Elevator Market Size, Share, Growth Report 2032

Industry Prospective

The global elevator market was worth around $128 billion in 2021 and is predicted to grow to around $140 billion by 2028 at a CAGR rate of 7% over the forecast period. In this report, we will analyze the full overview, growth drivers, opportunities, and obstacles of the elevator market from 2022 to 2028.

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Elevator Market: Overview

An elevator is a closed cabin operated by an electrical machine with pump hydropower, counterweight systems, or traction cables to rise above. They are mobility solutions and are quite commonly used in high-rise buildings.

They move in the vertical direction with the help of a shaft to ascend above the specified level. It enables up-down movement where materials and people are transferable to any floor. They have electric motors to power up the upward motion and traction wires to lift themselves above a certain level.

Many tall and high-rise buildings are facilitated with lifts and it also serves on big commercial platforms. It aids people to climb any multistoried buildings and also luggage or loads to ascend a certain floor. They are extensively used in the construction industries to transport builders and goods from one floor to another. 

Many new residential infrastructure products have made lifts a mandatory amenity to serve people on climbing floors. They come with different internal capacities and sizes to accommodate people and goods. The main transport of goods and movement inside the building happens through elevators.

Covid-19 Impact:

Covid-19 was a setback to the global elevator market. During that time, there were lockdowns imposed that cut down the construction of new buildings including residential and commercial industries. The demand went down to a staggering low because of that and there was also a dip in production which led to a decrease in supply. The laborers and service personnel were in shortage which led to a decline in installing the system in necessary places. Distribution channels were affected which halted the reach and availability of raw materials. Even the delivery of the finished products could not reach the consumers leaving the market to suffer a considerable loss.

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Elevator Market: Growth Drivers

Increasing demand for infrastructure development, construction of high-rise buildings, modernizations, coupled with innovations like smart elevators fuels market growth

The increasing need for infrastructure development, rampant construction of high-rise buildings, huge investments in construction industries, and convenient residential & non-residential venues drive market growth. Many developing countries have developed megacities and smart cities where the leverage of elevators becomes prominent thereby increasing their demand.

There has been a rampant emergence of smart elevators along with the increasing attention on safety regulations which is anticipated to drive market growth. Rising population and modernization also add up to the growth of the global market as it would invariably increase the number of residential buildings. Suitable trends in the emerging economies propel growth of the elevator market to a large extent as well.

There has also been considerable technological advancement in the form of integration of circuit boards, new controllers, new belts, and machine room elevators which boosts the market rate. An increase in commercial projects during recent times is also going to improve the leverage of elevators augmenting market growth globally.

Elevator Market: Restraints

Government regulations & policies controlling lifts and incidences of accidents involving elevators hamper the market growth.

Elevators are prone to be the major causes of accidents and injuries that provoke authorities to enact safety standards and laws to prevent them. This triggers a high maintenance and scrutiny system to be in place with the elevators to safeguard people from any fatalities. The cost of this maintenance and securing a proper scrutiny mechanism restricts the global elevator market growth to some extent.

Elevator Market: Opportunities

Introduction of smart elevators as a part of modernization and technological advancement provides a lucrative opportunity for market expansion

There has been an increase in high-rise buildings and smart cities which calls for more convenient mobility systems. Many technological advancements in elevators are happening in recent times to improve efficiency in inter-building movements. Smart elevators are one such advancement that triggers an opportunity for market growth. There is also an ample rise in the construction of tall and high-rise buildings which increases the demand for elevators thereby providing an opportunity for the elevator market.

Elevator Market: Challenges

Significant increase in the demand for elevators in the residential industries poses a challenge for the market

Residential accounts for the largest consumer of elevators and there has been a global rise in the construction of residential buildings in recent times. The residential market is driven by the sophistication of living standards in developing countries. This induces an increasing demand for elevators which puts a burden on the manufacturers to produce more elevators to fulfill the growing demand of the residential market. This increase in demand poses a challenge for the global elevator market to increase its supply to cater to the upcoming new residential projects.

Strict government regulations to scrutinize safety standards in elevators pose a challenge to the market

Safety requirements and protocols regulated by the government to manufacture lifts put a burden on the manufacturers to comply with them. Fatal incidents happen mostly on the elevators and there is an increased pressure to scrutinize the production of lifts by complying with the safety rules implemented. The rules protect and maintain the operations of elevators preventing them from any defects that could cause accidents. This factor poses a challenge for the supply of elevators thereby affecting the market as well.

Elevators Market: Segmentation

The global elevator market in this research analysis is divided into type, technology, service, application, and region. The type is classified as passenger elevator, freight elevator, and others. The technology is divided into traction, machine room-less traction, and hydraulic. Service consists of new installation, maintenance repair, modernization, and others. Applications are residential, hypermarkets, malls, corporate offices, and others.

Recent Development:

In Feb 2021, Schindler collaborated with citizen hotels to provide modernization and service for elevators in all existing and newly constructed buildings.

In October 2020, Hitachi acquired a share in Yungtay Engineering to strengthen the elevator business.

Report Scope:

Regional Landscape:

Asia Pacific region leads the market share as the largest consumer

Asia Pacific region leads the global market as the largest consumer and producer of elevators. The abundance and proximity of raw materials coupled with relatively lesser labor costs for the production of lifts increase the demand and production in this region. The increasing scope of elevators in North America for residential, commercial, and some infrastructure projects on the rise elevates the market rate in this region. Industrialization, growing geriatric population, rising disposable income, and focus on convenient lifestyle drives market growth in the North American region.

Competitive Landscape:

The key players in the global elevator market are Schindler Group, Otis Elevator, Thyssenkrupp AG, KONE Corporation, Hitachi Ltd., Fujitec Co., LTD., Hyundaielevator Co., Ltd., Electra Elevators, Mitsubishi Electric Corporation, ESCON ELEVETORS PVT LTD, Toshiba Elevator, and ETIA Elevator.

Elevator Market segmentation follows,

By Type

• Passenger Elevator
• Freight Elevator
• Others

By Technology

• Traction
• Machine Room-Less Traction
• Hydraulic

By Service

• New Installation
• Maintenance Repair
• Modernization
• Others

By Applications

• Residential
• Hypermarkets
• Malls
• Corporate Office
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa