The water and wastewater treatment market is expected to grow at a CAGR of 7.5% during the forecast period 2023 to 2030. The global COVID-19 epidemic has been unusual and remarkable, resulting in lower water and wastewater treatment demand across all regions compared to pre-pandemic levels. Rising demand for municipal and industrial water and wastewater treatment equipment is expected to fuel market expansion during the forecast period. During the study period, product demand is expected to rise due to industrialization, urbanization, and restricted freshwater supplies. Increasing environmental concerns, government regulations, and global demand for water and wastewater treatment are expected to boost the market. Increasing spending on wastewater treatment facilities should also boost the market. Over 40% of the world's population lives in water-stressed areas. Countries with acute water scarcity must desalinate saltwater to make freshwater because just 1% of the water on Earth is fresh.
More than half of the world's population, or 57%, will live in water-scarce regions by 2050. The rising global population, especially in cities, is a major driver of industrial growth. Most of the world's population growth during the next 40 years is expected to occur in metropolitan areas, especially emerging regions. Urbanization increases population density and stresses water supply. Development has increased water consumption per person, straining the area's water supply. By 2050, 6 billion people could lack clean water. (UN Water Development Report)
More than two-thirds of the world's population will be urban by 2050. Rapid urbanization creates new opportunities for economic progress but increases freshwater consumption. An increase in urban garbage could contaminate water with toxins. These contaminants include excrement-derived nutrients and pathogens, plastics, and personal care chemicals. In the future, this will likely increase demand for water and wastewater technology.
One-fifth of the world's population, or 1.2 billion people, live in places with water shortages and other drinking water challenges. Over one-quarter of the world's population, or 1.6 billion people, lack economic help to acquire pure water. It's a large chunk of the world's population. In many developing nations, dwindling water resources and deteriorating water quality are major concerns. India and China, both with large populations, offer growing opportunities for water and wastewater treatment equipment.
Wastewater treatment and disposal are under review. The Urban Waste Water Treatment Directive in the EU protects the environment from wastewater discharge. The Water Framework Directive (2000/60/EC) protects groundwater, rivers, lakes, estuaries, and coastal waters. Its purpose is to guarantee all surface waters are chemically and ecologically healthy, with minimal human impact. Increasing industrialization, population, and urbanization have fuelled the growth of the global water and wastewater treatment market.
The expansion of highly improved production processes has considerably raised wastewater volume. Companies that process chemicals, insecticides, rare metals, and other potentially dangerous commodities produce toxic effluents that might cause catastrophic impacts if deposited into freshwater sources. EPA and FAO have set regulation limits on the traces of these compounds in effluents before they are released into the environment. EPA's Oil and Gas Extraction Effluent Guideline & Standards were amended in 2016. This paper covers oil drilling, production, and wellness treatment wastewater in coastal, land, and offshore environments.
Anyone who violates the regulations faces jail and substantial fines. Due to strict laws, businesses must build and maintain treatment plants. In the years ahead, the market is expected to be driven by the implementation of strict water and wastewater rules for enterprises around the world.
Water and wastewater treatment equipment installation is expensive, despite the benefits. The high cost of water treatment equipment and operation is a market barrier. Disinfectants like chlorine gas require vast water storage facilities. Undeveloped countries have poor infrastructure and equipment. Low-volume industrial settings can't afford ozone and UV equipment. Municipal sectors in Europe and North America use ozonation and ultraviolet (UV) equipment, but their market share is limited in APAC. Desalination equipment is too expensive for developing nations. Similarly, operating and maintaining water treatment facilities is expensive. Water processing and purification systems demand a lot of energy. In economically developing African countries, 45% of the population lacks access to drinkable water due to a lack of infrastructure. Many nations lack water distribution and storage facilities. This may hinder the global expansion of the water and wastewater treatment business.
Current global energy difficulties are caused by the depletion of conventional energy reserves and the environmental effects of its extraction, treatment, usage, waste disposal, and recycling. As a result, water treatment equipment is under pressure to provide environmentally friendly solutions. Membrane-based water treatment equipment promotes water and energy sustainability. Most of these membranes are used industrially. Membrane reactors (MBR) treat wastewater and water, RO desalinates saltwater, and membrane-based fuel cells, lithium-ion battery packs, and other battery packs are used. Membrane systems reduce water and energy scarcity and meet sustainability requirements for environmental friendliness, land use, flexibility, and adaptability. Cost, affordability, energy consumption, and efficiency must be improved in membrane technology. To enhance membranes, technological advances are needed. Because of these conditions, membrane technology and equipment advancements are expected in the future to address water and energy sustainability.
Most prosperous nations have aging infrastructure. These countries have decades-old water treatment facilities, but they still use it. Reinstalling and modernizing these aging infrastructures will need large investments. Developed economies built all water systems throughout the industrial revolution. Developing nations with big populations that lack access to enough water have only lately begun building water infrastructure. Most water and wastewater treatment plants are obsolete. Water and wastewater treatment systems have a 70-80-year service life. In several nations, poorly maintained water mains affect water quality. Deteriorating water infrastructure requires massive investments to rehabilitate and modernize. The planned restoration or reconstruction of obsolete water facilities will increase fresh water supplies, although the installation and upgrade of new equipment and systems to replace current infrastructure will be relatively limited.
In 2021, 20% of global sales came from membrane separation. This market category should have the greatest CAGR from 2023 to 2030. Membrane separation is a physical technique that extracts components from a solution by pushing feed water through a partially permeable membrane. Membrane separation offers many benefits, including low area and good filtration. Biological treatment follows primary treatment to eliminate any remaining pollutants. Manufacturing and municipal sectors must utilize ecologically friendly solutions to reduce water pollution. Demand for biological treatment equipment is expected to rise in developed economies like the U.S., Canada, Germany, and Japan. Sludge treatment is expected to have the second-highest CAGR during the projection period. These systems dry, screen, thicken and dewater sludge. The sludge screening machine removes plastics, fibers, and hair to prevent disrupting subsequent sludge treatment operations.
In 2021, tertiary treatment procedures contributed 45% of global revenues. This segment is expected to grow at a 5.5% CAGR from 2023 to 2030. Tertiary treatment improves effluent quality before reuse or release. After secondary treatment, this stage removes inorganic chemicals, compounds, bacteria, viruses, and parasites from the water, making it usable. Mechanical and chemical techniques remove heavy solids and floating debris from wastewater. Tanks and filters are used to remove pollutants from wastewater. Low operational expenses and great market visibility are expected to enhance the therapy's application scope in the future years.
The secondary treatment process is expected to have a 5% CAGR from 2023 to 2030. Trickling filters, bio-towers, rotating biological contactors, and activated sludge systems are used in secondary treatment to remove soluble organic matter and phosphorus, and nitrogen. Wastewater treatment may use aerobic and anaerobic biological processes. A membrane bioreactor combines biological processes, such as activated sludge, with membrane filtration to remove organic and suspended particles more efficiently and effectively. Solid-liquid filtration uses microfiltration or ultrafiltration membranes.
Municipal applications accounted for 65.0% of total revenue in 2021. Municipal demand is expected to rise, especially in China, India, and Brazil. This increase will be fuelled by a growing urban population and pro-infrastructure government policies. Wastewater treatment plants remove EfOM, bacteria, and nutrients from wastewater. This protects aquatic systems and water resources. This market segment is expected to rise throughout the forecast period due to increased awareness of wastewater treatment and governments' efforts to improve water and wastewater infrastructure.
Industrial applications are estimated to have the largest CAGR during the projection period, at 5.3%. This market offers applications for unprocessed and treated water in many economic sectors. Rapid industrialization, new technology, and more manufacturing units have increased the demand for fresh and purified water. The above factors should boost the product's industrial market penetration. As industrial operations and urbanization developed, the environment worsened due to untreated or inadequately treated industrial wastewater effluents. On the other hand, more people are becoming conscious of environmental degradation, which, combined with stricter controls on industrial effluent discharge, should drive the segment's growth. Non-residential real estate includes commercial, healthcare, industrial, sports, educational, and transportation facilities. This market category should grow quickly in volume and value.
Wastewater treatment is expected to have the highest CAGR over the forecast period. Rapid industrialization and urbanization, the industrial sector's increasing attention to water quality, the depletion of freshwater resources, the need to recycle and reuse water, and the expanding focus on industrial wastewater treatment all contribute to the growth of this market segment. More than 30% of the world's water demand is for agriculture, which helps the municipal sector dominate the market. Using municipal water for entertainment like swimming pools and adventure parks will also increase demand for innovative treatment technology. Industrial growth is expected in the coming years. This may be due to harsher limitations in underdeveloped countries. Culligan Industrial Water and Suez Worldwide developed ozone treatment and bioremediation, which will drive the expansion of certain market segments in the near future.
This market category is expected to grow quickest from 2023 to 2030. This purifying method is ancient. The vapor from boiling water is cooled, condensed, collected, and stored in a condenser. The remaining pollutants are stored in the vessel. The operation isn't risk-free and needs a thorough review.
The market for water treatment systems is divided into POU and POE units. Point-of-use (POU) installation market to grow 8.5% from 2023 to 2030. This is due to the segment's affordable pricing and easy installation and use. In India and South Africa, faucet-mounted filters are widely used. Point-of-entry systems are popular throughout Europe and North America because of their aesthetic appeal. Because POE devices are centralized and inconspicuous, separate filters are unneeded.
Asia-Pacific accounted for more than 35% of global water treatment system revenue in 2021. Rapid industrialization and urbanization in the area, as well as improvements in healthcare, transportation, and sports facilities in China, India, and South Korea, are expected to boost market growth throughout the projection period. Positive effects are expected.
Increasing population, urbanization, and socioeconomic growth will boost the demand for water treatment systems in Europe. According to the World Resources Institute (WRI), Greece, Italy, Portugal, and Spain are already facing water stress, which is expected to worsen due to climate change. The growing need for water desalination is expected to increase the demand for water desalination equipment in the future. Due to Europe's large population of refugees and migrants, many of whom left Syria, Afghanistan, and Iraq, the continent may need more clean drinking water.
Growing investments in the U.S. and Canada's chemical, pharmaceutical, food and beverage, and automotive industries are expected to drive demand for water treatment systems throughout the forecast period. These industries consume a lot of water during manufacturing. Multifamily housing complexes and consumer awareness of the necessity for water filtration are driving demand for water treatment systems. The EPA ensures that public water systems provide clean, safe drinking water. The Drinking Water and Wastewater Infrastructure Act of 2021, which contains a $35 billion investment, is expected to create prospects for point-of-entry water treatment systems. In western and central Europe, 97% of households are connected to wastewater treatment facilities; in southern, south-eastern, and eastern Europe, 70% are. Urban wastewater treatment focuses on demographic changes, climatic changes, and toxins. Various stakeholders are paying close attention to them.
During the forecast period, demand for water treatment systems in MEA is expected to grow by 7%. Rising water demand per person in the region and the region's expanding population due to immigration will fuel the need for water treatment systems in the coming years. A rise in tourism, especially in the Middle East, could strain the region's water resources. The rising hospitality sector is expected to drive the water treatment systems market in the coming years. This will correspond with regional economic growth.
Multinational and regional players design, manufacture, distribute, and install a wide range of products. Multinational and regional businesses dominate the market. Large companies invest in R&D. They're also combining cutting-edge technology to provide more effective and efficient market solutions. Vigie COVID-19 identifies and computes the COVID-19 virus, which is common in wastewater. Veolia, IAGE, and the IPMC at CNRS-Université Côte d'Azur are developing it. First deployed in September 2020. Researchers have identified and calculated the Alpha, Gamma, and Beta versions, as well as the potentially dangerous delta variant from a year ago and the new Omicron variant. Due to its broad use in industrial and municipal sectors, companies are focusing on water and wastewater treatment equipment's economic impact. Market participants are building partnerships with manufacturers to provide technical expertise in the food and beverage and oil and gas industries. Market transformations are now leading. In May 2023, SéchéEnvironnement and Veolia struck a contract. SéchéEnvironnement has agreed to buy Veolia's industrial water treatment division in France.
Veolia Water Solutions & Technologies (France), SUEZ SA (France), Xylem, Inc. (United States), Dow Water & Process Solutions (United States), GE Water & Process Technologies (United States), Evoqua Water Technologies LLC (United States), Aquatech International LLC (United States), Ecolab, Inc. (United States), 3M (United States) are some of the leading companies in the water and wastewater treatment equipment. These organizations compete fiercely over product costs and quality, portfolios, after-sales services, customized solutions, etc.
