As momentum behind the autonomous vehicle (AV) industry continues to build, the state known as the “Crossroads of America” is positioning itself to be a leader in the future of AV freight logistics.
In a move to establish a baseline of what Indiana has in place and what considerations must be met for success in becoming a frontrunner in AV freight logistics, Conexus Indiana, a nonprofit in the advanced manufacturing and logistics space, in partnership with the Indiana Department of Transportation (INDOT), commissioned an assessment study conducted by infrastructure consulting firm AECOM.
“This assessment is not just a snapshot of where Indiana stands today — it’s a roadmap for how we lead in AV freight,” said Conexus Indiana senior director of Research and Public Sector Engagement Tara Pearson in a news release. “By focusing on targeted infrastructure improvements and collaborative pilot programs, we can ensure Indiana is AV-ready and positioned to attract innovation, investment and jobs in the next generation of logistics.”
Why Now?
Researchers forecast the AV market to grow from $22.6 billion in 2024 to over $222.8 billion by 2033. The drive behind the movement focuses on enhanced safety, cost-effectiveness, and more logistical efficiency. The appeal of automated transportation is that it can circumvent some of the largest logistical challenges, including labor shortages, fuel prices and supply chain disruptions.
Indiana has already established itself as a logistics powerhouse, capitalizing on the state’s central Midwest location and strong infrastructure. The assessment is a step in ensuring the state keeps pace with the industry transformation.
While Indiana has a competitive edge, other states, such as Texas and Arizona, are demonstrating aggressive moves toward the use of AV freight. It is imperative, the report notes, that Indiana is proactive in strategies that will ready the state for AV freight.
Report Findings
In its assessment, AECOM has identified several highways as optimal deployment zones for AV vehicles. Those are Interstates 70, 65 and 74. These key corridors are ideal locations to roll out pilot projects and establish a return on investment baseline.
Suggested improvements to the road system include upgrades to signage, markings and digital infrastructure. Future improvements in interchange construction call for designs that avoid mixed merging and merging under long overpasses.
A network-driven model of Industry partnerships and community support will also be critical. Public perception, in terms of safety and job security, will be a challenge to overcome. Strong collaboration and partnerships with data and technology companies, transportation agencies, emergency response units, government entities and other officials will be crucial, especially in last- and middle-mile operations where local roads will be utilized.
“Each of these challenges may have mitigation components that include infrastructure, policy/regulation, data/information sharing, and technical capability maturity. This work forms the base for further work in the state to incentivize safe and effective integration of AV freight vehicles into the transportation system and the goods movement and manufacturing supply chain,” researchers said in the report.
Future-Forward Outlook
As Indiana continues its plan to build an ecosystem for AV freight logistics, industry professionals foresee a transformative industry that makes the supply chain more efficient. In addition, a bustling AV freight industry can attract new business to the area, including manufacturers of AV vehicles and technology and data companies.
As a leader in AV freight, Indiana has the potential to lead in areas where there is a reduction in human error on the roadways while streamlining supply chains, strengthening the business industry and expanding the workforce. All of which, the report notes, will contribute greatly to the economic health of the Hoosier state.
