The pallet-free production line, by eliminating the need for traditional pallet circulation, offers new possibilities for space-intensive manufacturing. This solution employs systematic **compact layout optimization**, integrating 3D dynamic simulation and logistics cycle analysis to scientifically reconfigure equipment arrangement, material flow paths, and functional zones. By replacing traditional linear layouts with U-shaped closed-loop designs, material transport distance is reduced by over 40%. Through three-dimensional spatial integration, the curing system and molding stations achieve vertical synergy. Additionally, modular equipment clusters and flexible connection technologies minimize non-productive intervals while ensuring operational and maintenance accessibility. After optimization, overall production line space utilization increases by 50%, factory floor area decreases by an average of 30%, logistics energy consumption is reduced by more than 15%, and daily production capacity improves by 18% due to streamlined processes. This solution has been validated through practical applications in multiple enterprises, offering both scalability and adaptability, providing a high-efficiency spatial optimization strategy for enterprises facing land constraints or requiring production capacity upgrades.