The growth of the hoist chains market is dependent on industries that extensively use hoists, such as, construction, automotive and aerospace industries. It is conclusive therefore, that the growth of these industries will indirectly impact the expansion of hoist chains market that is expected to surpass $9.5 million by 2025.
U.S. hoist chains market size, by end-user, 2014 - 2025 (USD Thousand)
The global construction industry, which had been estimated to have a value of nearly $10.9 trillion in 2017, is projected to surpass $13.9 trillion in 2024, a growth that will be positively reflected on the expansion of hoist chains market. It has been estimated that the world economy will expand by approximately 3% per year over 2017– 2021 depending on how Chinese authorities restrain in credit growth and manage the consequent economic slowdown and how investors in developed economies will respond to the shift towards monetary policy standardization. But setting all those factors aside, it has been observed that the general trend will be positive for the construction industry expansion and indirectly lucrative for the hoist chains market.
Construction activity in emerging regions surpassed the value of advanced economies in 2014, a difference that is expected to continue and widen over the years. In 2012, emerging markets accounted for over 46.7% of global output, a share that is anticipated to rise to 52.8% by 2021. Asia-Pacific is presumed to account for the largest share of the construction industry as it includes the hefty markets of China, Japan and India. China construction industry may display signs of slow growth owing to the excess of new residential property. But the emerging markets of Southeast Asia will make massive investments in new infrastructure projects, reinforced by private investment.
One instance is the growth of the construction industry of Philippines, which, supported by infrastructure and energy investments, will continue to record immense expansion especially in the residential and commercial sectors. In spite of bureaucratic hurdles, Philippines government is planning to spend US$144 billion on infrastructure development between 2016 and 2022. Besides Philippines, Indonesia and Vietnam construction industries will also climb the global rankings in terms of size, all of which will invariably add to the size of the hoist chains industry as hoists are one of the most fundamental machines used in construction.
Another end user industry that can remarkably add to the growth scope of the hoist chains market is the automotive market. Automotive manufacturing involves the using of hoists in different stages thorough which it can be concluded that the expansion of the automotive industry will invariably add to the growth of the hoist chains industry. In the U.S., profits in the automotive industry as well as the sale of vehicles have recovered after the economic crisis and in China, growth of automobile sales remains strong. It is estimated that by 2020, global proceeds earned by automotive OEMs will rise almost by 50%. The new profits are expected to be derived majorly from the growth in emerging markets where lifestyle and increasing incomes are becoming suitable for affording automobiles. Comparatively lesser contribution will be made by developed nations such as U.S., Europe, Japan, and South Korea. Noting certain trends in the automotive industry such as the growing preference for electric vehicles in the background of reining in climate change and the increasing demand for autonomous vehicles, many automakers are expanding their production capacity, indirectly boosting the hoist chains market.
The aerospace industry will also be a significant contributor to the hoist chains industry over 2018-2025. Apparently, aerospace industry accounted for nearly 25% of the total hoist chains market share in 2017. Assembly of aircrafts involve the use of powerful hoists to lift immensely heavy aircraft parts in place. Considering that the growing demand for air travel will necessitate the manufacturing of more aircrafts, demand for hoists is also expected to increase, indirectly contributing to the growth of the hoist chains industry.
One of the lesser known contributors of to the hoist chains market is the live entertainment industry. To compete with the liberal use of special effects and computer-generated graphics in the film and television industry, live stage shows have come to increasingly employ the use of technology to add to the theatre experience. Hoists have come to occupy a prominent place in live performances as they are often used to raise and lower stage backdrops and props. Instances of such non-mainstream and lesser known use of hoists are in plenty, as hoists are one of the easiest means of lifting components while decreasing human effort. Expanding, widespread and innovative use of hoists across a plethora of highly diverse applications is thus poised to suitably augment the commercialization graph of the overall hoist chains market over 2018-2025.