Global Logistics Automation Market is projected to reach the value of USD 55.36 billion by 2030.


Posted June 5, 2025 by Mohan9989

The Global Logistics Automation Market was valued at USD 34 billion and is projected to reach a market size of USD 55.36 billion by the end of 2030. Over the forecast period of 2025-2030, the market is projected to grow at a CAGR of 10.24%.

 
The Global Logistics Automation Market was valued at USD 34 billion and is projected to reach a market size of USD 55.36 billion by the end of 2030. Over the forecast period of 2025-2030, the market is projected to grow at a CAGR of 10.24%.

One of the main long-term drivers of the logistics automation market is the growing demand for operational efficiency. Companies in industries like e-commerce, manufacturing, and retail are under constant pressure to improve the speed and accuracy of their operations. The logistics sector is complex and often involves multiple steps, from inventory management to order fulfillment and transportation. Automating these processes can help reduce errors, improve productivity, and lower costs.

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As customer expectations rise, companies need to deliver products faster while keeping operational costs low. Automation helps achieve this by streamlining processes, such as using robots for inventory management or AI to optimize delivery routes. In the long term, the need to handle larger volumes of goods, particularly with the growth of online shopping, will drive further adoption of automation technologies in logistics.
The COVID-19 pandemic had a significant impact on the logistics automation market. During the crisis, many businesses faced disruptions in their supply chains due to lockdowns, labor shortages, and social distancing requirements. This highlighted the need for more efficient and flexible systems that could operate without human intervention. As a result, the pandemic accelerated the adoption of automation in logistics.
For example, warehouses that were traditionally staffed with workers began using robotic systems to handle tasks like sorting and packaging. AI-based technologies also became crucial for optimizing delivery routes in the face of unpredictable supply and demand. Additionally, the rise of e-commerce during the pandemic led to an increased need for automation to handle the surge in online orders. While the pandemic posed challenges, it also demonstrated the value of automation in maintaining business continuity during times of crisis, making it a key factor in the market’s growth.

In the short term, the growth of e-commerce is one of the main drivers of the logistics automation market. The e-commerce industry has experienced a massive boom, especially since the pandemic, as more consumers turned to online shopping. This surge in online orders has placed a strain on traditional logistics systems, pushing companies to seek more automated solutions.

E-commerce companies are increasingly relying on automation to handle large volumes of orders quickly and efficiently. For example, fulfillment centers are using robots to transport goods and drones for faster delivery. AI systems are also being used to predict demand and optimize warehouse layouts, which helps speed up the process of picking and packing items. The growth of e-commerce is expected to continue driving the logistics automation market in the near future as businesses look to meet customer expectations for faster delivery times and better service.

One major opportunity in the logistics automation market lies in last-mile delivery automation. Last-mile delivery is the final leg of the transportation process, where goods are delivered from a local distribution center to the customer’s door. This stage is often the most expensive and time-consuming part of the supply chain, accounting for a large portion of the total delivery cost.

With the rise of e-commerce and the increasing demand for quicker delivery times, automating the last mile has become an attractive opportunity. Companies are exploring different methods, such as autonomous delivery robots and drones, to speed up deliveries and reduce costs. Additionally, AI-driven systems are being used to optimize delivery routes, ensuring that products reach customers in the shortest amount of time possible. As demand for faster and cheaper delivery grows, last-mile delivery automation is expected to become a significant area of growth within the logistics automation market.

A key trend observed in the logistics automation industry is the adoption of AI and data analytics. As logistics operations become more complex, AI and data analytics are being used to make smarter decisions and optimize processes. AI algorithms can analyze vast amounts of data to predict demand, optimize inventory levels, and even improve supply chain visibility.

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In warehouses, AI-powered robots are being used to pick and sort items with high precision, while predictive analytics help forecast customer orders and adjust stock levels accordingly. AI is also transforming the transportation sector by improving route planning and reducing fuel consumption. By utilizing data analytics, companies can gain valuable insights into their operations, identify inefficiencies, and make real-time adjustments. The growing use of AI and data analytics is a major trend that is shaping the future of logistics automation.

Market Segmentation:
By Component: Automated Storage and Retrieval Systems (AS/RS), Conveyor Systems, Sortation Systems, Palletizing and Depalletizing Systems, Robotic Picking and Packing Systems, Automated Guided Vehicles (AGVs), Autonomous Mobile Robots (AMRs), Industrial Sensors, Barcode and RFID Scanners, Warehouse Management Systems (WMS), Transportation Management Systems (TMS), Yard Management Systems (YMS), Inventory Management Systems, Order Management Systems, Consulting, System Integration and Deployment, Support and Maintenance

The logistics automation market includes a wide range of components that help improve operational efficiency, accuracy, and speed. Among these, the largest segment is Automated Storage and Retrieval Systems (AS/RS). AS/RS technology is essential for automating the storage and retrieval of goods in warehouses. It reduces the need for manual labor, increases space utilization, and speeds up the process of picking and storing items. As businesses continue to expand their operations and require faster fulfillment times, AS/RS has become a critical component in logistics automation.

The fastest growing segment within this category is Autonomous Mobile Robots (AMRs). AMRs are robots that navigate warehouses independently, moving goods from one location to another without human assistance. These robots can be integrated with other automation systems, helping companies improve efficiency in their warehouse operations. With the increased demand for faster and more flexible delivery solutions, AMRs are expected to experience rapid growth during the forecast period. Their ability to automate complex tasks and work alongside human workers is driving their adoption across various industries.

By End-Use Industry: Retail and E-commerce, Manufacturing, Automotive, Healthcare and Pharmaceuticals, Food and Beverages, Aerospace and Defense, Consumer Electronics, Logistics and Transportation, Textiles, Chemicals, Oil & Gas
The logistics automation market serves several end-use industries, each of which benefits from automation technologies in unique ways. The largest segment in this market is Retail and E-commerce. With the rapid growth of online shopping, e-commerce businesses need automation to meet the increasing demand for fast, accurate, and efficient order fulfillment. Automated systems help streamline warehouse operations, manage inventory, and speed up the picking and packing processes, ensuring timely deliveries. As online shopping continues to surge, retail and e-commerce remain the dominant sectors driving the growth of logistics automation.

The fastest growing end-use industry for logistics automation is Healthcare and Pharmaceuticals. In this sector, automation plays a crucial role in managing the supply chain for medical products, pharmaceuticals, and medical devices. With the need for precision and compliance, automated systems such as barcode scanners, automated storage, and retrieval systems help ensure the safe and timely delivery of sensitive goods. As healthcare demands continue to grow, particularly in response to global health challenges, the adoption of logistics automation technologies in healthcare and pharmaceuticals is expected to rise significantly.
By Automation Type: Fixed Automation, Flexible Automation); By Enterprise Size (Large Enterprises, Small and Medium Enterprises (SMEs)
When it comes to automation types, the largest segment is Fixed Automation. Fixed automation refers to systems that are designed for repetitive tasks in a fixed setting, such as assembly lines or conveyors in warehouses. These systems are highly efficient for tasks that need to be performed consistently and at a high volume. In logistics, fixed automation is used in areas like sorting, packing, and palletizing. The high degree of efficiency and accuracy offered by fixed automation makes it a popular choice for companies looking to streamline their operations.

However, the fastest growing segment is Flexible Automation. Flexible automation systems are more adaptable and can be easily reconfigured to handle different tasks. This type of automation is ideal for companies that need to adapt to changing customer demands or deal with a variety of products. In logistics, flexible automation is being used for tasks such as picking, packing, and handling diverse types of inventory. As the demand for more adaptable and customizable solutions grows, flexible automation is expected to become more widely adopted in the coming years.
Regional Analysis:
When considering the logistics automation market by region, North America holds the largest segment. North America, particularly the United States, has been at the forefront of adopting logistics automation technologies. Companies in industries like retail, e-commerce, and manufacturing are heavily investing in automated systems to improve efficiency, reduce costs, and enhance customer satisfaction. The region’s strong infrastructure, advanced technology adoption, and large-scale operations make it the leader in the logistics automation market.

The fastest growing region during the forecast period is Asia-Pacific (APAC). As countries like China, India, and Japan continue to invest in logistics infrastructure and technology, the APAC region is seeing rapid growth in logistics automation. The growing e-commerce market, combined with rising labor costs and the need for operational efficiency, is driving the adoption of automation technologies. Additionally, the region's expanding manufacturing sector is also contributing to the rise of logistics automation in APAC. The market is expected to grow at a fast pace as companies in the region look to adopt the latest technologies to stay competitive.
Latest Industry Developments:

• Expansion of AI and Robotics Capabilities: Companies in the logistics automation market are increasingly focusing on integrating advanced AI and robotics into their operations. This trend is driven by the demand for smarter, more efficient solutions that can optimize warehouse management, order picking, and last-mile delivery. By leveraging AI for predictive analytics and machine learning algorithms, businesses can make data-driven decisions to streamline logistics operations. Additionally, the use of robotics, particularly autonomous mobile robots (AMRs), is growing rapidly, enabling companies to automate labor-intensive tasks and improve overall productivity.

• Investing in End-to-End Automation Solutions: To capture a larger share of the market, companies are shifting towards offering end-to-end logistics automation solutions that cover all stages of the supply chain. This trend includes the integration of automated storage and retrieval systems (AS/RS), conveyor systems, and transportation management systems (TMS) to create seamless workflows across warehousing, inventory management, and distribution. By providing comprehensive solutions, companies can offer businesses the ability to automate multiple processes at once, reducing operational costs and improving efficiency.
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Tags logistics automation , logistics , automation
Last Updated June 5, 2025