Energy Efficient Elevators Market By Type (Machine Room-Less Elevators (MRL), Regenerative Drive Elevators, Gearless Traction Elevators, Hydraulic Elevators); By Application (Residential Buildings, Commercial Buildings, Industrial Buildings, Hospitals, Hotels); By Technology (Regenerative Drives, Geared Traction, Gearless Traction, Variable Voltage Variable Frequency (VVVF) Technology); By Capacity (Less than 500 kg, 500-1,500 kg, Above 1,500 kg); By Geography, Segment revenue estimation, Forecast, 2024–2032.

The energy efficient elevators market was worth USD 28.56 billion in 2023 and will be worth USD 57.23 billion by 2030, growing at a CAGR of 9.1% during the forecast period.

 

Energy Efficient Elevators market is spurred by the growing awareness of energy conservation, efficiency, and demand for green buildings. Elevators consume upto 10% of a building’s energy, and as the world today concentrates on energy efficiency with the Intended Nationally Determined Contributions (INDC) aiming to reduce emissions by 30% in 2030, there is a need to encourage energy efficiency elevator systems. For example, regenerative drive technology that recovers energy utilized when the elevator is in braking mode can CUT energy consumption by 50%. The latest advancements include smart applications where elevator utilizes traffic patterns and real-time information to minimize energy wastage due to idle periods. This is very important since there are usually large buildings that need to use elevators to conserve energy. Various governments and regulating authorities worldwide are becoming more inclined towards energy conservation in the constructions and products, demanding energy-saving elevators in commercial and residential buildings. Such improvements are revolutionizing the market now that building operators are looking for ways to reduce expenses and achieve environmental goals.

 

The Energy Efficient Elevators market offers a promising demand as the global construction industry adopts environmentally friendly solutions. By 2025, about 50% of new constructions will be designed according to green building codes, promoting energy-efficient elevators. For instance, regenerative brake technology in the elevator that could cut electricity use by up to 75% in other busy structures is slowly becoming the in thing. Examples of the most recent innovations are intelligent lifts with AI incorporated in the structures that regulate power usage depending on the traffic intensity in the building, with consideration to speed and time spent with no traffic. This pairing of energy efficiency and technology presents a huge market, especially as space reduction and energy cuts are vital worldwide, specifically within cities and skyscraper buildings.

 

 

Market Segmentation

By Type:

• Machine Room-Less Elevators (MRL)

• Regenerative Drive Elevators

• Gearless Traction Elevators

• Hydraulic Elevators

 

By Application:

• Residential Buildings

• Commercial Buildings

• Industrial Buildings

• Hospitals

• Hotels

 

By Technology:

• Regenerative Drives

• Geared Traction

• Gearless Traction

• Variable Voltage Variable Frequency (VVVF) Technology

 

By Capacity

• Less than 500 kg

• 500-1,500 kg

• Above 1,500 kg

 

By Region

North America

• US

• Mexico

• Canada

• Rest of North America

 

Europe

• Switzerland

• Russia

• France

• Germany

• U.K

• Finland

• Turkey

• Netherlands

• Belgium

• Spain

• Italy

• Rest of Europe

 

Asia Pacific

• India

• China

• South Korea

• Japan

• Singapore

• Thailand

• Indonesia

• Malaysia

• Philippines

• Australia

• Rest of Asia-Pacific

 

LAMEA

• Brazil

• Argentina

• Uruguay

• Saudi Arabia

• Rest of LAMEA

 

Segment Analysis for the Energy-Efficient Elevators Market

By Type:

Leading Segment: Gearless Traction Elevators

Gearless traction elevators dominate the market, holding over 40% of the market share due to their high energy efficiency, smooth operation, and durability. These elevators use permanent magnet synchronous motors, reducing energy consumption by upto 50% compared to traditional geared traction systems. Widely used in high-rise commercial & residential buildings, companies like Otis and Schindler are investing in smart gearless elevator solutions to enhance energy efficiency and ride comfort. This segment is projected to expand at a CAGR of 8% during the forecast period.

Fastest-Growing Segment: Machine Room-Less Elevators (MRL)

MRL elevators are expanding rapidly at a CAGR of 10%, driven by their ability to reduce energy consumption by upto 40% and save space by eliminating the need for a dedicated machine room. Increasing adoption in mid-rise buildings & modern commercial spaces has accelerated demand. For example, Thyssenkrupp’s MRL elevators have gained popularity in urban developments due to their compact design & energy-saving capabilities.

 

By Application:

Leading Segment: Commercial Buildings

Commercial buildings hold the largest share, accounting for 45% of the market, as businesses prioritize energy efficiency to reduce operational costs & meet sustainability targets. Major skyscrapers and office complexes are upgrading to regenerative drive and gearless traction elevators, which can recover and reuse up to 35% of energy during descent. Notable commercial projects, such as One World Trade Center & The Shard, utilize advanced energy-efficient elevators to optimize performance.

Fastest-Growing Segment: Residential Buildings

Residential buildings are growing at a CAGR of 9.5%, fueled by urbanization, green building initiatives & rising demand for smart elevators. The integration of VVVF (Variable Voltage Variable Frequency) technology in home elevators enhances energy efficiency makes them a preferred choice for new residential projects. China & India are leading this growth due to increasing high-rise housing developments & government incentives for energy-efficient infrastructure.

 

By Technology:

Leading Segment: Gearless Traction

Gearless traction technology dominates the market with a market share of 38%, owing to its superior energy efficiency & reduced maintenance needs. These elevators consume up to 30% less power compared to geared systems, making them the preferred choice for commercial & high-rise buildings. Companies like Mitsubishi Electric and KONE are developing gearless traction systems integrated with AI-based energy optimization for enhanced efficiency.

Fastest-Growing Segment: Regenerative Drives

Regenerative drive technology is expanding at a CAGR of 11%, as it enables elevators to convert braking energy into reusable power, improving overall energy efficiency by up to 50%. Big projects like The Edge in Amsterdam and Burj Khalifa are using regenerative drive elevators to meet their sustainability goals. Top manufacturers like Hitachi and Schindler are creating these energy-efficient elevator systems to support smart buildings.

 

By Capacity:

Leading Segment: 500-1,500 kg

The 500-1,500 kg capacity segment holds the highest share (over 50%), as it is the standard load range for commercial & residential buildings. These elevators cater to mid-to-high-rise structures, where energy-efficient solutions are crucial for sustainability & cost savings. The adoption of VVVF technology in this category has further boosted energy efficiency, making it the preferred choice for most modern buildings.

Fastest-Growing Segment: Above 1,500 kg

The above 1,500 kg capacity segment is growing at a CAGR of 9%, driven by increasing demand from industrial buildings, hospitals & high-capacity commercial spaces. As hospitals and airports require larger elevators with advanced energy-efficient solutions, manufacturers like Fujitec and Toshiba are innovating high-capacity regenerative drive elevators to meet sustainability goals.

 

By Region:

Leading Region: Asia-Pacific

Asia-Pacific dominates the market with over 40% share, driven by rapid urbanization, smart city initiatives, and high-rise developments in China, India & Japan. Government regulations promoting green buildings and energy-efficient infrastructure are further propelling demand. China’s green building policy mandates energy-efficient elevator installations in new construction projects, boosting market growth.

Fastest-Growing Region: North America

North America is growing at a CAGR of 10.5%, fueled by strict energy efficiency regulations & increasing adoption of smart elevators in commercial buildings. The U.S. Green Building Council’s LEED certification encourages property owners to integrate energy-saving technologies, including regenerative drive and gearless traction elevators. Major corporations like Google and Amazon are incorporating smart regenerative elevators in their headquarters to reduce carbon footprints.

 

Key Players

• Otis Elevator Company

• KONE Corporation

• Schindler Group

• Thyssenkrupp AG

• Mitsubishi Electric Corporation

• Hitachi Ltd.

• Fujitec Co., Ltd.

• Toshiba Elevator and Building Systems Corporation

• Hyundai Elevator Co., Ltd.

• Stannah Lifts Holdings Ltd.

 

Energy Efficient Elevators Market Report Coverage

Report Attribute	Details
Forecast Period	2023 – 2030
Market Size Value in 2023	USD 28.56 billion
Revenue Forecast in 2030	USD 57.23 billion
Overall Growth Rate	CAGR of 9.1%
Base Year for Estimation	2022
Historical Data	2017 – 2021
Unit	USD Billion, CAGR (2023 - 2030)
Segmentation	By Type, By Application, By Technology, By Capacity, By Region
By Type	Machine Room-Less Elevators (MRL), Regenerative Drive Elevators, Gearless Traction Elevators, Hydraulic Elevators
By Application	Residential Buildings, Commercial Buildings, Industrial Buildings, Hospitals, Hotels
By Technology	Regenerative Drives, Geared Traction, Gearless Traction, Variable Voltage Variable Frequency (VVVF) Technology
By Capacity	Less than 500 kg, 500-1,500 kg, Above 1,500 kg
By Region	North America, Europe, Asia Pacific, LAMEA
Country Scope	US, Mexico, Canada, Germany, UK, France, China, Japan, India, etc.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.