Elevator and Escalator Market By Products (Elevators, Escalators and Moving Walkway), Business (New Equipment, Maintenance & Modernization), and Application (Residential, Commercial and Industrial), and Region - Market Perspective, Market Intelligence, Comprehensive Analysis, Historical Data, and Forecast for 2023-2032
Market Perspective
The global Elevator and Escalator Market size was worth around USD 102.68 billion in 2022 and is predicted to reach around USD 185.63 billion by 2032 at a CAGR of around 6.1% between 2023 and 2032 due to urbanization, population growth, and demand for efficient and convenient movement in buildings.
The rise in construction activities has driven the elevator and escalator market, and advancements in technology have capitalized on the industry. Restarting construction projects and increased investments in the construction sector have supported market growth further. Wherein, the residential and commercial sectors are also expected to witness a healthy growth momentum.
The market consists of three main products: elevators, escalators, and moving walkways. Key players in the market are focused on energy efficiency, equipment safety, and sustainability. There is a significant investment in research and development to improve energy efficiency.
Developing countries offer a growth opportunity for the elevators and escalators market, resulting in increased demand for new equipment and market revenue. Countries with high population densities are looking to improve their infrastructure.
Key Insights
- Based on the business, the new equipment segment dominated the market
- Based on application, the commercial segment generated the highest revenue
- On the basis of region, Asia Pacific accounted largest market share
Increasing Spending Infrastructure Development to Boost the Product Demand
Rising investment in the infrastructure sector has fueled the growth of the elevator, escalator, and moving walkway market. Urbanization and the development of smart cities in developing countries are driving the expansion of infrastructure and the demand for reliable and convenient vertical transportation.
With technological advancements, elevators, and escalators are now more energy-efficient, cost-effective, and require minimal maintenance. For example, India's announced investment of over $7 billion for smart city development in 2022 is expected to boost the demand for these products.
Uncertain Global Economy is Challenging Market Growth to Some Extent
The elevator and escalator market is heavily influenced by the construction industry, as the demand for these products is directly linked to the growth and expansion of infrastructure projects. As cities continue to grow and urbanize, there is a greater need for efficient and convenient vertical transportation, which elevators and escalators provide. As a result, any increase or decrease in construction activity will have a corresponding effect on the demand for these products. Additionally, the quality and type of construction projects being undertaken, such as residential or commercial buildings, will also impact the market for elevators and escalators. It is important for businesses in this market to closely monitor the construction industry to make informed decisions and capitalize on growth opportunities..
Recent Development
In September 2022: KOCH Elevator, a top service and maintenance provider merged with 3Phase Elevator which is an independent escalator and elevator service.
In October 2021: Comet S.p.A subsidiary of EMAK S.p.A declared the acquisition of Poli S.r.l, a company manufacturing motor sweepers. The acquisition was for 80% of the stakes for an initial value of USD 6.6 million.
In June 2021: Detroit Elevator Company’s repair and service business was acquired by Kone. This acquisition strengthened Kone’s operations and local reach in the U.S.
Segmentation Analysis
The new equipment segment held the largest share of revenue in the elevator and escalator market and is expected to continue its dominance in the coming years. This is due to factors such as urbanization in developing economies, increased construction activity, growth of business hubs, and demand for advanced technologies for efficient performance. For example, in 2021, Otis alone sold over 100,000 units of elevators and escalators. During the forecast period, the maintenance segment is expected to grow rapidly, driven by the sales of new equipment. The modernization segment is also expected to see growth, reflecting ongoing technological advancements and innovations.
The commercial sector dominated the elevator, escalator, and moving walkway market by revenue and is expected to maintain its dominance in the coming years. Elevators, escalators, and moving walkways are widely used in commercial spaces such as malls, business centers, co-working spaces, stations, and other commercial buildings. Increased investment in commercial spaces has boosted demand for these products in this sector.
The residential sector is expected to have the fastest growth potential, driven by rising construction activities. The limited availability of land for construction is leading to a shift towards skyscrapers, which require elevators for access. This is expected to drive growth in revenue for the residential sector.
Regional Landscape
Asia Pacific is Dominating the Market Share Due to the Presence of Major Players
Asia Pacific dominated the elevator and escalator market with the highest revenue and a market share of over 40%. This dominance is due to the presence of large-scale manufacturers and service providers like Hyundai Elevator, Mitsubishi, and Suzhou Dazen Electromechanical, among others. China, India, Australia, and other developing Southeast Asian countries are driving the growth of the market. China is a major contributor to the global elevator and escalator market, while India is expected to show the fastest growth in the coming years due to increasing urbanization, the development of smart cities, and the upgrading of skyscrapers in the residential sector.
Not just the residential sector, but India's progress is also reflected in the growth of the commercial and industrial sectors. The demand for industrial and commercial elevators and escalators will increase due to their reliability and the reduction in human labor for the transportation of goods.
North America is the Fastest Growing Market Owing to the Rising Technological Advancements
North America has been a key market for elevators, escalators and moving walkways, with a growing demand for new equipment and modern technologies. Major players such as Otis, Kone, and Thyssenkrupp have established a strong presence in the region, contributing to its growth. In 2021, Thyssenkrupp made several acquisitions in the US, further expanding its market presence and solidifying its position as a leading player in the region. The growing construction industry, rising number of skyscrapers, and increasing investments in commercial and residential spaces are some of the factors driving growth in the North American market for elevators, escalators and moving walkways. The region is expected to continue its steady growth trajectory in the coming years.
Competitive Landscape
- EMAK
- FUJITEC CO., LTD.
- HYUNDAIELEVATOR CO., LTD.
- Johnson Lifts Private Limited
- KONE CORPORATION FINLAND
- Mitsubishi Electric US, Inc.
- OTIS
- SCHINDLER
- Suzhou Dazen Electromechanical Technology Co., Ltd.
- TK Elevator GmbH
- Toshiba Corporation
The global elevator and escalator market is segmented as follows:
By Products
- Elevators
- Escalators
- Moving Walkway
By Business
- New Equipment
- Maintenance
- Modernization
By Application
- Residential
- Commercial
- Industrial
By Region
- North America
- The U.S.
- Canada
- Mexico
- Europe
- France
- The UK
- Spain
- Germany
- Italy
- Nordic countries
- Denmark
- Finland
- Iceland
- Sweden
- Norway
- Benelux Reunion
- Belgium
- The Netherlands
- Luxembourg
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- New Zealand
- Australia
- South Korea
- Southeast Asia
- Indonesia
- Thailand
- Malaysia
- Singapore
- Rest of Southeast Asia
- Rest of Asia Pacific
- The Middle East & Africa
- Saudi Arabia
- UAE
- Egypt
- Kuwait
- South Africa
- Rest of the Middle East & Africa
- Latin America
- Brazil
- Argentina
- Rest of Latin America
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Elevator and Escalator Market By Products
- February-2023
- 148
- Global
- machinery-equipment
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