Otis to further tap nation's urban renewal

Global elevator and escalator manufacturer Otis Worldwide Corp is eyeing significant growth opportunities in China, propelled by the country's accelerating push for urban renewal, infrastructure modernization, and high-quality urbanization, according to its top executive.

"As global urbanization accelerates and populations age — a demographic shift occurring rapidly in China and across the world — the modernization of urban infrastructure has become a critical imperative," said Judy Marks, CEO and president of Otis, during the recently concluded ninth China International Import Expo in Shanghai.

"Concurrently, the rapid advancement of artificial intelligence and digitalization is fundamentally raising the industry standard, redefining the scope and quality of the technological solutions we must deliver to our customers and communities."

Marks noted that China remains one of the group's most dynamic and promising markets, as expanding opportunities in the sector align closely with the country's 15th Five-Year Plan (2026-30).

"The emphasis on high-quality development, smart cities, digitalization and urban renewal aligns with Otis' current offerings and strategic direction," she added.

The government's push to upgrade public infrastructure and its issuance of bond subsidies for elevator refurbishment present a significant growth engine for the industry.

Currently, over 1.1 million elevators in China have been in operation for more than 15 years and they require comprehensive modernization to remain safe and efficient. Such aging equipment is expanding by approximately 10 percent annually.

To reinvigorate domestic consumption and accelerate economic expansion, China launched a nationwide initiative in 2024, prioritizing mass-equipment renewals and consumer trade-ins, according to the Ministry of Commerce.

Market analysts view these targeted policies as a crucial growth engine, effectively energizing both the manufacturing and retail sectors, as the country navigates its ongoing economic restructuring.

Guo Chaoxian, a researcher at the Chinese Academy of Social Sciences, noted that such policy measures stimulate domestic consumption, advance the circular economy, and draw in foreign capital through green and smart upgrades, which subsequently enhance the resilience of industrial supply chains.

To meet this surging demand, Otis is shifting its focus from solely providing hardware to offering comprehensive after-market services and solutions.

At the CIIE, the company debuted Gen Nexus, a next-generation intelligent elevator platform that acts as the system's "digital brain". Operating from the machine room or hoistway, the platform leverages AI for improved predictive maintenance, early risk identification, and higher computing power to extend equipment life.

Beyond product innovation, Otis is transforming its engineering and installation capabilities. The company recently partnered with Lenovo to deploy AI-powered robots to automate the highly repetitive and physically demanding drilling processes inside concrete elevator shafts.

The technology is being piloted at the Tianjin 117 project, a supertall landmark that recently earned a Guinness World Record for housing the highest elevator inside a building. Otis supplied 266 elevators and escalators for the project, including units that reach a direct lifting height of 597.2 meters without requiring passenger transfers.

Marks emphasized that China is no longer just a sales market, but a critical hub for global innovation.

"China's resolute strategic pivot toward high-quality, technology-driven development is doing far more than just transforming the domestic landscape," she said.

"This vigorous pursuit of innovation serves as a core catalyst that is directly shaping — and will continue to dictate the long-term trajectory of — the company's overarching global product roadmap and future technological pipeline."