Over the past few years, Latin America elevator and escalator market registered a sluggish growth in terms of number of new installations across various countries. Although, the Brazilian market contributes significantly in the overall market but was affected due to growing economic and political crisis, depreciating currency and recession. Additionally, with the change in U.S. trade policies, growth of Mexico and Argentina is likely to be affected during the forecast period. However, during the first quarter of 2017, the economy registered a positive growth for the first time in the last two years, derived from Brazil, Mexico and Argentina.
According to 6Wresearch, Latin America Elevator and Escalator Market is expected to grow at a CAGR of 6.5% during 2017-23. Increasing government spending, infrastructural development and rising FDI in retail and construction sectors are few factors that would drive the demand for elevator and escalator systems in Latin American region. Also, declining import taxes in Brazil and Argentina would result in price reduction of various elevator and escalator system components leading to an increase in demand over the coming years.
According to Prijo Samuel, Assistant Research Manager, Research and Consulting, 6Wresearch, "Low rise elevators which are majorly installed in residential, retail and transportation verticals accounted for major share in the overall elevators market. Latin America is witnessing significant infrastructural development activities in the residential sector. Also, increasing construction activities in commercial vertical would further stimulate the growth of the market in the coming years".
"Moreover, increasing number of foreign tourists has driven the construction of new hotels across the region, especially in Brazil and Mexico, resulting in augmented deployment of elevators in the country. On the contrary in 2016, as a result of political unrest in Venezuela and slowdown in foreign investments in Argentina, government spending declined pertaining to infrastructural development and several construction projects," Samuel further added.
According to Shefali Goel, Senior Research Analyst, Research and Consulting, 6Wresearch, "Amongst all services, the maintenance service segment contributes a major share in the market revenues owing to growing installed base of elevators and escalators in the region. During the forecast period, maintenance service segment market share is expected to upsurge on the back of rising number of aging elevators in the region"
"Further, Brazil accounted for largest revenue share in Latin America elevator and escalator market, attributed to ongoing key construction projects in the commercial and retail verticals," Shefali concluded.
Major companies in Latin America elevator and escalator market include- Hitachi Ltd., Kone Corporation, Mitsubishi Electric, Otis Elevator, Schindler and ThyssenKrupp.
"Latin America Elevator and Escalator Market (2017-2023)" provides in-depth analysis with 106 figures and 12 tables covered in more than 153 pages. The report estimates and forecast the overall Latin America elevator and escalator market by revenue, by types, by countries and by services. The report also offers insights on competitive landscape, market share by companies, companies benchmarking, company profiles, market drivers and restraints.