Abstract: A guidance system for a self-guided vehicle features an electrical conductor and permanent magnets embedded together in an elongate groove formed in a vehicle-supporting surface such as a factory or warehouse floor. The electrical conductor provides steering guidance while the permanent magnets embedded with the conductor provide other information without distorting the magnetic field of the electrical conductor. To prevent such distortion, the permanent magnets are selected for their low magnetic permeability and high electrical resistivity. Magnetic field sensors are provided on the vehicle for determining exact position of the vehicle along its path of travel by sensing deviation, or lack thereof, with respect to such permanent magnets.