The analysts forecast the elevator and escalator market in the USA to grow at a CAGR of 4.24% during the period 2017-2021.
The report covers the present scenario and the growth prospects of the elevator and escalator market in the USA for 2017-2021. To calculate the market size, the report considers the revenue generated from various sources such as installing new units, maintenance of existing units, and modernization of existing units in the country during the forecast period. The report also includes a discussion of the Key vendors operating in this market.
One trend in market is rise of smart elevators. Smart elevators utilize different sensors to recognize the ongoing activity of various components in the lift. This data from the sensors are validated and sent to an application. The application then processes the data in real-time for various benefits. Major vendors such as KONE and Otis Elevator are partnering with technology giants that include Apple, IBM, and Microsoft to improve product offerings.
According to the report, one driver in market is stringent safety regulations. Though stricter norms could have reduced the damage or death, each year there are lethal mishaps that bring up the issue whether. After the two deadly mishaps in December 2011, two areas have come in for examination. One is licensing prerequisites for elevator professionals, and the other is the safety standards that apply to more established existing lifts. In both the cases, the maintenance office needs to follow local and state laws. The standard followed by most service providers is American Society of Mechanical Engineers (ASME) standard A17.1 and Safety Code for Elevators and Escalators. As the regulations get more stringent, the elevators must be modernized or replaced to meet the new requirements. For example, the recent revision ensured that any hydraulic elevator that has a portion of the cylinder covered in the ground and a cylinder without a safety bulkhead or dual cylinder should be replaced with a cylinder with polyvinyl chloride (PVC) linings for corrosion protection.
Further, the report states that one challenges in market is fragile US construction market. In 2015, housing and office construction spurred the construction boom. The fast pace of apartment building had saturated a few markets. Foreign investments sought higher returns and invested heavily in skyscraper apartment suites in Miami and hotels in New York, making some overcapacity. As an example, Pollack Shores Real Estate Group put on hold arrangements to construct a 315-unit apartment complex in the Atlanta region as a few new structures entered the market. The stoppage in construction works can also be found in construction payrolls. Balanced for occasional variances, the quantity of individuals working in the field dropped by 22,000 in March 2016. It was first run through the occupation check and had dropped for two straight months since 2012. However, the net payroll addition for the year remained positive.