Report Overview

The growing adoption of technological advancements and an increasing focus on reducing energy consumption in buildings are expected to drive the South Africa Elevators and Escalators Market during the forecast period between 2024 and 2030.

South Africa Elevators and Escalators Market – Industry Trends & Forecast Report, 2030

The South Africa Elevators and Escalators Market size was estimated at USD 0.63 billion in 2023. During the forecast period between 2024 and 2030, the South Africa Elevators and Escalators Market size is projected to grow at a CAGR of 8.64% reaching a value of USD 1.04 billion by 2030. A prominent driver of market growth is the increasing demand for maintenance, repair, and after-sales services, coupled with a significant requirement for new installations. This heightened demand is particularly influenced by the aging demographic, which is actively seeking alternatives to navigating stairs, contributing to the anticipated accelerated growth of the market. Another key force propelling the industry is the ongoing urbanization resulting from industrialization and infrastructural advancements in South Africa. The expansion of the market is a direct outcome of the growing population and the concurrent rise in urban settlements. In addition to traditional elevators and escalators, the industry is embracing innovative solutions such as moving walkways. Functioning horizontally at ground level, these walkways provide a streamlined and efficient transport solution across corridors, gates, and terminals, catering to the evolving needs of modern commuting. The growth of the elevator and escalator market in Africa extends beyond South Africa, with substantial investments in infrastructure by African nations playing a pivotal role. Also, the expansion of the residential sector is contributing significantly to market growth. Projects like the "Cornubia Housing Project" in South Africa serve as catalysts, further boosting the demand for elevators and escalators in the country.

Elevators and Escalators – Overview

Escalators and elevators play a crucial role in contemporary design and architecture, revolutionizing the traditional means of traversing between floors, which was limited to stairs. The innovation introduced by these transportation methods enables individuals to effortlessly move across multiple levels, irrespective of weight considerations. Consequently, these advancements have significantly transformed the vertical mobility experience within buildings. The act of navigating through a building using escalators or elevators has become ingrained in daily routines, reflecting the profound impact of these technologies on the modern approach to vertical transportation.

South Africa Elevators and Escalators Market

Growth Drivers

Growing Adoption of Advancements in Technology

The South Africa elevators and escalators market, particularly driven by the notable efforts of KOYO Elevator, reflects a significant stride in technological advancement. KOYO Elevator, with its roots since 2008, has been deeply ingrained in the South African market. The company's innovative solutions, including smart elevators with touchless controls, energy-efficient systems, and real-time monitoring, exemplify the industry's commitment to technological progress. While challenges such as the high installation costs persist, the industry is expected for a transformative phase. Prospects include potential expansion into rural areas, a shift towards sustainable practices with eco-friendly materials, and the integration of IoT-enabled elevators for predictive maintenance and enhanced connectivity. The South Africa elevator market is not just an industry vertical; it mirrors the nation's technological evolution and commitment to modernity.

Challenges

Economic Uncertainties

The South Africa Elevators and Escalators Market face significant challenges due to economic uncertainties and associated risks. The volatility in the economy creates an atmosphere of unpredictability, impacting investment decisions and project undertakings in the vertical transportation sector. This uncertainty hinders the market growth as businesses and consumers become cautious, affecting the demand for new installations and maintenance services. Navigating through economic risks remains a critical factor influencing the dynamics of the South African Elevators and Escalators Market, requiring strategic planning and adaptability from industry stakeholders.

Impact of COVID-19 on South Africa Elevators and Escalators Market

COVID-19 pandemic adversely affected the South Africa Elevators and Escalators Market. The pandemic impeded the growth of the construction industry, leading to delays attributed to disruptions in supply chains. Elevator and escalator manufacturers, along with the broader construction sector, confronted challenges stemming from incomplete or delayed commercial projects, caused by issues such as disrupted supply chains, financial constraints, workforce shortages, and production stoppages. However, with the gradual lifting of lockdowns by the South African government, there was an expected resurgence in demand for elevators and escalators. As the global construction sector resumed operations, a corresponding increase in the demand for vertical transportation solutions boosted the market growth.

South Africa Elevators and Escalators Market

Segmental Coverage

South Africa Elevators and Escalators Market – By Type

Based on type, South Africa Elevators and Escalators Market is divided into Elevator, Escalator, and Moving Walkways segments. The elevator segment holds the highest share in the South Africa Elevators and Escalators Market by type. It is primarily due to their widespread utilization in commercial, residential, and industrial settings. Elevators, characterized by their space efficiency compared to escalators, contribute further to their expanding market presence. Also, the growth of the elevator market is expected to be propelled by the rising number of hotel projects, exemplified by developments such as the Premier Hotel Building in South Africa.

South Africa Elevators and Escalators Market – By Service

Based on service, the South Africa Elevators and Escalators Market is divided into New Installation, Maintenance & Repair, and Modernization segments. The new installation segment holds the highest share in the South Africa Elevators and Escalators Market by service. It can be attributed to upcoming projects in the country, such as Durban Tower and Modderfontein New City, which will necessitate the installation of multiple elevators and escalators.

South Africa Elevators and Escalators Market – By Elevator Technology

Based on elevator technology, the South Africa Elevators and Escalators Market is divided into Traction Elevator, Machine Room Less Traction Elevator, and Hydraulic segments.

South Africa Elevators and Escalators Market – By End Use Industry

By end use industry, the South Africa Elevators and Escalators Market is segmented into Residential, Commercial, Institutional, and Infrastructure. The commercial segment holds the highest share in the South Africa Elevators and Escalators Market by end use industry. It is primarily driven by the expanding hospitality sector. Also, the expected establishment of 300 hotel projects in the coming years is expected to further contribute to the market growth in the commercial sector.

Competitive Landscape

Major players operating in South Africa Elevators and Escalators Market include Otis, Schindler, Mitsubishi Electric, Hitachi, Hyundai, ThyssenKrupp, Toshiba, and Fujitec. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Type

• Elevator

• Escalator

• Moving Walkways

By Service

• New Installation

• Maintenance & Repair

• Modernization

By Elevator Technology

• Traction Elevator

• Machine Room Less Traction Elevator

• Hydraulic

By End Use Industry

• Residential

• Commercial

• Institutional

• Infrastructure