In this paper, we describe an image processing algorithm which is able to recognize the road lane. This algorithm performs to recognize the interrelation between AGV and the other vehicle. We experimented on AGV driving test with color CCD camera which is setup on the top of vehicle and acquires the digital signal. This paper is composed of two parts. One is image preprocessing part to measure the condition of the condition of the lane and vehicle. This finds the information of lines using RGB ratio cutting algorithm, the edge detection and Hough transform. The other obtains the situation of other vehicles using the image processing and viewport. At first, 2 dimension image information derived from vision sensor is interpreted to the 3 dimension information by the angle and position of the CCD camera. Through these processes, if vehicle knows the driving conditions which are lane angle, distance error and real position of other vehicles, we should calculate the reference steering angle.