Indonesia with over 280 million of populations has the biggest prospects for the home lift, elevator and escalator market in Asia Pacific. The trend of urban residents switching to flats or apartments has also raised market demand. The construction of buildings in the Indonesia New Capital City (Nusantara) is a promising market for this industry. With the increasing number of tall building constructions, it means that there will be more elevators and escalators to be installed as well.
The World Bank in its report entitled “Aspiring Indonesia – Expanding the Middle Class” stated that almost half of Indonesian people are heading towards the middle class. The upper middle class is very important for unlocking Indonesia’s development potential and having purchasing power, especially owning a house. Having a lift at home offers them the freedom and comfortable. Indonesia has become one of the largest home lift markets in the world.
The government supports this industry with Law No. 28 of 2002 (Buildings), which requires multi-storey buildings above 5 (five) floors and PUPR Ministerial Regulation No.14/2017 (Building Ease Requirements) Connection Facilities above 1 (one) floor must have an elevator.
This industry is crisis-resistant it is proven that no building above 5 (five) floors stopped the operation of all elevators during the 1997-1998 financial crisis, as well as during the 2019-2022 pandemic. It proves that the elevator and escalator industry in Indonesia will continue to grow in the future.