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In recent decades, the Timed Elastic Band (TEB) algorithm is widely used for the AGV local path panning because of its convenient and efficiency. However, it may make a local detour when encountering a curve turn and cause excessive energy consumption. To solve this problem, this paper proposed an improved TEB algorithm to make the AGV walk along the wall when turning, which shortens the planning time and saves energy. Experiments were implemented in the Rviz visualization tool platform of the robot operating system (ROS). Simulated experiment results reflect that an amount of 5% reduction in the planning time has been achieved and the velocity curve implies that the operation was relatively smooth. Practical experiment results demonstrate the effectiveness and feasibility of the proposed method that the robots can avoid obstacles smoothly in the unknown static and dynamic obstacle environment. [ABSTRACT FROM AUTHOR]