to offer training programmes for workers who have been displaced to fill new roles created by automation.

Limited Flexibility:

Certain automated systems may not be able to handle a broad range of products or adjust to changing production needs, which might restrict their use in dynamic manufacturing environments.

For Example: "Scalable and Reconfigurable AMHE Solutions" are introduced by ABB in December 2023. With the help of this new product line, material handling businesses may now customise and reconfigure their systems to meet evolving demands and product variations, increasing flexibility and adaptability to a range of production scenarios.

Maintenance and Downtime:

Automated equipment needs routine upkeep as well as sporadic shutdowns for software upgrades or repairs, which can cause delays in production and extra expenses.

Cybersecurity Risks:

Strong security measures are required to reduce risks associated with connected automation systems because they are susceptible to cybersecurity threats such as ransomware attacks, sabotage, and data breaches.

Absence of Skilled staff:

The implementation of AMHE requires a staff with the necessary skills to manage, repair, and debug intricate automated systems. On the other hand, there could not be as many employees with the requisite technical knowledge.

Resistance to Change:

In companies with ingrained procedures or cultural hurdles to innovation, resistance to change among staff members and management may hinder the adoption of automated material handling technologies.

Space Restrictions:

Installing and running automated material handling systems in warehouses or industrial facilities may be difficult due to space restrictions, particularly for bigger or more complicated configurations.

Regulatory Compliance:

Adhering to safety standards and industry rules increases the complexity and expense of implementing automated material handling solutions, especially in highly regulated industries like pharmaceuticals and healthcare.

Global Automated Material Handling Equipment Market Regional Analysis

1. Asia-Pacific

Market Share:

The largest market share worldwide, expected to grow to USD 1.3 billion by 2029.

Key Drivers:

The rapidly expanding manufacturing and e-commerce sectors are the main drivers.

Government backing for infrastructure and automation programmes.

Increased need for cost-effective solutions and rising labour expenses.

Trends:

Pay attention to modular, reasonably priced solutions for SMEs.

increasing use of subscription-based and cloud-based business models.

a focus on advanced automation through IoT, AI, and ML integration.

Top nations:

South Korea, Japan, India, and China

2. North America

Market Share:

Significant market share, projected to grow to USD 6.8 billion by 2029.

Key Drivers:

The well-established manufacturing and logistics sectors are the main drivers.

Early use of automation tools.

Put your attention on increasing efficiency and production.

Trends:

Growing need for sophisticated automation and robotic technologies.

A focus on analytics and data-driven decision making.

Cobots, or collaborative robots, are becoming more and more popular for human-machine interaction.

Top nations:

Canada and the United States

3. Europe

Market Share:

Approximate to reach USD 4.7 billion by 2029; significant.

Key Drivers:

The main motivators are the heavy reliance on automation in shipping and production.

Technological developments in automation and robotics.

Strict laws that encourage effectiveness and safety.

Trends:

An increased emphasis on energy-efficient technologies and sustainability.

Increasing use of warehouse management solutions driven by AI.

Data protection and cybersecurity are prioritised in automated systems.

Top nations:

France, Germany, Italy, and the United Kingdom

4. Africa, the Middle East, and Latin America:

Market Share:

New markets with significant room for expansion.

Key Drivers:

Increasing funding for automation projects is one of the main drivers.

Increasing focus on industrial development and modernization.

Escalating labour expenses and advancements in infrastructure.

Trends:

Conveyors and sorting systems, two fundamental automation technologies, are becoming more and more popular.

Expanding government assistance for the uptake of technology and the acquisition of skills.

Growing appeal for subscription and cloud-based business models due to their cost.

Top nations:

Saudi Arabia, South Africa, UAE, Brazil, and Mexico

Global Automated Material Handling Equipment Market: Segmentation Analysis

The Automated Material Handling Equipment Market is segmented on the basis of Equipment Types, Industries of End Use, And Geography.

By Equipment Types:

Conveyor systems:

These include overhead, roller, and belt conveyors that make it easier to transfer things around a facility.

Current Status:

The oldest and most popular kind of equipment.

Future Growth:

Potential saturation in established markets, although steady growth is anticipated.

Automated Guided Vehicles (AGVs):

Automated Guided Vehicles (AGVs) are mobile robots that are used in manufacturing facilities and warehouses that are programmed to move things on their own.

Current Status:

Growing quickly as a result of rising adoption and advances in technology.

Future Growth:

There is a lot of room for expansion, especially given the flexibility and efficiency of manufacturing, warehousing, and e-commerce.

Automated Storage and Retrieval Systems (AS/RS):

High-density storage systems that maximise space utilisation by automatically storing and retrieving objects.

Current Status:

Growing need for high-density storage options in areas with limited space.

Future Growth:

Moderate growth is anticipated, with the possibility of higher adoption in sectors that demand effective storage utilisation.

Robotic systems:

pick-and-place robots, robotic arms, and other automated methods for packing, palletizing, and material handling.

Current Status:

Growing automation across multiple industries and developments in robots and AI are driving this high-growth sector.

Future Growth:

Very promising, with great potential in a variety of industries because of their adaptability and capacity for difficult work.

Sortation Systems:

Automatic systems that improve order accuracy and throughput by sorting and redirecting products according to predetermined criteria.

Current Status:

An essential component for effective order fulfilment in logistics and e-commerce.

Future Growth:

The growing need for quicker and more precise order processing is anticipated to fuel steady growth in the future.

By Industries of End Use:

Manufacturing:

AMHE is used for assembly, packing, and logistics in the automotive, electronics, aerospace, and other manufacturing sectors.

Current Status:

Because of the requirement for effective production lines and material management, we are the largest user of AMHE.

Future Growth:

Adoption of sophisticated automation technologies, such as collaborative and cobot robots, is anticipated to drive continued growth.

Warehousing and Distribution:

To optimise order fulfilment and distribution processes, e-commerce, retail, and third-party logistics providers use AMHE.

Current Status:

A sizable customer base, propelled by the rising need for effective logistics and e-commerce fulfilment services.

Future Growth:

Given the continued expansion of automation and e-commerce, there is a high potential for future growth.

Food and Beverage:

For hygienic and effective product handling, automated material handling is essential in food processing plants, cold storage facilities, and beverage distribution centres.

Current Status:

A growing number of food processing and distribution facilities are using AMHE to improve efficiency, safety, and hygiene.

Future Growth:

As automation becomes necessary for efficient supply chains and food safety, steady growth is predicted.

Healthcare and Pharmaceuticals:

AMHE is used by hospitals, pharmacies, and makers of medical devices for distribution, inventory control, and sterile handling of medical supplies.

Current Status:

AMHE is being used more often for inventory management, medicine distribution, and sterile handling.

Future Growth:

It is anticipated that there will be moderate growth, with room for progress in automated storage systems and medical-grade robotics.

Automobile:

AMHE is used by automakers and suppliers for assembly line automation, components handling, and just-in-time production.

Current Status:

AMHE is heavily utilised for just-in-time production and assembly line automation.

Future Growth:

Technological developments such as collaborative robotics and self-driving forklifts are projected to drive steady growth.

By Geography:

North America:

The adoption of AMHE in the US and Canada is influenced by market dynamics, important actors, and the regulatory environment.

Europe:

The implementation of AMHE is being driven by industry initiatives, market trends, and technological improvements throughout the continent.

Asia-Pacific:

The AMHE market is expanding in nations like China, Japan, and India due to rapid industrialization, the rise of e-commerce, and investments in automation.

The Rest of the World:

Market prospects and obstacles to the adoption of AMHE in areas including Africa, the Middle East, and Latin America.

Key Players

The major players in the Automated Material Handling Equipment Market are:

Daifuku Co., Ltd.

Dematic Corporation

Swisslog Holding AG

Honeywell Intelligrated

Murata Machinery, Ltd.

SSI Schaefer Group

Vanderlande Industries B.V.

Siemens AG

Toyota Industries Corporation

BEUMER Group GmbH & Co. KG