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![]() KOTRA, China's Elevator Maintenance Market Maintenance Market Expands, Patent Applications Increase by Manufacturers High elevator safety accident rate spurs legislative amendments 2012/03 ![]() According to the General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ), there were 1.68 million elevators in operation in China as of the end of 2010, with more than 300,000 new elevators being installed every year, representing an annual expansion rate of 20 percent. China's largest cities, such as Shanghai and Beijing, have already surpassed 100,000 elevator installations, and the country now ranks first in the world in elevator production, inventory, and annual growth rate. International giants such as Otis, Mitsubishi, and Thyssen account for more than 80% of the total elevator market in China, and have recently expanded their revenue business by focusing on the elevator maintenance market as awareness of elevator maintenance spreads. However, since 2005, there have been an average of 40 elevator safety accidents and 30 fatalities per year. An analysis of elevator accidents last year showed that 62.7% of accidents were caused by non-compliance with regulations, 22.7% by defective equipment, and 6.6% by illegal use of equipment. In response, Beijing has been enforcing the Elevator Safety Supervision and Management Law since June 2008 and has tightened penalties. The law requires self-inspection and record-keeping of elevator installation, repair, and maintenance work, with violators facing fines of up to 5,000 yuan ($900). In addition, employees engaged in elevator installation, renovation, and maintenance must obtain a special equipment worker certificate before they are authorized to make repairs, with violators facing fines of up to 5,000 yuan. Nanjing has also issued an amendment to the Nanjing Municipal Elevator Safety Ordinance, issuing equipment safety remediation orders for elevators with a service life of more than 10 years and a high failure rate, and will focus on safety inspections for elevators with a service life of more than 15 years. There are currently about 35,000 elevators in operation in Nanjing. In 2010, there were nearly 300 reports of elevator failures and more than 3,000 outdated elevators. Fujian Province, Qingdao, Xuzhou and other regions have also revised and issued regulations on elevator safety rules. Fujian province's revised regulations on elevator safety rules have been in effect since October 1, 2011, Qingdao, Shandong province has already issued revised regulations since March 1, 2011, and Xuzhou, Jiangsu province, will also be subject to the enhanced regulations starting this month. "The elevator maintenance market will inevitably expand with the increase in elevator penetration, so the industry is showing as much interest as new installations, as it is expected to grow rapidly in first and second-tier cities," said Soon-Hee Park, Trade Representative of KOTRA in Nanjing. "Manufacturers are accelerating the development of elevator safety device technology, and the number of patent applications is increasing, especially in the area of maintenance, in order to secure unique technology." |
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