Posted On: 2022-03-02
UAE acquired the largest revenue share among all countries in Middle East elevator & escalator market for the year 2020 – 6Wresearch
The Middle East elevator and escalator market grew significantly on the back of infrastructure development under government initiatives such as Second National Development Strategy (2018-2022), Saudi Arabia’s National Transformation Program, UAE’s National Development Plan coupled with increased construction activities related to mega events such as FIFA World CUP 2022 and Dubai Expo 2020. Although, the market saw a decline in 2020 due to the outbreak of COVID-19 in the region that resulted in halt of construction activities as a result of the social distancing measures adopted by the government. However, market is anticipated to recover in 2021 and decline is expected to be short term on account of declining covid-19 cases and recommencement of all infrastructural activities.
According to 6Wresearch, the Middle East Elevator and Escalator Market revenue size is projected to grow at a CAGR of 4.2% during 2021-2027F. The Middle East elevator and escalator market is expected to grow strongly in the coming year on the account upcoming large-scale infrastructure projects such as Makkah Metro, King Abdulaziz International Airport, Jeddah Metro, Dubailand Project, Abu Dhabi Al-Ain Hyperloop, and several others, which will drive the market for elevator and escalator during the forecast period.
According to Eshita Goel, Assistant Manager, 6Wresearch, “Middle East elevator and escalator market is in the mid stage of growth on account of larger number of international and local market players and greater variety of products available in the country. This trend is likely to continue during 2021-27F, owing to the Middle Eastern countries trying to reduce their dependency on oil and diversify their economies by investing in other sectors such as commercial, healthcare, tourism, among others under government initiatives such as Saudi Vision 2030, Qatar National Vision 2030, and Egypt Vision 2030. Growth in the construction sector on account of developmental plans launched in Middle Eastern countries is leading to the growth of the elevator and escalator market in the region.”
According to Dhaval Chaurasia, Research Analyst, 6Wresearch, “UAE acquired the largest revenue share in 2020 in Middle east elevator & escalator market in 2020 owing to growth in hospitality, retail and event sectors. For instance, in 2018, a $163 million fund was launched by the Department of Culture and Tourism to enhance Abu Dhabi’s portfolio of leisure and business events. This fund was a part of Ghadan 21 programme to accelerate Abu Dhabi’s Economy.”
According to Syed Monis Raees, Research Associate, 6Wresearch, “The oil price crisis in 2014 has forced many Middle Eastern countries to reevaluate the course of their future economic development and diversify their economy to achieve macroeconomic stability. Therefore, strengthening of the industrial, commercial and other social infrastructure sectors has become a key objective for multiple countries in the region, such as UAE, Qatar, Saudi Arabia, Oman, Bahrain and Kuwait. There has been several initiatives and reforms by the governments in the region to attract tourists, corporates and foreign investments. For instance, Qatar recently introduced reforms such as 10% corporate tax rate, up to 100% foreign ownership in all sectors, no restrictions on profit repatriation and others. Such reforms would drive up the demand for commercial space thereby creating a market for elevator and escalator in the forecast period.”
“Middle East elevator & escalator market (2021-2027)” report provides an in-depth analysis with 237 figures and 143 tables, covered in 308 pages. The report comprehensively covers the market by countries, product types and applications. The report provides an unbiased and detailed analysis of the on-going trends, opportunities/ high growth areas, market drivers, which would help stakeholders to device and align their market strategies according to the current and future market dynamics.