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Summary Time‐space network (TSN) models have been widely used for collision‐free path planning of automated guided vehicles. However, existing TSN models are planned globally. The global method suffers from computational complexity and uncertainties cannot be dealt with in the dynamic environment. To address these limitations, this article proposes a new methodology to decompose the global planning problem into smaller local planning problems, which are planned in a receding horizon way. For the local problem, new decision variables and constraints are incorporated into the TSN framework. Extensive simulation experiments are carried out to show the potential of the proposed methodology. Simulation results show that the proposed method obtains competitive performances and computational times are considerably reduced, compared with the global method.