In this paper a control strategy of Automatic Guided Vehicle (AGV) is proposed. The structure of AGV is described. The strategy is based on two main purposes: the path is stored in the PLC memory and the vehicle displacement is calculated form the wheel rotation measurement. The control and localisation systems are developed. Reference path and observation measurement are matched. To keep track of the matching result of both positions, the estimated position information used to update the vehicle's position by using the Kalman Filtering (KF) algorithm. Test performance is verified with accurate positioning control by simulation and experimentation.