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Forecast Period
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2026-2030
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Market Size (2024)
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USD 412.38 Million
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Market Size (2030)
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USD 579.29 Million
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CAGR (2025-2030)
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5.67%
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Fastest Growing Segment
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Residential Sector
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Largest Market
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Central Region
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Market Overview
Indonesia Elevator Market was valued at USD 412.38 million in 2024 and is expected to reach USD 579.29 Million in 2030F and is anticipated to project robust growth in the
forecast period with a CAGR of 5.67% through 2030.
The Indonesia elevator
market is driven by urbanization, increasing infrastructure investments, and
rapid commercial and residential development. Government initiatives promoting
sustainable urban mobility and modernization of buildings further boost demand.
Technological advancements in elevator systems, including energy efficiency and
smart features, also play a crucial role. Demographic shifts towards urban
living and high-rise buildings create a continuous need for reliable vertical
transportation solutions, propelling market growth. Additionally, rising safety
standards and regulations contribute to the market's expansion as stakeholders
prioritize safer and more efficient elevator solutions.
Key Market Drivers
The Indonesia elevator market is shaped
by several key drivers that collectively contribute to its growth and
evolution. Urbanization stands out as a primary driver, with Indonesia
experiencing rapid urban growth and increasing population density in cities. As
more people migrate to urban areas for better opportunities, the demand for
high-rise residential and commercial buildings escalates, thereby boosting the
need for efficient vertical transportation solutions like elevators.
Infrastructure development initiatives
by the Indonesian government also play a crucial role. Significant investments
in infrastructure projects, including transportation networks and smart cities,
necessitate modernized buildings equipped with advanced elevator systems. These
projects not only drive the construction sector but also stimulate demand for
elevators that meet modern safety, energy efficiency, and sustainability
standards.
The Indonesian government invested USD 400 billion in infrastructure development between 2020 and 2024, focusing on improving transportation, energy, and digital infrastructure.
Technological advancements are another
pivotal driver. Elevator manufacturers are continually innovating to offer
smart elevators equipped with IoT (Internet of Things) capabilities, remote
monitoring systems, and energy-efficient technologies. These advancements cater
to the market's demand for safer, more reliable, and environmentally friendly
elevator solutions, appealing to both developers and end-users alike.
Moreover, demographic shifts towards
urban living and a rising middle class contribute significantly. The increasing
affordability and aspirations for improved living standards among urban
dwellers spur the construction of high-rise residential complexes and
commercial buildings. This trend not only expands the potential customer base
for elevator manufacturers but also underscores the importance of elevators as
indispensable elements of modern urban infrastructure.
Government regulations and safety
standards also shape the market dynamics. With a growing emphasis on safety and
sustainability, regulatory bodies impose stringent guidelines for elevator
installation, maintenance, and operation. Compliance with these standards is
essential for market players to ensure product reliability and safety, driving
investments in advanced elevator technologies and service capabilities.
Furthermore, environmental concerns and
energy efficiency goals influence market trends. Elevator manufacturers are
increasingly focusing on developing energy-efficient systems that reduce
operational costs and environmental impact. This aligns with Indonesia's
broader sustainability goals and encourages the adoption of eco-friendly
elevator solutions in both new constructions and retrofit projects.
The Indonesia elevator market is
propelled by urbanization, infrastructure investments, technological
innovations, demographic changes, regulatory frameworks, and sustainability
imperatives. These drivers collectively create a dynamic environment where elevator
manufacturers and stakeholders must innovate and adapt to meet evolving market
demands for safe, efficient, and environmentally responsible vertical
transportation solutions.
Indonesia invested USD 4 billion in the development of 10 new airports till 2025 to enhance connectivity and boost tourism, trade, and business.
Jakarta, the
capital city, has launched the USD 40 billion "Smart City"
project, which aims to enhance digital infrastructure and improve urban living
standards by incorporating technology in city management, transportation, and
services.
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Key Market Challenges
The Indonesia elevator market offers strong growth potential but faces significant challenges that impact its trajectory. One major issue is the infrastructure deficit in many urban areas. Rapid urbanization often outpaces the development of modern building facilities, causing delays in elevator installations and congestion in key projects. This gap between demand and infrastructure readiness creates logistical hurdles for manufacturers and construction firms, complicating project timelines.
Economic uncertainties also influence market stability. Fluctuating economic conditions, policy changes, or downturns can lead to reduced construction activity, postponed projects, and tighter budgets. These factors directly affect the demand for new elevator installations and upgrades, slowing market expansion during volatile periods.
Technological integration poses another challenge. While innovations like smart elevators boost efficiency, retrofitting older buildings with modern systems is costly and complex. Upgrading facilities to meet current safety and performance standards requires careful planning, significant investment, and specialized expertise, making adoption slower in certain building segments.
Strict regulatory and safety standards set by Indonesian authorities ensure elevator reliability but demand ongoing compliance. Meeting these requirements involves continuous training, resource allocation, and technical expertise, increasing project costs for manufacturers and service providers while adding complexity to operations.
Growing competition from both global and local players intensifies market pressure. Price-based rivalry, alongside competition in technology and service quality, can squeeze profit margins and push companies toward consolidation. Differentiating through innovation, product quality, and superior service becomes essential for sustaining market share.
Sustainability initiatives add to industry demands. The rising need for energy-efficient and eco-friendly elevator solutions requires investment in R&D and advanced technology. Balancing environmental performance with cost-effectiveness remains a delicate challenge for manufacturers aiming to meet green building standards.
Overcoming these challenges will require strategic planning, strong collaboration among stakeholders, and continuous innovation. Addressing infrastructure gaps, managing economic risks, navigating complex regulations, and meeting sustainability goals are key to ensuring Indonesia’s elevator market achieves sustainable growth and global competitiveness.
Key Market Trends
The Indonesia elevator market is experiencing significant growth, driven by several key trends. Urbanization is a dominant factor, with the urban population expected to reach 68% by 2025, up from 58.57% in 2023. Increased migration to cities is fueling the construction of high-rise buildings, condominiums, and commercial complexes, boosting demand for elevators as essential vertical transportation solutions across residential and commercial projects.
Technological advancements are transforming the market, with growing adoption of smart elevators featuring IoT capabilities, cloud connectivity, and predictive maintenance. These innovations improve energy efficiency, enhance performance, enable real-time monitoring, and reduce downtime while offering a better user experience.
Sustainability is gaining prominence, with rising environmental awareness and green building initiatives driving demand for eco-friendly, energy-efficient elevators. Manufacturers are introducing regenerative drives, low-energy lighting, and sustainable materials to reduce lifecycle environmental impact and align with Indonesia's green building standards.
Strict safety regulations continue to shape the market. Elevators require compliance with mandatory SNI certification and advanced safety features such as emergency braking systems, anti-collision sensors, and secure communication protocols. Industry players are prioritizing safety and regulatory compliance as a competitive advantage.
Customization and specialization trends are rising as developers seek tailored solutions to meet diverse architectural styles and user expectations. Space-saving designs like machine-room-less (MRL) elevators are becoming popular for optimizing building space and improving installation flexibility in urban projects.
Service and maintenance demand is increasing, with building owners focusing on reliability and operational efficiency. Preventive maintenance plans, remote monitoring technology, and rapid repair services have become standard to ensure uninterrupted elevator operations.
The market is also seeing heightened competition with global brands such as Schindler, TK Elevators, Otis, KONE, and Mitsubishi Electric expanding in Indonesia. Partnerships between international and local companies are driving innovation, improving service quality, and raising industry standards.
Overall, Indonesia’s elevator market is being shaped by urbanization, smart technology adoption, sustainability trends, safety compliance, customization, service excellence, and strong competitive dynamics. Stakeholders that adapt to these trends can leverage emerging growth opportunities in this evolving market.
Segmental Insights
Elevator
Technology Insights
The Traction segment emerged as the dominating
segment in 2024. In the Indonesia elevator market, the traction segment has
emerged as the dominant force driving market growth. Traction elevators use a
system of ropes and counterweights, powered by electric motors, to move
elevators up and down. This technology offers several advantages over
traditional hydraulic systems, including higher speed capabilities, smoother
rides, and suitability for tall buildings.
One key factor contributing to the
dominance of traction elevators is the trend towards high-rise construction in
urban areas. As Indonesia's cities continue to expand vertically due to
urbanization and population growth, there is a growing demand for elevators
that can efficiently transport people and goods to upper floors. Traction
elevators are well-suited for these tall buildings, offering faster travel
times and greater energy efficiency compared to hydraulic alternatives.
Technological advancements in traction
elevator systems, such as regenerative drives and energy-efficient components,
align with the market's increasing emphasis on sustainability and energy
conservation. These advancements not only reduce operational costs but also
contribute to environmental stewardship, appealing to developers, building
owners, and regulatory bodies alike.
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Regional Insights
Central Region was expected to be the
dominating region during the forecast period. During the forecast period, the
Central Region of Indonesia is anticipated to emerge as the dominating region
in the elevator market. This region encompasses major cities such as Jakarta,
Bandung, and Semarang, which are key economic and cultural hubs experiencing
rapid urbanization and infrastructural development.
Several factors contribute to the
Central Region's prominence in the elevator market. Firstly, Jakarta, as the
capital city and economic center of Indonesia, continues to witness significant
investments in commercial and residential projects. The construction of
high-rise buildings and mixed-use developments in Jakarta drives substantial
demand for elevators, particularly in business districts and residential areas.
Urbanization in cities like Bandung and
Semarang is also accelerating, fueled by population growth and urban migration.
These cities are undergoing modernization efforts, including infrastructure
upgrades and urban redevelopment projects, which stimulate demand for vertical
transportation solutions like elevators.
Government initiatives aimed at
enhancing urban mobility and sustainable development further boost the Central
Region's elevator market. Policies promoting smart city solutions and green
building practices encourage the adoption of advanced elevator technologies
that improve energy efficiency and environmental performance.
Recent Developments
- In August 2024, Otis introduced its Gen3 connected elevator platform at the "Platform for Possibility" launch event in Bangkok. Otis Worldwide Corporation, the global leader in elevator, escalator, and moving walkway manufacturing, showcased this innovative new offering. Building on the successful design and flat-belt technology of the Gen2 series, which has been a top-seller, the Gen3 elevator is available in both machine room and machine room-less configurations. This flexibility allows it to serve a variety of building types, including residential, commercial, hospitality, medical, and industrial spaces.
- In July 2024, Nibav Lifts, India’s leading home elevator brand, introduced its cutting-edge Nibav Series 4 home lifts in Mumbai, the financial capital of India. With the launch of the Series 4 and Series 4 Max, Mumbai’s sophisticated homeowners now have access to the latest advancements in elevator technology and luxurious design. This launch establishes Nibav as a new benchmark for residential elevators in one of the world’s most vibrant and dynamic cities.
- In February 2024, Mitsubishi Electric Building Solutions announced a contract to supply 33 elevators and 22 escalators for Indonesia's New Capital Relocation Project, aimed at key government facilities. The project's Phase 1 involves delivering a total of 55 units, comprising 33 elevators and 22 escalators.
- In 2023, Hyundai Elevator Co. expressed its plans to compete for smart city project contracts in Indonesia, particularly those associated with the capital's relocation from Jakarta to Kalimantan Island.
Key Market Players
- PT. KONE Indo Elevator
- PT Berca Schindler Lifts
- TK Elevator Indonesia
- Otis Indonesia
- PT. Mitsubishi Jaya Elevator and
Escalator
- PT. Hyundai Elevator Indonesia
- Toshiba Asia Pacific Pte. Ltd.
- PT. Toshiba Elevator and Building
Systems Corporation
- PT. Seltech Putera Perkasa
- PT. Hitachi Asia Indonesia
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By Elevator Door Type
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By Elevator Technology
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By Service
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By End User
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By Region
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- Traction
- Machine Room-Less Traction
- Hydraulic
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- Modernization and Maintenance & Repair
- New Installation
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- Residential
- Commercial
- Infrastructural
- Institutional
- Others
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- Central Region
- Eastern Region
- Western Region
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Report Scope:
In this report, the Indonesia Elevator
Market has been
segmented into the following categories, in addition to the industry trends which
have also been detailed below:
- Indonesia
Elevator Market, By Elevator Door Type:
o Automatic
o Manual
- Indonesia
Elevator Market, By Elevator Technology:
o Traction
o Machine Room-Less Traction
o Hydraulic
- Indonesia
Elevator Market, By Service:
o Modernization and Maintenance & Repair
o New Installation
- Indonesia
Elevator Market, By
End User:
o Residential
o Commercial
o Infrastructural
o Institutional
o Others
- Indonesia
Elevator Market, By Region:
o Central Region
o Eastern Region
o Western Region
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the Indonesia Elevator Market.
Available Customizations:
Indonesia Elevator Market report with the
given market data, TechSci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Indonesia Elevator Market is an upcoming report to
be released soon. If you wish an early delivery of this report or want to
confirm the date of release, please contact us at [email protected]