Water Desalination Market

• Growing demand for clean water for consumption

Agriculture will continue to be the greatest overall consumer of water, although the proportional rise to 2050 will most likely be less than that of other industries. Hence, water desalination is emerging as the leading solution to repurpose available water into clean drinking water and meet the increasing demand for clean water for consumption.

While in arid regions with dry conditions are extensively dependent on desalination with further rise of water demand in these regions.

There is a relatively higher reliance expected on seawater desalination plants to meet the basic need of fresh and clean water for consumption during the forecast period in these regions. According to the International Desalination Association more than 300 million people now depend on desalination plants for receiving water. As of 2020, There are roughly 16,876 active desalination plants in the globe, approximately 270 under development, and about 3825 offline units, and this number is expected to continue to increase over the forecast period as various governments undertake new desalination projects.

As a result, Water Desalination market revenue expansion is anticipated to be fueled by growing demand for clean water for consumption.

The Global Water Desalination Market Industry is experiencing growth driven by escalating water scarcity issues worldwide. As populations expand and climate change exacerbates drought conditions, the demand for alternative water sources intensifies. For instance, regions like the Middle East and North Africa, which face severe water shortages, are increasingly relying on desalination technologies. In 2024, the market is projected to reach 20.2 USD Billion, reflecting a growing recognition of desalination as a viable solution to meet water demands. This trend suggests that investments in desalination infrastructure will likely continue to rise as countries seek sustainable water management strategies.

The Global Water Desalination Market Industry is projected to experience robust growth over the coming years. With an anticipated market value of 20.2 USD Billion in 2024, it is expected to surge to 51.2 USD Billion by 2035, reflecting a compound annual growth rate of 8.8% from 2025 to 2035. This growth trajectory indicates a strong demand for desalination technologies and infrastructure, driven by factors such as increasing water scarcity, technological advancements, and supportive government policies. The market's expansion is likely to create new opportunities for stakeholders across the desalination value chain, from technology providers to project developers.

Advancements in desalination technologies are significantly influencing the Global Water Desalination Market Industry. Innovations such as reverse osmosis and forward osmosis are becoming more efficient, reducing energy consumption and operational costs. For example, the development of energy recovery devices has improved the efficiency of desalination plants, making them more economically viable. As a result, the market is expected to grow from 20.2 USD Billion in 2024 to 51.2 USD Billion by 2035, with a compound annual growth rate of 8.8% projected for the period between 2025 and 2035. These technological improvements are likely to enhance the attractiveness of desalination as a water supply solution.

The Global Water Desalination Market Industry is also driven by rising population levels and urbanization trends. As urban areas expand, the demand for potable water increases, necessitating the exploration of alternative water sources. For example, cities in regions like California and the Gulf Cooperation Council are investing heavily in desalination plants to meet the needs of their growing populations. This trend is expected to contribute to the market's growth, with a projected increase from 20.2 USD Billion in 2024 to 51.2 USD Billion by 2035. The correlation between urbanization and water demand underscores the importance of desalination in future water supply strategies.

Government initiatives and policies play a crucial role in shaping the Global Water Desalination Market Industry. Many governments are implementing regulations and incentives to promote the development of desalination projects, particularly in water-scarce regions. For instance, countries like Saudi Arabia and Australia have established national frameworks to support desalination investments. These policies not only facilitate funding but also encourage research and development in desalination technologies. As a result, the market is poised for substantial growth, with projections indicating a rise to 51.2 USD Billion by 2035. This proactive governmental approach is likely to foster a favorable environment for desalination projects.

Environmental concerns and the push for sustainability are increasingly influencing the Global Water Desalination Market Industry. As awareness of water pollution and depletion of freshwater resources grows, there is a heightened focus on sustainable water management practices. Desalination offers a solution that can potentially mitigate these issues by providing a reliable source of clean water. Moreover, advancements in eco-friendly desalination technologies are emerging, which aim to minimize environmental impacts. This shift towards sustainability is likely to drive market growth, as stakeholders recognize the importance of integrating desalination into comprehensive water resource management plans.

By Region, the global Water Desalination market industry study segments the market into North America, Europe, Asia-Pacific, Middle East & Africa, and South America. Middle East & Africa water desalination Market accounted for USD 4.07 billion in 2022 and is expected to exhibit a 8.63% CAGR during the study period. This is attributed to the presence of emerging nations in the region and growing natural gas consumption.

Figure 3: Water Desalination Market Share By Region 2022-2030 (%)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Middle East & Africa Water Desalination Market is driven by low availability of water which makes them highly dependent on water desalination to meet the demand for inhabitants’ consumption. The arid and dry weather conditions further impact water availability in the region leading to higher use of seawater desalination. The UAE water desalination market is expensively relied on for water supply in the region. The UAE gets about 90% of its drinking water from desalination. In the Africa water desalination market large-scale projects are being undertaken to provide water.

In 2023, the Morocco government announced launch of three seawater desalination projects in El Jadida, Safi and the Oriental region. These are expected to increase water production by about 1 billion cubic meters by 2030.

In the Asia-Pacific water desalination market the increasing population growth is the main factor leading to an increase in demand for water desalination. Particularly the China water desalination market and India water desalination market are leading to the growth of the market in the region. With high population, growing industries and decreased water availability there is a growing reliance on water desalination systems to meet the rising demand. China, with the world's biggest population, has pushed the development of desalination and multifunctional seawater utilization further in terms of materials, technology, and services, among other things.

China has been focused on recent years to growing the scale of plants as well.

While the Europe water desalination market is expected to get boost as the government initiatives due to increasing concerns over climate change and increasing sustainability in the economy. Desalination of brackish and saltwater is increasing in northern nations such as the Netherlands and Belgium as a result of climate change. Due to the severe drought, agriculture and drinking water firms are looking for other freshwater sources. In the North America water desalination market, the bulk of municipal desalination facilities are situated in three states: Florida (40%), California (14%), and Texas (13%).

With growing concerns on available water levels, all regions globally are expected to witness an increasing adoption of water desalination projects of various scales over the forecast period.

Major market players are spending extensively on R&D to increase their product lines, which will help industrial water treatment grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the water desalination Industry are expanding their market presence globally as the market is expected to boom in the future.

Veolia group (Veolia) is a French corporation that offers a variety of water, energy, and materials solutions, with an emphasis on waste recovery, in order to encourage the transition to a circular economy. The firm develops and implements specialized solutions to deliver, protect, and renew resources while boosting their environmental, economic, and social efficiency. Veolia Water Technologies is a division of the Veolia company and the world's top water treatment expert. The firm specializes in the design and delivery of drinking water or wastewater treatment facilities, as well as smaller standardized water treatment equipment for industrial or municipal clients.

Suez Group is a provider of environmental management solutions. Its service offering comprises water distribution and treatment services such as the production and delivery of drinking water, water cycle management, wastewater treatment and reuse, and water control. Sorting and dismantling, collecting and logistics, sanitation, non-hazardous and hazardous waste landfilling, and urban development services are all part of the company's recycling and waste recovery services. Suez services the food and beverage, chemical and pharmaceutical, construction, site deconstruction and soil decontamination, mining and metals, oil & gas, refining and petrochemical, power, pulp and paper, healthcare, retail, automotive, transportation and aviation industries.