Finland’s Kone, US‑based Otis and Switzerland’s Schindler are racing to capitalize on Beijing’s new subsidy program aimed at replacing China’s ageing lift fleet. Official data list roughly 12 million elevators, escalators and moving walkways, with about 1.1 million older than 15 years—the typical trigger for a safety‑upgrade. The state‑run People’s Daily flagged the risk, prompting industry action.

Kone’s Greater China chief, Joe Bao, said the need for modernisation represents the sector’s “next growth super cycle.” The firm plans to replace or upgrade 40,000 to 60,000 elevators a year by 2028, up from about 20,000 today. Otis reported its modernisation tally doubled in 2025, while Schindler noted a steep decline in new orders amid the property slump.

Subsidies, ranging from Rmb100,000 to Rmb200,000—about $14,650—cover replacement costs and extend to older buildings, according to Otis’s head of China, Sally Loh. While Kone can deliver a replacement in a week, credit constraints in China’s market dampen sales speed. Still, the long‑term bond‑backed program signals a shift that could revive lift sales.

The property slowdown that has shrunk new lift installations by more than 20% last year also hit Kone, Otis and Schindler’s global revenues, with Otis reporting a 7% decline worldwide. Yet the subsidy scheme offers a strategic lifeline, allowing manufacturers to tap a market where local players dominate and maintenance contracts promise recurring revenue streams.