|Over the past five years, South and Southeast Asia elevator and escalator market registered sluggish growth in terms of number of new installations across countries; India registered maximum number of new installation and accounts for majority of the market share. India elevator and escalator market recorded decline in terms of volume attributed to growing economic & political crisis, change in government policies pertaining to demonetization, decline in construction market projects as well as increase in unoccupied residential projects have adversely affected the growth of elevators and escalators market. However, upcoming new hotels, shopping malls coupled with growing government spending on infrastructural development projects and increasing inflow of FDI in the construction and retail sectors are some of the key factors that would revive growth of the market during the forecast period. Apart from India, South and Southeast elevator and escalator market registered positive growth from countries such as Thailand, Indonesia, Malaysia, and Vietnam.
According to 6Wresearch, South and Southeast Asia Elevator and Escalator Market is expected to grow at a CAGR of 6% during 2017-23. Rising construction of skyscrapers, increasing acceptance in residential vertical coupled with decline in import taxes would drive the demand for elevator and escalator systems in South and South East Asian region. Declining import taxes has further propelled price reduction of various elevator and escalator system components. For instance, Vietnam Ministry of Finance has reduced tariff rates to zero on 90% of the goods under the ASEAN Trade in Goods Agreement (ATIGA).
According to Prijo Samuel, Assistant Research Manager, Research and Consulting, 6Wresearch, Southeast Asia market is anticipated to register healthy growth on the back of improving economic conditions. Further, due to slowdown in construction market in China and political unrest in Hong Kong, their investors have shifted their focus towards Southeast Asia market. Growing investment in construction projects in the region would lead to surge in demand for elevators and escalators over the next three years.
"Moreover, increasing number of foreign tourists have driven the construction of new hotels across the region, especially in India, Indonesia, and Malaysia, resulting in an increased deployment of elevators. On the contrary, due to political unrest in Thailand and slowdown of foreign investments in Philippines in the year 2015, displayed declining government spending pertaining to infrastructural development and several construction projects," Samuel further added.
According to Shefali Goel, Research Analyst, Research and Consulting, 6Wresearch, "Commercial vertical which include transportation and retail segments, accounted for major market share in the overall market. South and Southeast Asia is registering significant infrastructural development activities in the commercial sector.
Further, increasing construction activities in the residential vertical would further stimulate the growth of market during the forecast period. India, Malaysia, and Thailand accounted for the largest revenue share in the market attributed to key construction projects in the commercial and retail verticals," Shefali concluded.
Some of the key players in South and Southeast Asia elevator and escalator market include- Fujitec Co. Ltd, Hyundai Elevator Co. Ltd, Hitachi Ltd., Kone Corporation, Mitsubishi Electric, Otis Elevator, Schindler, ThyssenKrupp, and Toshiba Elevators.
"South and Southeast Asia Elevator and Escalator Market (2017-2023)" provides in-depth analysis with 284 figures and 42 tables covered in more than 350 pages. The report estimates and forecast the overall South and Southeast Asia elevator and escalator market by revenues, types, countries, services and verticals such as residential, commercial, and industrial. The report also gives insights on competitive landscape, market share by companies, companies benchmarking, company profiles, market drivers and restraints.