Elevator and Escalator Market Set to Reach USD 152.2 Billion by 2028, Driven by Urbanization and Smart Technologies

According to the MarketsandMarkets report titled “Elevators and Escalators Market – Global Forecast to 2028”, the global market is projected to grow from USD 112.1 billion in 2023 to USD 152.2 billion by 2028, at a CAGR of 6.4% during the forecast period.

Key Growth Drivers in Asia Pacific: Urbanization and High-Rise Construction

The Asia Pacific region is expected to dominate market growth, driven by a booming construction industry, rapid urbanization, and the increasing number of high-rise buildings. These factors have significantly boosted the demand and sales of elevators and escalators in the region.

Moreover, demographic shifts, including a growing population and an expanding middle class seeking improved living standards, are further accelerating market expansion.

Leading Industry Players

Prominent players in the global elevator and escalator market include:

• Schindler Group (Switzerland)
• Otis (USA)
• KONE Corporation (Finland)
• Hitachi Ltd. (Japan)
• Hyundai Elevator Co., Ltd. (South Korea)
• Fujitec Co., Ltd. (Japan)

Opportunities: Innovative Technologies and Smart Elevators

Manufacturers are increasingly investing in the development of innovative technologies to differentiate their products and maintain a competitive edge. Among these, smart elevators, integrated with advanced hardware and software systems, are emerging as the next frontier in vertical transportation.

As buildings continue to rise in height, elevator speed has become critical to reducing wait times, especially in tall structures. Future urban development initiatives like “Housing for All” and the creation of smart cities will demand taller buildings with more efficient mobility solutions.

A noteworthy example is the Burj Khalifa, which boasts the world’s highest service elevator, reaching an impressive height of 504 meters (1,654 ft). This architectural feat underscores the growing demand for high-speed, energy-efficient elevators in modern skyscrapers.

Residential Sector Set to Lead Market Growth

The residential sector is projected to be the primary driver of market growth, owing to rising demand spurred by factors such as urban migration, the proliferation of high-rise residential buildings, changing demographics, and the growing preference for smart home amenities.

Elevators are playing a crucial role in improving accessibility and convenience in residential complexes, aligning with the increasing trend of vertical urban living. The desire for advanced living spaces, coupled with the need for efficient vertical transport, positions the residential end-user segment as a key growth engine for the industry.

Asia Pacific Expected to Record Fastest Growth

The Asia Pacific elevator and escalator market is forecasted to witness the highest growth rate between 2023 and 2028. Leading economies such as China, India, and Japan are major contributors, dominating market share throughout the forecast period.

Asia Pacific stands out as a highly lucrative region for the industry, fueled by strong industrial development and widespread economic advancement. China, in particular, plays a pivotal role with numerous manufacturing facilities, emphasizing its influence over global market dynamics.

Rapid industrialization across the region is fostering a favorable environment for the expansion of the elevator and escalator market, signaling sustained industry growth in the coming years. (Photo: Freepik)