Elevator and Escalator

Elevator and Escalator Market Outlook

The global elevator and escalator market is projected to reach approximately USD 122 billion by 2035, with a compound annual growth rate (CAGR) of around 5.5% from 2025 to 2035. The growth of this market can be attributed to the rising urbanization and the expansion of infrastructure projects globally, particularly in developing regions. Additionally, factors such as the increasing demand for smart and efficient transportation systems in high-rise buildings and the growing focus on safety, reliability, and sustainability in vertical transportation are expected to drive market growth. There is also a noticeable trend towards modernization and retrofitting of existing units, which is further fueling the industry's expansion. The integration of advanced technologies such as IoT and AI promises to enhance the functionality and performance of elevators and escalators, making them more appealing to consumers and businesses alike.

Growth Factor of the Market

One of the primary growth factors for the elevator and escalator market is the rapid urbanization occurring in many parts of the world, leading to a surge in construction activities and the development of high-rise buildings. This trend is particularly pronounced in emerging economies where urban populations are swelling and creating a demand for efficient vertical transportation solutions. Moreover, advancements in technology and a shift towards smart buildings equipped with connected elevators and escalators are transforming the landscape of the industry. Sustainability is another critical growth factor, with developers increasingly investing in energy-efficient systems to reduce their carbon footprint and operational costs. Additionally, ongoing infrastructure projects across various sectors, including transportation, healthcare, and commercial real estate, are significantly contributing to market growth by increasing the demand for vertical transport systems. Alongside these factors, the need for modernization of aging elevator and escalator systems is pushing the market towards innovative solutions that enhance performance and safety.

Key Highlights of the Market

• The global elevator and escalator market is expected to witness a significant growth driven by urbanization and infrastructure development.
• Technological advancements, including IoT and AI integration, are enhancing the operational efficiency of elevators and escalators.
• Energy-efficient and sustainable solutions are becoming a priority among consumers and businesses alike.
• Modernization and retrofitting of existing systems present substantial growth opportunities for service providers.
• Regional disparities exist in growth rates, with Asia Pacific anticipated to dominate the market due to rapid urbanization.

By Product Type

Elevators :

Elevators are a crucial component of the vertical transportation market and are designed to move people and goods between different floors in buildings. The demand for elevators is significantly driven by the rise of high-rise structures and the need for efficient transportation systems in residential, commercial, and industrial sectors. Elevator technology has evolved, leading to the development of smart elevators that offer improved energy efficiency, enhanced safety features, and reduced wait times. The introduction of machine-room-less elevators and eco-friendly options has further broadened the market appeal. The rapid advancement in elevator technologies, including predictive maintenance and advanced control systems, has also played a pivotal role in increasing their adoption in modern buildings. With a growing number of skyscrapers and urban developments, the elevator segment is expected to witness sustained growth throughout the forecast period.

Escalators :

Escalators serve as essential components in high-footfall areas such as malls, airports, and public transportation hubs. Designed to facilitate smooth and rapid transportation of people between different levels, escalators are particularly useful in environments where space constraints make traditional elevators less feasible. The increasing construction of commercial complexes and infrastructure projects is a major driver for the escalator segment. Furthermore, safety innovations, including enhanced braking systems and improved step design, have bolstered escalator adoption. The integration of IoT technology allows for real-time monitoring and operational efficiency, making escalators more attractive to facility managers. As urban areas continue to grow and evolve, the demand for escalators is expected to rise significantly, particularly in densely populated regions.

Moving Walkways :

Moving walkways, often utilized in airports, large shopping centers, and train stations, provide a unique solution for efficiently transporting people over longer distances. These systems are particularly advantageous in environments where quick movement is essential, helping to decrease wait times and improve overall user experience. The growing trend of constructing larger and more complex transport hubs is propelling the demand for moving walkways. Moreover, advancements in technology and design have improved the safety and reliability of moving walkways, thus enhancing their market appeal. The ongoing development of urban infrastructure, including transit-oriented developments, further supports the growth of this segment. As cities expand and facilities become increasingly interconnected, the role of moving walkways in providing efficient transport solutions will likely grow in importance.

By Application

Residential :

The residential segment is witnessing significant growth as the demand for modern living spaces increases. High-rise apartments are increasingly incorporating elevators and escalators to ensure seamless access to various floors, catering to a growing population that prefers urban living. The trend towards luxury living spaces is also driving the demand for high-quality vertical transport systems, including stylish and efficient elevators that enhance the aesthetic appeal of residential buildings. Additionally, the aging population is prompting developers to install accessibility features in residential properties, further increasing the need for elevators. As urbanization accelerates, the integration of modern vertical transportation solutions in residential construction will continue to play a vital role in meeting consumer expectations for convenience and comfort.

Commercial :

In the commercial sector, the need for efficient and reliable vertical transportation systems is paramount as businesses seek to accommodate growing numbers of employees and customers in their facilities. Shopping malls, office buildings, and hotels are prominent users of elevators and escalators, where the flow of people is crucial for maintaining operational efficiency. The commercial application also drives significant demand for modern and high-capacity escalators and elevators, particularly in smart buildings that focus on sustainability and energy efficiency. As more businesses prioritize customer experience and accessibility, the requirement for advanced vertical transportation systems becomes even more critical. The growth of e-commerce and retail spaces further contributes to the increasing demand for escalators in commercial environments, ensuring seamless transitions between different shopping levels.

Industrial :

In industrial applications, elevators and escalators play a vital role in facilitating the movement of goods and personnel within manufacturing and warehousing facilities. The demand for freight elevators is particularly strong, as these systems are essential for transporting heavy loads between different levels safely. Industrial facilities are increasingly focused on efficiency and safety, leading to investments in modern elevator technologies that offer enhanced performance, reliability, and safety features. Additionally, the expansion of the logistics and transportation sectors is contributing to the growth of this segment. As industries continue to innovate and adapt to changing market demands, the need for efficient vertical transportation solutions in industrial settings remains critical, ensuring smooth operations and improved productivity.

By Service Type

New Installation :

The new installation segment is driven by the increasing number of construction projects worldwide, particularly in urban areas where high-rise buildings are being developed. As cities expand and the demand for vertical transportation systems grows, builders are increasingly incorporating elevators and escalators into their designs from the outset. This segment benefits from the trend of constructing smart buildings equipped with the latest technologies, offering energy efficiency and superior performance. Manufacturers are continuously innovating new installation designs, focusing on sustainability and user comfort, which enhances market growth. Additionally, government initiatives and investments in infrastructure projects globally are expected to amplify demand for new installations, making this segment a key area of focus for industry stakeholders.

Maintenance :

Maintenance services are critical for ensuring the safety and longevity of elevator and escalator systems. Regular maintenance is essential to prevent breakdowns, ensure compliance with safety regulations, and enhance operational efficiency. The growing awareness of the importance of timely maintenance among building owners is boosting this segment. Service providers are increasingly offering comprehensive maintenance packages that include predictive maintenance solutions using IoT technology to monitor system performance in real time. As more elevators and escalators become operational worldwide, the demand for skilled maintenance services continues to rise. This segment is characterized by high customer retention rates due to the critical nature of the services provided, making it a significant contributor to the overall market growth.

Modernization :

Modernization involves upgrading existing elevator and escalator systems to improve efficiency, safety, and aesthetics. As many buildings age, there is a growing recognition of the need to retrofit and modernize outdated systems to meet contemporary standards and user expectations. This segment is particularly relevant in urban areas where older buildings often require enhancements to remain competitive and compliant with current regulations. The modernization process typically involves integrating advanced technologies, such as energy-efficient motors, digital controls, and safety features, which enhance the performance of existing systems. The push for sustainability is also driving modernization efforts, as building owners seek to reduce energy consumption and emissions. As urban infrastructure continues to evolve, the modernization segment is expected to experience significant demand, providing ample opportunities for service providers to innovate and grow.

By User

Building & Construction :

The building and construction sector is a primary user of elevators and escalators, driven by the need for efficient vertical transport solutions in both residential and commercial projects. As urbanization accelerates and high-rise buildings become more prevalent, the demand for reliable and sophisticated elevator systems is on the rise. Construction companies are increasingly prioritizing vertical transportation solutions during the design and planning phases to ensure that their projects meet modern accessibility standards. Additionally, the integration of smart technology in these systems is becoming a key selling point, as developers seek to enhance the operation and user experience. With the ongoing global construction boom, this user segment is expected to sustain strong growth in demand for elevators and escalators.

Transportation :

The transportation sector includes airports, train stations, and public transit systems, where elevators and escalators are essential for facilitating the movement of passengers. As these facilities experience increased foot traffic, the demand for efficient and high-capacity vertical transportation solutions is critical. Airports, in particular, require robust escalator and moving walkway systems to manage the flow of passengers efficiently between terminals and gates. The focus on improving the travel experience through enhanced accessibility and convenience has led to investments in modern escalators and elevators equipped with smart technologies. With the global expansion of transportation networks and the rise in travel activity, this user segment is poised for substantial growth, driving advancements in elevator and escalator technology.

Retail :

In the retail sector, the need for elevators and escalators is closely tied to enhancing customer experience and operational efficiency. Shopping malls and retail complexes depend on these systems to facilitate easy movement between multiple levels, making the shopping experience more enjoyable for consumers. Retailers are increasingly investing in stylish and efficient escalators to attract customers and improve accessibility, especially for families with children and individuals with mobility challenges. As the retail landscape evolves with the rise of e-commerce, brick-and-mortar stores are focusing on providing unique in-store experiences, leading to increased demand for advanced vertical transport solutions. The retail user segment is expected to continue growing as businesses seek innovative ways to engage customers and streamline operations.

Healthcare :

Healthcare facilities, including hospitals and clinics, require reliable elevator and escalator systems to ensure the smooth movement of patients, visitors, and medical equipment. The critical nature of healthcare services demands highly efficient and safe vertical transportation solutions, which directly impacts patient care and operational efficiency. Hospitals are increasingly investing in specialized elevators designed for medical transport to accommodate stretchers and other equipment, ensuring optimal patient flow. Additionally, the need for accessibility features in healthcare settings is driving the demand for modern elevators equipped with advanced safety systems. As healthcare infrastructure continues to expand and evolve, the demand for vertical transport solutions in this sector is expected to grow significantly, providing opportunities for service providers and manufacturers alike.

By Region

The global elevator and escalator market is geographically diverse, with significant contributions from various regions. North America and Europe are currently established markets, driven by the presence of a mature infrastructure and continuous demand for modernization and maintenance services. The United States is a key player in the North American market, exhibiting a growth rate of approximately 4% CAGR due to ongoing urban redevelopment projects and an aging population requiring accessible facilities. Europe is experiencing a similar trend, with countries like Germany and the UK investing significantly in upgrading existing systems and ensuring compliance with stringent safety regulations. The average annual growth rate in Europe is anticipated to reach around 3.8%, underscoring the importance of modernization in this region.

However, the Asia Pacific region is set to dominate the market, primarily propelled by rapid urbanization and infrastructure development in countries such as China and India. The region is expected to witness a CAGR of 6.5% over the forecast period, largely due to the increasing number of high-rise buildings and a growing middle-class population that demands modern vertical transportation solutions. Additionally, the burgeoning construction industry in Asia Pacific is expected to create substantial opportunities for both new installations and maintenance services. Emerging economies in Latin America and the Middle East & Africa are also beginning to show growth potential, though at a more modest pace, as infrastructure development gradually picks up steam.

Opportunities

The elevator and escalator market presents several opportunities for growth, primarily stemming from urbanization and ongoing infrastructure development. As cities expand and the demand for high-rise buildings increases, there is a significant opportunity for manufacturers and service providers to supply advanced vertical transportation systems. Moreover, the trend towards smart building solutions provides a lucrative avenue for integrating IoT and AI technologies into elevator systems, enhancing their performance and operational efficiency. This technological integration can also create a competitive advantage for companies willing to invest in innovation. Additionally, as sustainability becomes a focal point in construction, there is an opportunity for companies to develop energy-efficient elevator and escalator systems that meet growing environmental standards while also reducing operational costs for building owners.

Another area of opportunity lies in the modernization and retrofitting of existing systems. Many buildings worldwide have aging elevators and escalators that require upgrades to meet current safety standards and user expectations. This presents a significant market for service providers specializing in modernization projects, particularly in urban areas with a high concentration of older buildings. Furthermore, as the concept of accessibility gains traction, there are expanding opportunities for manufacturers to develop solutions tailored to meet the needs of people with disabilities. By focusing on innovation, sustainability, and modernization, companies can position themselves strategically to capitalize on the evolving trends within the elevator and escalator market.

Threats

Despite its growth potential, the elevator and escalator market faces several threats that could hinder progress. One of the primary challenges is the intense competition among manufacturers, which can lead to pricing pressures and reduced profit margins. Companies must continually innovate and enhance their offerings to maintain a competitive edge, which requires significant investment in research and development. Additionally, fluctuations in raw material prices can impact production costs and pricing strategies, creating uncertainty for market players. The ongoing global supply chain disruptions, exacerbated by geopolitical tensions and the lingering effects of the COVID-19 pandemic, may also affect the availability of components required for manufacturing and maintenance, further complicating market dynamics.

Another threat to the elevator and escalator market is the potential for changes in regulations and standards. As safety regulations evolve, companies must ensure compliance with new requirements, which may necessitate additional investment in product development and training. The increasing focus on sustainability could also lead to stricter environmental regulations, impacting production processes and materials used in manufacturing. Finally, the rapid pace of technological advancements means that companies must remain agile to adapt to new trends and changes in consumer preferences. Failure to keep up with these developments could result in losing market share to more innovative competitors. As the industry navigates these challenges, stakeholders must remain vigilant and proactive in addressing potential threats to ensure sustained growth.

Competitor Outlook

• Otis Elevator Company
• KONE Corporation
• Schindler Group
• Thyssenkrupp AG
• Hitachi, Ltd.
• Mitsubishi Electric Corporation
• Johnson Lifts
• Stannah Lifts Holdings Ltd.
• Schindler Group
• Fujitec Co. Ltd.
• Hyundai Elevator Co. Ltd.
• Legrand S.A.
• Toshiba Elevator and Building Systems Corporation
• Groupe Schindler
• Safilo Group

The competitive landscape of the elevator and escalator market is characterized by a mix of established multinational corporations and emerging regional players. The major companies in the sector are continuously investing in research and development to innovate and provide sophisticated, efficient, and safe vertical transportation solutions. With a focus on technological advancements, these firms are integrating IoT, AI, and energy-efficient systems into their offerings to remain competitive. Additionally, many of these companies are forming strategic partnerships and alliances to enhance their market presence and expand their service offerings. The competitive dynamics are further intensified by the ongoing trend of mergers and acquisitions, as companies seek to capitalize on emerging opportunities and consolidate their market position.

One of the key players in the elevator and escalator market is Otis Elevator Company, a leading manufacturer known for its innovative solutions and global reach. With a strong commitment to sustainability, Otis has developed energy-efficient elevators that align with modern building standards. The company’s extensive service network ensures that it can provide effective support for its products throughout their lifecycle. KONE Corporation is another significant player, renowned for its cutting-edge technology and focus on customer-centric solutions. With a strong emphasis on safety and sustainability, KONE continues to expand its product range to cater to the evolving needs of the market. Schindler Group, with its comprehensive offering of elevators, escalators, and moving walkways, remains a key contender, continually investing in R&D to enhance operational efficiency and address customer demands for smart solutions.

In addition to these major players, Thyssenkrupp AG is a notable competitor, known for its focus on innovation and high-quality products. The company's extensive global presence enables it to capitalize on emerging markets, particularly in Asia Pacific, where urbanization is driving demand for vertical transportation systems. Mitsubishi Electric Corporation is also a prominent player, with a strong emphasis on energy efficiency and sustainability in its elevator and escalator solutions. By leveraging advanced technologies, Mitsubishi Electric aims to provide superior performance while minimizing environmental impact. Companies like Fujitec Co. Ltd. and Hyundai Elevator Co. Ltd. are also making significant inroads, particularly in the Asian markets, where they are focusing on offering customized solutions tailored to local consumer preferences.

• 1 Appendix

  • 1.1 List of Tables
  • 1.2 List of Figures

• 2 Introduction

  • 2.1 Market Definition
  • 2.2 Scope of the Report
  • 2.3 Study Assumptions
  • 2.4 Base Currency & Forecast Periods

• 3 Market Dynamics

  • 3.1 Market Growth Factors
  • 3.2 Economic & Global Events
  • 3.3 Innovation Trends
  • 3.4 Supply Chain Analysis

• 4 Consumer Behavior

  • 4.1 Market Trends
  • 4.2 Pricing Analysis
  • 4.3 Buyer Insights

• 5 Key Player Profiles

  • 5.1 Legrand S.A.
    • 5.1.1 Business Overview
    • 5.1.2 Products & Services
    • 5.1.3 Financials
    • 5.1.4 Recent Developments
    • 5.1.5 SWOT Analysis
  • 5.2 Safilo Group
    • 5.2.1 Business Overview
    • 5.2.2 Products & Services
    • 5.2.3 Financials
    • 5.2.4 Recent Developments
    • 5.2.5 SWOT Analysis
  • 5.3 Hitachi, Ltd.
    • 5.3.1 Business Overview
    • 5.3.2 Products & Services
    • 5.3.3 Financials
    • 5.3.4 Recent Developments
    • 5.3.5 SWOT Analysis
  • 5.4 Johnson Lifts
    • 5.4.1 Business Overview
    • 5.4.2 Products & Services
    • 5.4.3 Financials
    • 5.4.4 Recent Developments
    • 5.4.5 SWOT Analysis
  • 5.5 Schindler Group
    • 5.5.1 Business Overview
    • 5.5.2 Products & Services
    • 5.5.3 Financials
    • 5.5.4 Recent Developments
    • 5.5.5 SWOT Analysis
  • 5.6 Thyssenkrupp AG
    • 5.6.1 Business Overview
    • 5.6.2 Products & Services
    • 5.6.3 Financials
    • 5.6.4 Recent Developments
    • 5.6.5 SWOT Analysis
  • 5.7 Fujitec Co. Ltd.
    • 5.7.1 Business Overview
    • 5.7.2 Products & Services
    • 5.7.3 Financials
    • 5.7.4 Recent Developments
    • 5.7.5 SWOT Analysis
  • 5.8 Groupe Schindler
    • 5.8.1 Business Overview
    • 5.8.2 Products & Services
    • 5.8.3 Financials
    • 5.8.4 Recent Developments
    • 5.8.5 SWOT Analysis
  • 5.9 KONE Corporation
    • 5.9.1 Business Overview
    • 5.9.2 Products & Services
    • 5.9.3 Financials
    • 5.9.4 Recent Developments
    • 5.9.5 SWOT Analysis
  • 5.10 Otis Elevator Company
    • 5.10.1 Business Overview
    • 5.10.2 Products & Services
    • 5.10.3 Financials
    • 5.10.4 Recent Developments
    • 5.10.5 SWOT Analysis
  • 5.11 Hyundai Elevator Co. Ltd.
    • 5.11.1 Business Overview
    • 5.11.2 Products & Services
    • 5.11.3 Financials
    • 5.11.4 Recent Developments
    • 5.11.5 SWOT Analysis
  • 5.12 Stannah Lifts Holdings Ltd.
    • 5.12.1 Business Overview
    • 5.12.2 Products & Services
    • 5.12.3 Financials
    • 5.12.4 Recent Developments
    • 5.12.5 SWOT Analysis
  • 5.13 Mitsubishi Electric Corporation
    • 5.13.1 Business Overview
    • 5.13.2 Products & Services
    • 5.13.3 Financials
    • 5.13.4 Recent Developments
    • 5.13.5 SWOT Analysis
  • 5.14 Toshiba Elevator and Building Systems Corporation
    • 5.14.1 Business Overview
    • 5.14.2 Products & Services
    • 5.14.3 Financials
    • 5.14.4 Recent Developments
    • 5.14.5 SWOT Analysis

• 6 Market Segmentation

  • 6.1 Elevator and Escalator Market, By User
    • 6.1.1 Building & Construction
    • 6.1.2 Transportation
    • 6.1.3 Retail
    • 6.1.4 Healthcare
    • 6.1.5 Residential
  • 6.2 Elevator and Escalator Market, By Application
    • 6.2.1 Residential
    • 6.2.2 Commercial
    • 6.2.3 Industrial
  • 6.3 Elevator and Escalator Market, By Product Type
    • 6.3.1 Elevators
    • 6.3.2 Escalators
    • 6.3.3 Moving Walkways
  • 6.4 Elevator and Escalator Market, By Service Type
    • 6.4.1 New Installation
    • 6.4.2 Maintenance
    • 6.4.3 Modernization

• 7 Competitive Analysis

  • 7.1 Key Player Comparison
  • 7.2 Market Share Analysis
  • 7.3 Investment Trends
  • 7.4 SWOT Analysis

• 8 Research Methodology

  • 8.1 Analysis Design
  • 8.2 Research Phases
  • 8.3 Study Timeline

• 9 Future Market Outlook

  • 9.1 Growth Forecast
  • 9.2 Market Evolution

• 10 Geographical Overview

  • 10.1 Europe - Market Analysis
    • 10.1.1 By Country
      • 10.1.1.1 UK
      • 10.1.1.2 France
      • 10.1.1.3 Germany
      • 10.1.1.4 Spain
      • 10.1.1.5 Italy
  • 10.2 Asia Pacific - Market Analysis
    • 10.2.1 By Country
      • 10.2.1.1 India
      • 10.2.1.2 China
      • 10.2.1.3 Japan
      • 10.2.1.4 South Korea
  • 10.3 Latin America - Market Analysis
    • 10.3.1 By Country
      • 10.3.1.1 Brazil
      • 10.3.1.2 Argentina
      • 10.3.1.3 Mexico
  • 10.4 North America - Market Analysis
    • 10.4.1 By Country
      • 10.4.1.1 USA
      • 10.4.1.2 Canada
  • 10.5 Middle East & Africa - Market Analysis
    • 10.5.1 By Country
      • 10.5.1.1 Middle East
      • 10.5.1.2 Africa
  • 10.6 Elevator and Escalator Market by Region

• 11 Global Economic Factors

  • 11.1 Inflation Impact
  • 11.2 Trade Policies

• 12 Technology & Innovation

  • 12.1 Emerging Technologies
  • 12.2 AI & Digital Trends
  • 12.3 Patent Research

• 13 Investment & Market Growth

  • 13.1 Funding Trends
  • 13.2 Future Market Projections

• 14 Market Overview & Key Insights

  • 14.1 Executive Summary
  • 14.2 Key Trends
  • 14.3 Market Challenges
  • 14.4 Regulatory Landscape

Segments Analyzed in the Report

The global Elevator and Escalator market is categorized based on

By Product Type

• Elevators
• Escalators
• Moving Walkways

By Application

• Residential
• Commercial
• Industrial

By Service Type

• New Installation
• Maintenance
• Modernization

By User

• Building & Construction
• Transportation
• Retail
• Healthcare
• Residential

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Key Players

• Otis Elevator Company
• KONE Corporation
• Schindler Group
• Thyssenkrupp AG
• Hitachi, Ltd.
• Mitsubishi Electric Corporation
• Johnson Lifts
• Stannah Lifts Holdings Ltd.
• Schindler Group
• Fujitec Co. Ltd.
• Hyundai Elevator Co. Ltd.
• Legrand S.A.
• Toshiba Elevator and Building Systems Corporation
• Groupe Schindler
• Safilo Group