South America Elevator & Escalator Market Research Report, 2027

Rapid urbanization, with about 85% of the population residing in urban areas and various socio-economic development projects in the pipeline, entails the creation of more opportunities for the elevator and escalator market in South America. The elevator and escalator market in South America has considerable growth prospects in the future. Rise in construction activities, increasing rate of urbanization, increase in government spending on infrastructure development, and surge in foreign investment are some of the major factors driving the elevator and escalator market in South America. Moreover, the demand for elevators and escalators depends majorly on the construction of high-rise commercial as well as residential buildings, along with industrialization. According to the report- South America Elevator & Escalator Market Research Report, 2027 published by Actual Market Research, the region stood at around USD 3.7 Billion in the year 2021. The market is anticipated to register growth on the back of improving economic conditions in Brazil. The growing ageing population, urbanization rate, and increasing installation of elevators in the residential sector in the South America region are expected to drive growth of over 6.5% CAGR. An increasing focus on infrastructural development and technological advancements has led to a surge in the demand for elevators and escalators in the region. Also, several government policies raise concerns regarding the up-gradation of old buildings to ensure the safety of the public. These factors have resulted in high demand for elevators and escalators in the South America region. In addition, some of the key players in the elevator and escalator market in the South American region are Thyssenkrupp, Hitachi Ltd., Mitsubishi, Otis Elevator, and Schindler. In terms of type, the elevator segment leads the region, which, with a declining share, is to cross the market value by the end of the forecast period. In South America's elevator and escalator market, elevators accounted for the majority of the market volume owing to high installation in residential, hospitality, and commercial verticals. The region dominated the residential end-user segment in 2021 and is expected to continue this growth during the upcoming timeframe. Projected growth in the construction market, upcoming new hotels and shopping malls, coupled with growing government spending on infrastructural development projects, aided the commercial end-user segment to reach a market share of over 30% in 2021. In South America, Brazil held a major market for elevator and escalator systems in terms of revenues owing to increasing infrastructure development activities. While construction activities are expected to gradually recover in the coming months with COVID restrictions being eased off, output levels recorded before the pandemic are not expected to be restored soon – given the region’s structural weaknesses and longstanding issues, including fiscal constraints, social tensions, rising inequality, low productivity, and general discontent with democratic institutions. Although the Brazilian market contributes significantly to the overall market, it was affected due to growing economic and political crises, a depreciating currency, and recession. Additionally, with the change in U.S. trade policies, the growth of Argentina is likely to be affected during the forecast period. Other countries like Chile and Peru are expected to perform well during the forecasted period. As a part of green economic recovery and to create green economic opportunities, mitigating the effects of urbanization on society and the environment, Brazil is a potential market for green buildings with prominent market growth by 2027. "Green and Yellow House" is a program initiated to build 12 million housing units, out of which 384,000 units were given to a socially vulnerable population of around 1.5 million. In addition to that, the smart cities trend has been considerably growing over the years. The Connected Smart Cities platform accelerates the development of intelligent cities in Brazil. Belo Horizonte, Sao Paulo, Curitiba, Vitoria, and Rio de Janeiro are considered the top 5 smart cities by the connected intelligent city platform, considering various factors. About 15% of the Brazilian population lives in rural areas. To provide the rural population access to all sections of society, the National Regional Development Policy (NRDP) and the National Urban Development Policy (NUDP) have taken a combined initiative named the Brazilian Charter Community for Smart Cities. In addition, some of the restraints that slow down the growth of the elevator and escalator markets are unavailability of raw materials, lack of funding, absence of skilled labor, and fear of accidents among the elderly population. Further, lack of government initiatives towards improvement of society remains one of the biggest hurdles that hinder the growth of the elevator and escalator market in the South American region. Most countries in South America and the Caribbean are struggling to escape what economists label "the middle-income trap." While much if not all of the region has emerged from low-income status, neither growth nor productivity has increased sufficiently to enable South America to narrow the gap separating it from the world's most developed economies. This economic condition can be said to be the reason the region has been restrained from crossing a share of over 5% in the global elevator and escalator market. COVID-19 Impacts: The COVID-19 pandemic impacted the South American elevator and escalator market severely. Lockdowns were imposed throughout the Americas region as a measure to control the ongoing situation due to the disease's widespread spread. As a result, the manufacturing of elevators and escalators was temporarily shut down. Additionally, a pause in construction activities and a decrease in labor supply added to the negative growth of the elevator and escalator market. However, the growth was stagnant during the pandemic; the elevator and escalator market has restarted its activities and has promising growth prospects in the coming years. Major Companies Present In the Market Fujitec Corporation Limited, Hitachi Group, Hyundai Elevator Corporation Limited, Mitsubishi Electric Corporation, Otis Worldwide Corporation, Schindler Group, Sigma Elevator Company, Stannah Lifts Holdings Limited, Thyssenkrupp AG, Toshiba Elevator And Building System Corporation Considered In the Report • Geography: South America • Historical year: 2016 • Base year: 2021 • Estimated year: 2022 • Forecasted year: 2027 Countries covered: • Brazil • Argentina • Columbia Aspects Covered In the Report • Market Size By Value for the historic time period (2016-2021) • Market Size By Value for the forecast time period (2022-2027) • Market Share by Type (Elevator, Escalator & Moving Walkways) • Market Share by Service (New Installation, Maintenance & Repair, Modernization ) • Market Share by End Users (Residential, Commercial & Others) • Market Share by Country The approach of the report: We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise. This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. From this, we get a rough estimate of the market and start checking existing product price variants, trade, production, raw material scenarios, policies and regulatory landscape, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. We follow our forecasting algorithm, which is unique for each product but gives more weight age to primary inputs. At the same time, the content team starts preparing company profiles, market dynamics, market trends, five forces, PEST analysis, etc. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations, validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free. Intended Audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the elevator and escalator industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.