The Green Elevator: Sustainability Initiatives in the Industry

Elevators Industry Overview

The global Elevators Market, estimated at $79.06 billion in 2024, is poised for substantial expansion, with a projected compound annual growth rate (CAGR) of 6.7% from 2025 to 2030. This significant growth is being fueled by ongoing urbanization, robust infrastructure development, and continuous technological advancements. As cities grow and populations increase, the need for efficient vertical transportation solutions in residential, commercial, and industrial buildings has risen sharply. Furthermore, the increasing prevalence of smart buildings, integrating IoT and energy-efficient technologies, is providing additional momentum to the market.

Modern elevators serve a diverse array of applications, facilitating the movement of both goods and people, as well as playing crucial roles in ships, dams, and specialized structures such as rocket launchers. Looking ahead, the demand for elevators is expected to be further driven by the development of collective operation systems. These systems offer enhanced automatic operation for single elevators or groups of elevators and are particularly popular in residential complexes and hospitals due to their cost-effectiveness. An example of a key player in this space is Toshiba Johnson Elevators India (TJEI), which focuses on enhancing lives through technological innovation and design.

Detailed Segmentation:

• Type Insights

The traction type segment led the market and accounted for 55.2% of the global revenue share in 2024. Traction elevators are frequently used in industrial and commercial structures. Additionally, the expansion of infrastructure projects for commercial buildings, including offices, malls, and retail centers, is expected to fuel the market demand. Furthermore, the global market will have profitable growth prospects due to favorable government measures supporting the building sector.

• Business Insights

The new equipment business segment led the market and accounted for 47.7% of the global revenue share in 2024. The demand for elevators in the new equipment type business is gaining momentum, largely driven by the rapid expansion of urban infrastructure and the increasing complexity of modern buildings. As developers seek innovative solutions to enhance building functionality, elevators are evolving into sophisticated systems that integrate smart technology, energy efficiency, and improved safety features.

• Application Insights

The residential application segment led the market and accounted for 69.1% of the global revenue share in 2024. The demand for elevators is expected to rise in the next few years due to the rising urbanization and a rising standard of living in developing nations such as China and India. As a result, the development of high-rise structures, many of which have smart elevators, will further fuel the market for elevators used in residential applications. Additionally, rising investment in residential construction will fuel the market growth.As highlighted in the April 2023 report from the International Trade Administration (ITA), China is the global leader in the construction market, boasting a remarkable urbanization rate of 64.7% in 2022. This substantial urbanization reflects notable growth across commercial, industrial, and residential construction sectors.

• Regional Insights

North America elevators market accounted for 12.7% of the global elevator market share in 2024. The elevator market in North America is poised for substantial growth, driven by urbanization, infrastructure investments, and advancements in technology. As cities expand and populations increase, there is a rising demand for efficient vertical transportation solutions in both commercial and residential sectors.Additionally, a growing focus on smart building technologies and sustainability encourages the adoption of innovative elevator systems, further stimulating market growth across the region.

Gather more insights about the market drivers, restraints, and growth of the Elevators Market

Key Companies & Market Share Insights

Some of the key players operating in the elevator market include TK Elevator, Schindler, and KONE Corporation.

• TK Elevator, a global leader in the elevator and escalator industry, is renowned for its innovative solutions and commitment to quality and safety. Originally part of Thyssenkrupp AG, TK Elevator became an independent entity in 2020 and has since focused on enhancing mobility in urban environments. The company offers a wide range of products, including elevators, escalators, and moving walkways, designed for both residential and commercial applications. With a strong emphasis on sustainability, TK Elevator integrates advanced technologies such as smart building solutions and energy-efficient systems, aiming to create safer, more accessible, and environmentally friendly transportation options.
• Schindler Group is a prominent player in the elevator and escalator industry, with a rich history dating back to 1874. Headquartered in Switzerland, Schindler operates in over 100 countries, providing a comprehensive range of mobility solutions that cater to various sectors, including residential, commercial, and industrial. The company is recognized for its innovative technology and commitment to enhancing urban mobility, offering products that prioritize safety, efficiency, and sustainability. Schindler’s dedication to digital transformation is evident in its smart solutions that leverage IoT and data analytics to optimize maintenance and improve user experience, positioning the company as a forward-thinking leader in the industry.

Key Elevators Companies:

The following are the leading companies in the elevators market. These companies collectively hold the largest market share and dictate industry trends.

• TK Elevator
• Schindler
• KONE Corporation
• Hitachi Ltd.
• HYUNDAIELEVATOR CO.,LTD.
• Mitsubishi Electric Corporation
• Toshiba Group
• FUJITEC CO., LTD.

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Recent Developments

• In August 2024, Otis introduced its Gen3 connected elevator platform during the ‘Platform for Possibility’ launch event in Bangkok. This new platform merges the established technology of Otis’ popular Gen2 elevator with the Otis ONE IoT digital platform. It enhances the passenger experience through features like Ambiance aesthetics, Pure fixtures, eView infotainment, and air purification technology.
• In January 2024, TK Elevator unveiled its new home elevator concept, ‘enta villa.’ This design is tailored specifically for multi-floor residences and villas in India, the company’s home market, where there is a rapidly increasing demand for luxury housing and lifestyle products.