The market for water treatment products in China will soar to ¥42 billion in 2012, as the world’s most populous nation struggles to increase its access to fresh water and improve the deplorable condition of the surface water sources that supply most of its water needs. Continued double-digit annual growth for every major product category in every significant market will enable China to grow from being a developing market to the world’s third largest outlet for water treatment chemicals, equipment and supplies, after the US and Japan. These and other trends, including market share and company profiles, are presented in Water Treatment in China, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.
The industrial sector accounts for over half of the water treatment market in China. Gains in essentially every market will be robust due to efforts to use water more efficiently. Although such efforts will reduce industrial water usage on a per production unit basis, overall industrial water usage will grow 15 percent per year due to sustained expansion of the Chinese industrial economy. Industrial water users such as paper mills and metal processing concerns will implement more aggressive reclamation projects that will allow for the recovery of pulp for use in papermaking and the collection of precious metals normally lost with traditional processing methods, in addition to allowing for reduced wastewater discharges and overall water savings. Such efforts will lead to growth for chemicals such as biocides and chelating agents, as well as advanced filtration and membrane systems.
The municipal water treatment market will grow rapidly due in large part to the continued expansion of the nation’s water supply and wastewater treatment infrastructure. Although most of China’s cities have at least one wastewater treatment plant, most towns do not, and such facilities are rarer yet in rural areas. Access to improved water supplies has broadened demonstrably in the past two decades, but there is still considerable room for growth in this regard. Moreover, China’s citizens, as they become more affluent, are coming to expect better quality water from municipal supply systems, and efforts are underway to meet those expectations, which will boost demand for filtration systems and a broad range of treatment chemicals. Even seawater desalination, often considered impractical because of its capital and energy costs, is being considered to address the dire situation of China’s water supply.
The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.