Water Treatment Equipment Market Expected to Reach $93.9 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Water Treatment Equipment Market," The water treatment equipment market was valued at $54.3 billion in 2022, and is estimated to reach $93.9 billion by 2032, growing at a CAGR of 5.7% from 2023 to 2032.

Wastewater treatment equipment encompasses all the major types of water treatment techniques currently used in the water treatment industry. It includes various types of membranes, biological and sludge-based treatment as well as disinfection. According to the United Nations, a major water scarcity issue looms over the globe. It states that nearly 1.2 billion or one-fifth of the world population face physical water scarcity. Physical water scarcity refers to shortage of water due to excessive demand and lack of supply of water.

Hence, fresh water needs to be used in a sustainable way in industrial and agricultural applications. This requires the use of in-house wastewater treatment plants, thus increase in the demand for wastewater treatment equipment. Physical water scarcity is already a major concern in parts of China and India. As a result, finding a balance between use of water for drinking and use of water for industrial or agricultural use holds utmost importance.

Building a wastewater treatment plant is commonly done by local governments, although there are some private players setting up wastewater treatment plants. However, the cost of setting up a new treatment plant is very high. The cost of operating a plant is also high, once set up. Hence, the high cost of equipment and its operation limit the growth of the water treatment equipment market.

However, investment in the water treatment industry is crucial to conserve water resources and make it available for future use. Hence, efforts to reduce the prices of wastewater treatment equipment offer fresh opportunities for market growth during the forecast period. In addition, development of advanced energy-efficient water treatment technologies is projected to benefit the market in the long run.

The water treatment equipment market is segmented on the basis of type, end-use industry, and region. On the basis of type, the market is classified into process equipment, mud treatment, filtration systems & media, disinfection, diversions & screens, meters, membranes, and others. On the basis of end-use industry, the market is bifurcated into industrial water treatment equipment and municipal water treatment equipment.

The industrial water treatment equipment segment is further segmented into process water treatment, wastewater treatment, and sludge treatment. Moreover, the municipal water treatment equipment segment is further fragmented into process water treatment, wastewater treatment, and sludge treatment. On the basis of region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

On the basis of type, the process equipment segment dominated the global water treatment equipment market, both in terms of value in 2022. Industries and municipalities require efficient and reliable water treatment solutions to meet their specific water quality requirements. Filtration systems and media are essential components of water treatment processes, ranging from pre-treatment to tertiary treatment, in industrial and municipal applications.

On the basis of end-use industry, the municipal water treatment equipment segment dominated the global water treatment equipment market, both in terms of value in 2022. Many municipal water treatment facilities and distribution systems are aging and require upgrades to meet modern water quality standards and cope with increasing population and water demand. This drives the need for new and advanced water treatment equipment to enhance the efficiency, reliability, and performance of the treatment processes. On the basis of region, Asia-Pacific has a dominant share in the market and is anticipated to experience rapid growth in the water treatment equipment market.

The Asia-Pacific region is undergoing rapid urbanization, leading to an increase in population and water demand. This has created a need for water treatment equipment to ensure access to clean and safe water for both residential and industrial purposes.

The major players operating in the industry include Calgon Carbon Corporation, Culligan Water, Ecolab, General Electric, Hydranautics, Pentair, Lenntech B.V., Suez, Veolia, and Xylem. These players have adopted acquisition, expansion, and product launches as their key strategy to increase their market shares.

Example of acquisition in the market

In 23 January, 2023, Xylem acquired Evoqua, a leader in mission-critical water treatment solutions and services. Xylem is projected to get access to customers in the life sciences, electronics, energy, and food industries as well as advanced water treatment capabilities because of the acquisition. In addition, business of Xylem, which primarily serves the utility, commercial, and residential sectors, may now cater much more to industrial customers because of the acquisition leading to the growth of the water treatment equipment market. 

Example of expansion in the market

In 21 December, 2022, Suez expanded its business by signing a contract with the Municipality of Czernica for the building and management of the city wastewater treatment plant. The city of Czernica gives Suez permission to design, construct, finance, and manage the new wastewater treatment facility within three years of its completion with the signing of the USD 90 million contract. This expansion is projected to increase the demand for water treatment equipment, leading to the growth of the market.

Key Findings:

• By type, the Filtration Systems and Media segment was the largest revenue contributor in 2022, whereas membrane segment is anticipated to register the highest CAGR of 6.6% during the forecast period.
• By end-use industry, the municipal water treatment equipment segment was the largest revenue contributor in 2022, while infrastructure is anticipated to register the highest CAGR of 5.9% during the forecast period.
• By region, the Asia-Pacific region segment was the largest revenue contributor in 2022 and is anticipated to register the highest CAGR of 6.2% during the forecast period.