Europe Elevator and Escalator - Market Size & Growth Forecast 2024-2029

MARKET OVERVIEW

The Europe elevator and escalator market by new installations accounted for 155.6 thousand units in 2023 and is expected to reach 205.9 thousand units by 2029, growing at a CAGR of 4.78% during the forecast period. Rapid urbanization, high investment in airport expansion & railway projects, and focus on energy-efficient renovations across Europe will propel the demand for elevators & escalators during the forecast period. For instance, the U.K. government is expected to invest USD 4.3 billion in constructing 40 hospitals by 2030. The government is implementing new guidelines that will help standardize the design for new hospitals and use modular construction methods to accelerate the building program. The government also announced USD 1 billion to upgrade its facilities in the existing 20 hospitals. Such investments are projected to support Europe elevator and escalator market growth. Also, Italy will likely invest USD 7.8 billion to modernize and increase capacity at its docks until 2026. The funding is mostly focused on increasing the size of ships that Italy’s main container ports can handle through dredging, new breakwaters, and improved connections to road and rail links.

KEY HIGHLIGHTS

• The German contractor, Hochtief, won a public-private partnership (PPP) deal to renovate and build new offices for the Institute for Federal Real Estate in Berlin. Construction is scheduled to commence in October 2023. The project involves refurbishing four existing properties, which will be linked with new buildings and extensions.
• The second part of the Elizabeth Line, Crossrail 2, will be a new train route going up and down London. It will start in Surrey and Hertfordshire in the south and go up to Essex and Hertfordshire in the north. There will be 32 stops along the way. They plan to start building it in 2023 and finish by 2035.
• I.G Capital, one of the leading asset investment firms in 2023, announced that one of its affiliates has acquired Classic Lifts Limited, a leading UK provider of lift engineering and maintenance services.
• In Nov 2023, Infosys announced its long-term collaboration with TK Elevator. In their collaboration, Infosys and TK Elevator will collaboratively manage the smooth transition of business applications in North America and major European markets. The collaboration is a significant step for the Europe elevator and escalator market.
• The Austrian government's 2040 Rail Network Expansion Initiative involves the strategic development of new railway lines, enhancement of existing infrastructure, and railway station expansion. The objective is to establish a more efficient and sustainable rail network accommodating the growing population.
• The lift company Kone has taken over the maintenance and emergency call business of the Austrian Flügel Aufzüge GmbH as of 1 January 2023. The transfer of the operational business will take place on 1 April 2023, when all maintenance and emergency call center staff will also transfer from Flügel Aufzüge to Kone and the responsible office staff.
• Citymesh, Belgian’s private network provider and industrial connectivity specialist, announced its smart-city consortium project, which received a USD 4.3 million grant from the European Digital Fund. It includes building a private 5G network to make the city, a half hour from the EU HQ in Brussels, a greener and smarter city. The funding came from the EU’s Connecting Europe Facility (CEF) to support the region’s digital transformation through 2027.
• According to the Turkish Statistical Institute, more permissions to build houses are being given now than ever since COVID-19 started. In the third quarter of 2023, the number of building permits increased by 24.9%, and the approval for dwelling units increased by 35%.

High Investment in Railway Networks and Public Infrastructure Projects to Propel the Europe Elevator and Escalator Market

• In July 2022, the German government announced the liquidation of approximately USD 15.6 billion per year in subsidies for airport renovations. During the same period, the government also mentioned spending considerably to renovate old infrastructure (residential & commercial) and install energy-efficient facilities.
• One of the most expensive and important projects is the construction of the Sports Center on Costanilla de los Desamparados Street, which has attracted investment worth USD 11.7 million. The Madrid Chamartín Clara Campoamor Railway Station Expansion is also one of the largest infrastructure projects in Spain. The project is designed to increase the capacity of the railway station.
• Germany’s residential program aims to complete the extensive renovation of 40,000 homes by 2026, as stated in its 2021–2026 National Recovery and Resilience Plan (NRRP). Municipal living laboratories for the energy transition will be used with this measure to perform pilot programs that explore new ideas for an effective and sustainable energy supply in urban areas.
• The National Recovery and Resilience Plan (NRRP), backed by USD 256.9 billion from the European Union (EU), allocated substantial funds for infrastructure projects, specifically targeting the focus on sustainability, digital advancement, and efficient transportation methods. Significant accomplishments in 2023 included initiating investment for high-speed rail systems, enhancing water infrastructure, and establishing the National Digital Data Platform. The plan is projected to support the expansion of the Europe elevator and escalator market.
• Otis Germany signed an agreement with the Max Bögl Group to develop a new business model allowing clients to get elevator modules in high-quality serial manufacturing from a single source, bringing the "Living Modular" idea to life. Otis will provide elevator components with cutting-edge technology, which Otis will build at the Max Bögl factory.
• The Affordable Homes Programme 2021-2026 is a UK government initiative with a budget of USD 14.6 billion, aiming to provide around 180,000 affordable homes nationwide. This program offers financial support to housing associations and developers through grants, assisting them in constructing affordable homes for either rental or sale purposes.
• Greece’s Development Plan 2030 includes 188 projects valued at USD 30.3 billion. The government highlighted key projects, including the Thessaloniki Metro (anticipated completion in 2024) and Athens Metro Line 4 (currently in progress).

Airport Expansion and Major Railway Projects in Pipeline to Boost New Installations in the Europe Elevator and Escalator Market

• In Italy, some key high-speed rail projects under NRRP include Treviglio-Brescia and Milan-Genoa lines with an approximate value of USD 2.1 billion and USD 12.7 billion for the expansion of Fiumicino airport in Rome, which is planned to be completed by 2044. The local Italian government planned to build new metro lines in major cities, such as the M4 underway in Rome and the Metro C.
• Frankfurt Airport Terminal 3 in Germany is undergoing the development of a cutting-edge terminal aimed at boosting capacity. The project involves creating a new terminal accommodating 25 million passengers annually. It will incorporate advanced facilities such as automated baggage handling, self-service check-in counters, and ample lounge spaces. The construction is slated for completion by 2026 and will support the growth of the Europe elevator and escalator market during the forecast period.
• Redevelopment and rehabilitation of the docks of 1.3 km long Shuwaikh port, as well as maintenance work for the western dock of the port and the suspended part of dock 8.

Rising Residential Building Permits and Energy-Efficient Renovations to Drive New Installations and Modernization in the Europe Elevator and Escalator Market

• In the EU, many buildings were built before 1970, and about 42% of non-residential and 38% of residential buildings fall into this category. To meet energy efficiency goals, many of these buildings need renovations. Only 12% of EU residential buildings and 9% of non-residential buildings have been renovated for climate change goals. The EU has a big opportunity to make residential and non-residential buildings more energy-efficient.
• Many multi-family housing projects have started to meet the growing demand in Europe. For example, the UK Sackville Road Residential Community project, worth USD 332 million, involves building a community with six blocks ranging from 2 to 15 stories on 3.59 hectares of land. It started in Q2 2025 and aims to transform the Sackville Trading Estate and Hove Goods Yard site for better regional housing.

VENDOR LANDSCAPE

• Otis, Schindler, TK Elevator, and KONE are the top 4 manufacturers in the Europe elevator and escalator market, with a share of 54%.
• KONE Corporation secured an order to provide People Flow® solutions, delivering 38 KONE elevators for seven new stations in the Stockholm metro's blue line extension by Region Stockholm. The southern route encompasses stations like Sotia, Tammarby Kanal, Sickla, Järla, Nacka, Gullmarsplan, and Slakthusomradet. Sofia station, the deepest in the Nordics, will feature eight elevators, with KONE supplying 13 KONE Minispace DX and 25 KONE MonoSpace® 700 DX elevators.
• TK Elevator introduced the EOX Renew elevator in Spain, Portugal, and Italy, enhancing accessibility, sustainability, and property worth in older structures. The product will soon expand its availability to other European nations.
• Otis has allocated USD 8.7 million to establish a production facility focused on advanced PCE designs, swift prototyping, and series production industrialization for applications like the digitally native Gen360™ platform. This investment enhances Otis's capabilities in PCB design and production, recognizing the increasing strategic significance of this field across various industries.