In Plant Logistics Market Size to Grow from USD 15.71 Billion in 2024 to USD 38.24 Billion by 2034, at a 9.3% CAGR

The global in plant logistics market size was worth around USD 15.71 billion in 2024 and is predicted to grow to around USD 38.24 billion by 2034

PUNE, MAHARASHTRA, INDIA, September 30, 2025 /EINPresswire.com/ -- The global in-plant logistics market size was valued at approximately USD 15.71 billion in 2024 and is projected to reach around USD 38.24 billion by 2034, expanding at a compound annual growth rate (CAGR) of roughly 9.30% between 2025 and 2034. The growth of this market is driven by the rising adoption of automation, smart manufacturing, and digital logistics solutions to enhance operational efficiency, reduce costs, and improve supply chain visibility within industrial facilities.

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Market Overview

In-plant logistics refers to the management and optimization of material flow, storage, and transportation within manufacturing plants, warehouses, and production facilities. It encompasses processes such as material handling, inventory management, production scheduling, and automated guided vehicle (AGV) deployment.
With Industry 4.0 initiatives, smart factories, and increasing demand for operational efficiency, manufacturers are increasingly investing in advanced in-plant logistics solutions. These solutions help reduce waste, minimize downtime, and improve overall productivity across automotive, electronics, pharmaceuticals, food & beverage, and heavy machinery sectors.

Key Market Drivers
Rising Automation in Manufacturing
Increasing deployment of automated material handling systems, robotics, and AGVs to streamline plant operations.
Industry 4.0 & Smart Factory Adoption
Integration of IoT, AI, and real-time monitoring systems for seamless production and logistics operations.

Growing Need for Cost Optimization
Efficient in-plant logistics reduces material handling costs, inventory holding costs, and production delays, supporting profitability.
Expansion in Key End-Use Industries
Automotive, electronics, pharmaceuticals, and food & beverage industries are driving demand for efficient material flow and storage solutions.
Labor Shortage Mitigation
Adoption of automated solutions helps overcome labor shortages and enhances workforce productivity.

Market Challenges
High Initial Investment Costs for automation and digital logistics solutions.
Integration Complexity with legacy systems in existing plants.
Skilled Workforce Requirement to operate and maintain advanced logistics technologies.
Cybersecurity Risks associated with IoT and connected systems.

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Market Segmentation
By Solution Type
Material Handling Equipment (Conveyors, Automated Guided Vehicles, Cranes)
Warehouse & Storage Systems (Racking, Shelving, Automated Storage & Retrieval Systems)
Software & IT Solutions (Warehouse Management Systems, Logistics Management Platforms, Real-Time Tracking)
Services (Maintenance, Consulting, Integration)

By End-Use Industry
Automotive
Electronics & Semiconductors
Pharmaceuticals & Healthcare
Food & Beverages
Chemicals & Petrochemicals
Metals & Heavy Machinery
Others

By Region
North America – Adoption of automated in-plant logistics solutions in automotive, aerospace, and food & beverage industries.
Europe – Growth driven by Industry 4.0 initiatives, smart manufacturing, and automotive sector investments.
Asia-Pacific – Fastest-growing market with expansion in China, India, Japan, and Southeast Asia due to industrialization and manufacturing sector growth.
Latin America – Increasing industrial automation and logistics optimization efforts.
Middle East & Africa – Emerging opportunities due to manufacturing sector expansion and industrial infrastructure development.

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Competitive Landscape

The in-plant logistics market is moderately fragmented, with key global players focusing on innovation, digital transformation, and partnerships with manufacturers.
Key Players
Daifuku Co., Ltd.
Dematic (KION Group)
Swisslog Holding AG
Toyota Industries Corporation
JBT Corporation
SSI Schaefer Group
Kardex AG
Murata Machinery, Ltd.
Vanderlande Industries
KNAPP AG

Recent Developments
Deployment of AI-driven material handling systems for predictive maintenance and workflow optimization.
Expansion of automated guided vehicle (AGV) and autonomous mobile robot (AMR) solutions.
Partnerships with manufacturers for end-to-end in-plant logistics digitalization.
Introduction of cloud-based warehouse and plant management platforms.

Future Outlook (2025–2034)
The global in-plant logistics market is expected to experience robust growth over the next decade, driven by:
Expansion of smart factories and digital supply chains.
Increasing adoption of robotics, IoT, and AI-based logistics solutions.
Rising demand for flexible, scalable, and efficient in-plant logistics systems.
Growth of automotive, electronics, pharmaceuticals, and food processing industries.
By 2034, in-plant logistics solutions will be an integral part of manufacturing and industrial operations, enabling organizations to achieve higher efficiency, lower costs, and improved competitiveness in the global market.

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