Speak directly to the analyst to clarify any post sales queries you may have.
KEY HIGHLIGHTS
- The U.S. Department of Transportation published a Notice of Funding Opportunity (NOFO) for USD 1.5 billion in grant funding through the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) discretionary grant program 2023. The popular program helps communities nationwide carry out projects with significant local or regional impact. In 2022, RAISE funded 166 projects in all 50 states.
- Developing buildings with sky bridges is the latest trend in the building sector for easier movement within high-rise buildings in the North America elevator and escalator market. For these buildings, ropeless technology and multidirectional mobility system have been considered, as they enhance building structure and balance the transportation capacity by being easily available to commuters.
- According to International Energy Agency (IEA), Floor area is expected to increase by around 20% by 2030 - more than North America's built floor area. More than 80% of this floor area growth is expected in emerging and developing economies. With a growing population and increased housing demand, Canada's cities must supply more housing units on limited, expensive, developable land. Flat development is rising even in places like Calgary and Edmonton, which have traditionally thrived by expanding their urban fringe.
Rapid Housing Initiative and Increasing Construction of Skyscrapers to Hike Elevator Demand
- A surge in migration to metropolitan cities seeking economic opportunities has influenced the housing needs in countries. Various residential developments in the pipeline as a factor in urbanization drive the demand. As per Council on Tall Buildings and Urban Habitat, the U.S. ranks second with 1,091 buildings with 150m+ and above height. There is an increase in construction spending from USD 1,811.1 billion in September 2022 compared to August 2022, which was USD 1,807.0 billion; due to this, the North America elevator and escalator market has a great opportunity in the U.S. region.
- The Rapid Housing Initiative (RHI) financing, included in Budget 2022, is intended to address urgent housing requirements, aiming to allocate all funds by March 31, 2024. The goal is to build new, long-term, affordable housing units for populations and individuals that are at risk and are the focus of the National Housing Strategy (NHS). Thanks to the additional funds, four thousand five hundred new affordable units will be developed. USD 1 billion was allotted to the Projects Stream and USD 500 million to the Cities Stream out of a total of USD 1.5 billion made available.
- In 2022, housing starts in Toronto increased by 7.7% to their highest level since 2012. Strong presales over the previous two years led to more condominium apartments being built, which caused the surge.
Increased Infrastructure Investments and Adoption of Next-Generation Elevator Solutions Directed to Surge in New Installations in the North American Region
- The adoption of Near Field Communication (NFC) technology, infrared technology, and robotics are the primary trends in the hotel industry. Increasing tourist footfall to mandate hotel constructions in countries further impacts the region's new installations in the North America elevator and escalator market.
- Through funding from the IIJA (Infrastructure Investment and Jobs Act), the PIDP (Port Infrastructure Development Program) will increase to USD 450 million in annual grants for the following five years, totaling USD 2.25 billion for fiscal years 2022 through 2026.
- Newly constructed skyscrapers and high-rises can significantly reduce urban sprawl and its effects using next-generation lift solutions like TWIN and MULTI. However, older structures can also be made more sustainable or “greener” by updating their vertical mobility system. Furthermore, building users can benefit from touchless lift access and increased security using IoT-connected equipment with Openpath’s lift access control and braXos’ destination control system. In a fire event, an integrated lift security system can rapidly lock down the lifts and notify security and emergency personnel. Motorola Solutions manufactures this security system with headquarters in Chicago, Illinois.
Modernizing Through Digitized Solutions Like AGILE, MAX, Along With VR Headsets for Technicians Can Drastically Bring Transformation in Service Industry
- An NY1 study found that in 2018 there were more than 44,000 outages in the 3,200 lifts in New York City’s public housing, with an average of 14 malfunctions per lift yearly. A study from New York University found that the metro lifts in New York City experienced 53 breakdowns annually on average.
- Digital technologies like MAX and AGILE DSC can also improve operations and energy efficiency by modernizing older structures. The industry is anticipated to emphasize technical and ecologically sustainable lift components increasingly.
- Virtual reality headsets could completely change how lift technicians perform their duties. They can assess elevator problems using VR headsets rather than hanging from a lift shaft or scaling numerous stories.
MARKET SEGMENTATION
Carriage Type
- Passenger
- Freight
Capacity
- 2-15 Persons
- 16-24 Persons
- 25-33 Persons
- 34 Persons and Above
End-User
- Commercial
- Residential
- Industrial
- Others
- Public Transit
- Institutional
- Infrastructural
Escalator Market Segmentation by
Product Type
- Parallel
- Multi Parallel
- Walkway
- Crisscross
End-User
- Public Transit
- Commercial
- Others
- Institutional Sector
- Infrastructure
- Industrial
GEOGRAPHICAL ANALYSIS
- The U.S. retains the largest share of the North America elevator and escalator market. The non-residential segments comprise most market volumes in the U.S. region. Further, the aging installed base provides structural growth opportunities in modernization.
- Canada’s commercial real estate market is challenging prospects as investors buy skyscrapers in Vancouver, Toronto, and Montreal to profit from on rolling demand by occupants for prime urban space.
VENDOR LANDSCAPE
- Otis, Schindler, TK Elevator, and KONE are the top 4 manufacturers in the North America elevator and escalator market, with a share of 67%.
- OTIS achieved Gold-level TRUE (Total Resource and Use Efficiency) certification for zero waste efforts at its manufacturing facility in Florence, SC, in December 2022. The Otis plant is the first in the elevator industry to be TRUE certified. It is also the first building-infrastructure facility to be certified in South Carolina.
Key Vendors
- Otis
- KONE
- Schindler
- TK Elevator
- Mitsubishi Electric
- Fujitec
- Hyundai Elevator
Other Prominent Vendors
- AVT Beckett
- Colley Elevator
- Cambridge Elevating
- HIDRAL
- Waupaca Elevator Company
- Advanced Elevator
- ATTA Elevators
- Alcor Elevator Ltd.
KEY QUESTIONS ANSWERED:
1. How big is the North America elevator and escalator market?2. What will be the growth rate of the North America elevator and escalator market?
3. What is the number of installed bases in the North America elevator and escalator market in 2022?
4. What are the key opportunities in the North America elevator and escalator industry?
5. What are the key North America elevator and escalator market players?
Table of Contents
Companies Mentioned
- Otis
- KONE
- Schindler
- TK Elevator
- Mitsubishi Electric
- Fujitec
- Hyundai Elevator
- AVT Beckett
- Colley Elevator
- Cambridge Elevating
- HIDRAL
- Waupaca Elevator Company
- Advanced Elevator
- ATTA Elevators
- Alcor Elevator Ltd.
Methodology
Our research comprises a mix of primary and secondary research. The secondary research sources that are typically referred to include, but are not limited to, company websites, annual reports, financial reports, company pipeline charts, broker reports, investor presentations and SEC filings, journals and conferences, internal proprietary databases, news articles, press releases, and webcasts specific to the companies operating in any given market.
Primary research involves email interactions with the industry participants across major geographies. The participants who typically take part in such a process include, but are not limited to, CEOs, VPs, business development managers, market intelligence managers, and national sales managers. We primarily rely on internal research work and internal databases that we have populated over the years. We cross-verify our secondary research findings with the primary respondents participating in the study.
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Table Information
Report Attribute | Details |
---|---|
No. of Pages | 123 |
Published | July 2023 |
Forecast Period | 2022 - 2029 |
Estimated Market Value in 2022 | 38.5 Thousand Units |
Forecasted Market Value by 2029 | 46.9 Thousand Units |
Compound Annual Growth Rate | 2.8% |
Regions Covered | North America |
No. of Companies Mentioned | 15 |