Automated Storage and Retrieval System Market Size - By System Type, By Function, By Application, By End Use Industry - Global Forecast, 2025 - 2034

Automated Storage and Retrieval System Market Size

The global automated storage and retrieval system market size was estimated at USD 5.7 billion in 2024 and is projected to grow at a CAGR of 5.8% from 2025 to 2034. The rapid rise of ecommerce has intensified pressure on warehouses to deliver faster, more accurately, and at lower costs. ASRS systems offer a “goods-to-person” workflow that significantly cuts travel time and enhances pick accuracy. For example, Kardex Remstar reports that such systems can eliminate up to two-thirds of labor needs for picking and retrieval, while improving ergonomic safety and throughput. This aligns with growing consumer expectations and peakseason demand spikes, where speed and accuracy become critical competitive differentiators.
 

Warehouse real estate has become costlier and scarcer, especially in urban and cold-chain logistics hubs. ASRS delivers greater storage density, often reducing floor-space usage by up to 85%, by stacking goods vertically and eliminating wide aisles. This efficient exploitation of cubic space not only cuts overheads, but also creates room for valued activities on-site, such as light manufacturing or specialized handling.
 

Chronic labor shortages and rising labor costs are nudging distribution centers toward automation. Kardex notes the ability of ASRS to offset up to two-thirds of picking labor. Meanwhile, industry-wide workforce gaps, especially in roles requiring repetitive, reliable accuracy, accelerate adoption of systems that reduce reliance on scarce skilled personnel and shift human capital toward supervisory or maintenance roles.
 

Automated Storage and Retrieval System Market Trends

• The escalating demand for enhanced storage density supports the growth of the automated storage and retrieval system industry. With businesses seeking to optimize warehouse space utilization, automated storage and retrieval system solutions offer compact storage configurations, maximizing storage capacity within limited footprints. For instance, in October 2023, Hai Robotics introduced three new products aimed at enhancing storage density and performance in warehouses with limited space. These include the telescopic Grapple Hook ACR, HaiPick System 3, and HaiPick A42T-E2. The Grapple Hook ACR can integrate seamlessly with the HaiPick System 3, offering improved performance and storage efficiency. Together, these innovations provide a compact yet high-performing solution for warehouse automation.
   
•  The exponential growth of e-commerce is reshaping supply chain dynamics, necessitating efficient storage and order fulfillment solutions. Automated storage and retrieval systems are increasingly vital for handling surges in product volumes while maintaining operational agility. As consumer expectations for fast delivery intensify, businesses are compelled to invest in automated storage and retrieval system technology to optimize warehouse operations. This trend highlights the lucrative growth potential for automated storage and retrieval system providers as they cater to the evolving needs of the e-commerce-driven landscape.
   

Automated Storage and Retrieval System Market Analysis

The automated storage and retrieval system industry by function is segmented into storage & retrieval, order picking & consolidation, buffering & sequencing, and kitting & assembly support. The storage & retrieval segment generated a revenue of USD 2.2 billion in 2024 and is anticipated to reach USD 3.7 billion by 2034.
 

• Storage & retrieval forms the backbone of any ASRS deployment, enabling high-density inventory management and rapid access to SKUs. Regardless of industry, retail, pharmaceutical, automotive, or electronics—every automation process begins with accurate, efficient storage and ends with reliable retrieval. This universality cements its dominance as the most essential and frequently implemented function.
   
• With rising warehouse space constraints, storage systems that maximize vertical and cubic space are in high demand. Automated retrieval, paired with real-time inventory tracking, reduces human error and shrinkage. According to Daifuku and Kardex, their storage & retrieval modules improve inventory accuracy to nearly 99.9%, directly reducing waste and improving replenishment cycles.
   
• Storage & retrieval operations are labor-intensive when performed manually. Automating these functions drastically cuts picking time, reduces operator fatigue, and enables operation 24/7. Companies like Swisslog and Dematic highlight how this module alone can drive measurable ROI within 3-5 years by increasing order throughput without expanding labor or facility size.
   

The automated storage and retrieval system market by application is segmented into cold chain storage, inventory management, order fulfillment, production support, and reverse logistics. The inventory management segment was the leading segment in this market in 2024 with a revenue of USD 2 billion and has a market share of around 34.4%.
 

• Inventory management is the most universally required function across sectors, whether in retail, healthcare, manufacturing, or cold chain logistics. ASRS enables real-time tracking, automated stock rotation (FIFO/LIFO), and minimizes overstocking or stockouts. Its role as the decision-making nucleus for replenishment, order picking, and shipping makes it indispensable and central to ASRS adoption.
   
• Automated inventory management systems reduce human error and ensure data accuracy through barcode scanning, RFID, and integration with ERP/WMS platforms. Companies like Bastian Solutions and Kardex report significant improvements in stock accuracy and shrinkage control, which directly impacts cost efficiency, order fulfillment speed, and customer satisfaction—key drivers in lean supply chain strategies.
   
• Modern ASRS inventory systems incorporate IoT and AI to offer predictive insights into demand patterns, inventory aging, and restocking needs. This transition from reactive to proactive logistics positions inventory management as a high-value strategic function, not just an operational task. Swisslog and Symbotic, for example, leverage these capabilities to provide clients with competitive agility in fast-moving markets.
   

• The U.S. automated storage and retrieval system market was valued at around USD 1.10 billion in 2024 and is anticipated to register a CAGR of 5.8% between 2025 and 2034.
   
• The U.S. has consistently led in the adoption of warehouse automation due to its advanced manufacturing, retail, and logistics ecosystems. With major corporations such as Amazon, Walmart, and UPS setting global benchmarks in supply chain digitization, there is a strong demand for scalable, high-efficiency storage solutions. ASRS technologies are heavily deployed in these operations to reduce labor dependency and increase order accuracy and speed. The country’s widespread implementation of Industry 4.0 principles, including robotics, IoT, and AI in warehousing—makes ASRS an essential asset, particularly in high-throughput distribution centers.
   
• The U.S. is home to several leading ASRS solution providers, such as Bastian Solutions, Dematic (U.S. HQ), and Westfalia Technologies. These companies not only supply domestic markets but also serve as design, engineering, and R&D hubs for global projects. The country’s technology-rich environment, supported by advanced manufacturing zones and university-industry collaboration, encourages innovation in modular, flexible ASRS systems. Moreover, government-funded smart logistics programs and private sector investments in automation further reinforce U.S. dominance as a demand center and solution innovator in North America.
   
• The rapid acceleration of e-commerce in the U.S.—exemplified by same-day or next-day delivery expectations—has led to a surge in demand for ASRS to optimize space, accuracy, and speed in order fulfillment. Additionally, with growing investment in pharmaceutical and grocery cold chains, temperature-controlled ASRS solutions are becoming increasingly vital. ASRS allows for compact, compliant, and energy-efficient storage in these high-regulation sectors. The scale and maturity of such verticals in the U.S. far exceed those in Canada or Mexico, consolidating the country’s leadership in both adoption volume and technological advancement within the ASRS market.
   

Country-level Analysis

• Europe: Europe witnessed promising demand in the automated storage and retrieval system market with a share of around 25.6% in 2024 and is expected to grow at a robust CAGR of 6.1% during the forecast period.
   
  • Escalating labor shortages, stringent sustainability regulations, and the region’s push toward smart manufacturing are driving strong demand. Additionally, rising e-commerce penetration and the modernization of intra-European logistics networks further reinforce this upward trajectory.
     
• Asia Pacific: In 2024, the automated storage and retrieval system market revenue for the Asia Pacific was worth around USD 2 billion and is expected to reach USD 3.8 billion by 2034.
   
  • The Asia Pacific market for Automated Storage and Retrieval Systems (ASRS) is undergoing rapid transformation, driven by industrial expansion, rising labor costs, and the regional shift toward automation-led efficiency. Countries like China, Japan, South Korea, and India are witnessing significant investment in warehouse modernization across sectors such as automotive, electronics, and retail. Government-led initiatives supporting smart manufacturing, coupled with the growth of organized retail and e-commerce, are further accelerating ASRS adoption. Additionally, increasing urbanization and space constraints in major metropolitan areas are prompting businesses to invest in high-density, vertical storage systems to optimize facility usage and streamline logistics operations.
     

Automated Storage and Retrieval System Market Share

• The top 5 companies in the automated storage and retrieval system industry, such as Daifuku Co., Ltd., Kion Group AG, Kardex Group, Symbotic LLC, and TGW Logistics Group hold a market share of 15%.
   
• Daifuku, headquartered in Japan, is a global leader in material handling automation and ASRS technologies. The company maintains its market leadership through continuous innovation, global expansion, and sector-specific solutions across automotive, semiconductor, airport logistics, and warehousing. Daifuku emphasizes modular and scalable ASRS systems that integrate seamlessly with AI and IoT, enabling predictive maintenance and operational efficiency. Its focus on sustainability and customized automation solutions for high-growth industries—such as cold chain and pharmaceutical logistics—has helped solidify long-term partnerships with multinational clients.
   
• Germany-based Kion Group, through its Dematic brand, has strengthened its ASRS market presence by delivering end-to-end intralogistics solutions powered by robotics and cloud-based warehouse intelligence. The company strategically invests in R&D to enhance software-driven optimization and interoperability across automated systems. Its commitment to integrated automation platforms, particularly for e-commerce and grocery fulfillment, positions it as a go-to provider for scalable, fast-response solutions. Kion also leverages its extensive service network to offer lifecycle support, ensuring long-term system reliability and customer retention.
   
• Kardex Group, headquartered in Switzerland, focuses on high-performance vertical storage and retrieval systems for small parts, catering primarily to industrial, healthcare, and retail segments. The company sustains its market share by offering highly compact, energy-efficient, and space-optimizing ASRS modules tailored for European space-constrained environments. Kardex continuously invests in digitalization and smart inventory management capabilities, ensuring seamless integration with ERP and WMS systems. Its emphasis on modularity, rapid deployment, and ease of retrofitting into existing operations appeals strongly to SMEs and mid-sized manufacturers.
   

Automated Storage and Retrieval System Market Companies

Symbotic LLC, a U.S.-based innovator, has disrupted the ASRS landscape by combining robotics, vision systems, and AI to deliver highly flexible and intelligent automation solutions. The company’s flagship platform, deployed across major U.S. retailers, utilizes autonomous mobile robots and AI to adapt to dynamic warehouse conditions. Symbotic sustains its market position by focusing on speed, SKU diversity, and real-time responsiveness, enabling clients to meet fast-moving consumer demands. Its strategic partnerships—most notably with Walmart—underscore its ability to scale and tailor ASRS technology for high-volume distribution networks.
 

Austria’s TGW Logistics Group maintains its competitive edge by offering holistic, future-proof intralogistics systems that include ASRS as a core component. TGW emphasizes long-term partnerships through its “Lifetime Services” model, ensuring clients benefit from continuous support and system optimization. Its innovations in shuttle technology, smart picking, and robotic integration address the growing need for agile, omnichannel fulfillment. TGW’s focus on software-driven control systems and modular architecture allows it to serve both large-scale operations and mid-sized enterprises with tailored, scalable automation strategies.
 

Major players operating in the automated storage and retrieval system market are:

• Automation Logistics Corporation
• Bastian Solutions
• Beumer Group
• Daifuku Co., Ltd.
• Dematic
• Egemin Automation
• Kardex Group
• Kion Group AG
• Knapp AG
• Mecalux, S.A.
• Murata Machinery, Ltd.
• Schaefer Systems International, Inc.
• Swisslog Holding AG
• Symbotic LLC
• System Logistics Corporation
• TGW Logistics Group
• Vanderlande Industries
• Westfalia Technologies, Inc.
• Witron Logistik + Informatik GmbH
   

Automated Storage and Retrieval System Industry News

• In May 2025, Dematic launched its FD Series Shuttle specifically tailored for the Asia Pacific market, marking a strategic enhancement to its ASRS portfolio. Designed for flexibility and scalability, the shuttle system accommodates varying tote and carton sizes, addressing the region’s growing demand for dynamic, high-density warehouse solutions amid rising e-commerce activity and constrained urban storage spaces. The FD Shuttle enables businesses to optimize throughput and space utilization while supporting multi-format storage, aligning with APAC’s shift toward modular, future-ready intralogistics. This development reinforces Dematic’s commitment to delivering regionally customized automation solutions that balance performance, adaptability, and cost-efficiency.
   
• In June 2023, Falcon Autotech introduced NEO, an advanced automated storage and retrieval system. Leveraging robotics, AI, and cutting-edge sensors, NEO streamlines goods storage and retrieval processes within warehouses. Comprising NEObots, NEOgrid, NEObins, NEOit, and NEOstations, this system utilizes an overlaid grid structure to optimize storage without complex engineering.
   
•  In February 2023, Prozo introduced the Mini-Load ASRS, marking a significant milestone as the first 3PL company in India to integrate such advanced technology into its supply chain management services. This deployment represents a substantial step toward achieving 100% warehouse automation for Prozo.
   

The automated storage and retrieval system market research report includes in-depth coverage of the industry, with estimates & forecasts in terms of revenue (USD Billion) and volume (Units) from 2021 to 2034, for the following segments:

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Market, By System Type

• Unit load cranes
• Mini load cranes
• Vertical lift module
• Robotic shuttle-based
• Robotic cube-based
• Carousel-based
  • Vertical carousel
  • Horizontal carousel 
• Others

Market, By Function

• Storage & retrieval
• Order picking & consolidation
• Buffering & sequencing
• Kitting & assembly support
• Replenishment

Market, By Application

• Cold chain storage
• Inventory management
• Order fulfillment
• Production support
• Reverse logistics

Market, By End Use Industry

• Aerospace & defense
• Automotive
• Electronics & semiconductors
• Healthcare
• Metals & heavy machinery
• Retail & e-commerce
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • U.K.
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa