NR2374

NEWS RELEASE                                                                                         December 2017

Markets for Treating Liquids are Growing Faster than GDP

The markets for products and services to treat fluids are growing faster than GDP although some industry segments have negatively impacted the results in the last three years. In the 2018-23 period the market should grow at 4 to 5% annually. The pump and valve segments have grown at a slower rate due the slump in the oil and gas sector. Pumps used for oil extraction have comprised a substantial segment of the market.  This market is starting to rebound and will not be a drag in the next five years. New opportunities created by IIoT and Remote O&M could add as much as 2% CAGR to the market.

Water Treatment Markets - three years ago ($ billions)

Product Power Fluid Municipal Industrial and Other Residential/
  Commercial
Total
Pumps 3 8 14 20 8 53
Valves 7 13 7 39 20 86
Cartridge 0 7 1 6 7 21
Sedimentation/Centrifugation 1 0 2 5 0 8
Cross-Flow Membranes 2 0 4 3 1 10
Macrofiltration 1 0 2 4 0 7
Biological/Oxidation/Destruction 1 0 8 4 2 15
Water/Wastewater Chemicals 5 0 9 10 0 24
Total           224

Treatment activities can be segmented into expensive treatment of small quantities of liquids and inexpensive treatment of large quantities. An example of a small segment with high treatment costs is the water for injection (WFI) generated by pharmaceutical companies for injectable drugs.

One of the larger growth segments in the last three years has been ballast water. Ships now treat 200 billion gallons/yr due to new regulations. All the other water needs for ships are only 2 billion gallons/yr.  So, the ballast water regulations expanded the market by two orders of magnitude in terms of volume to be treated.

The water produced by oil drilling amounts to 360 million gallons per day (mgd). This is several orders of magnitude larger than the WFI market and represents the equivalent of 2 percent of the world’s 16,700 mgd desalination capacity. The slowdown in the drilling of new wells has resulted in fewer disposal sites for produced water and the need to therefore treat and reuse this water.  

The biggest applications for water treatment are power plants. The U.S. market is relatively small due to the prohibition on new coal plants.  However, regulations regarding discharges from existing plants have created a modest market. China has slowed down after a huge decade of coal plant construction.  The biggest markets are now the ASEAN nations and India.  They will build more coal fired plants than were ever built in the U.S. and Europe (China already has built twice as many coal plants as the U.S. and Europe combined).

For more information on Air/Gas/Water/Fluid Treatment and Control: World Market, click on:http://home.mcilvainecompany.com/index.php/markets/27-water/445-n064-air-gas-water-fluid-treatment

For more information on specific product reports, click on:

Cartridge Filters: World Market: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/117-n024

Liquid Filtration and Media World Markets: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/118-n006

Pumps World Market: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/116-n019

RO, UF, MF World Market: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/120-n020

Sedimentation and Centrifugation World Markets: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/119-n005

Industrial Valves: World Market: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/115-n028

Water/Wastewater Treatment Chemicals: World Market: http://home.mcilvainecompany.com/index.php/markets/27-water/449-n026-water-and-wastewater-treatment-chemicals