Industrial Water Treatment Chemicals Market Size, Share & Trends Analysis Report By Type (Coagulants, pH adjusters and softeners, Flocculants, Biocides and disinfectants, Scale inhibitors and dispersants, Corrosion inhibitors), By End-Use (Power generation, Chemical industry, Refineries, Pulp and paper, Metal and mining, Food and beverage, Oil and gas, Sugar) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global industrial water treatment chemicals market size was valued at USD 38.5 billion in 2023 and is projected to reach a value of USD 53.4 billion by 2032, registering a CAGR of 3.70% during the forecast period (2024-2032). The increase in industrial water treatment chemicals market share during the forecast period is related to the growth of the chemical sector and growing consciousness about limited water resources.

The industrial water treatment chemicals market comprises various chemicals used to treat water in industrial processes. These chemicals are essential for ensuring that water used in industrial applications is treated to meet specific standards for purity and safety. The primary goal is to remove contaminants, control biological growth, and ensure the water is suitable for its intended use. The main types of chemicals used include coagulants, flocculants, pH adjusters, biocides, scale inhibitors, corrosion inhibitors, and anti-foaming agents. Despite being 71% available on our planet, water still needs to be improved. As per the United States Bureau of Reclamation, about 97% of water is found in oceans, which is too salty to drink and hard for most of the industrial process. Out of 71%, only 3% is freely available as freshwater. The water demand has far exceeded its supply with the fast-increasing population and increased industrial development globally. The rising growth of power generation, chemicals, food and beverage, and oil and gas sectors has increased wastewater. Industrial water treatment chemicals are essential in treating wastewater before it enters our environment, further mitigating its impact. It also allows reuse of the treated water for various non-drinking activities.

The global industrial water treatment chemicals market is integral to various industries, including power generation, oil and gas, mining, chemical manufacturing, and food and beverage production. These industries rely heavily on large volumes of water, which must be treated to prevent corrosion, scale formation, biological growth, and other issues that can compromise equipment and processes.

Highlights

• Coagulants and Flocculant contribute most to the growth of the global market in type segment
• Power generation dominates the global market by end-use.

Market Dynamics

Market Drivers

Growth of the Chemical Sector

The expansion of the chemical industry is a pivotal driver for the industrial water treatment chemicals market, supporting numerous downstream and upstream industries. The chemical sector's growth also aligns with the United Nations' Sustainable Development Goals (SDGs), particularly in providing clean water—a crucial goal under SDG 6. For example, water chemistry and treatment play a vital role in ensuring the availability of clean water for the public. The chemical industry emits significant amounts of wastewater, which can cause pollution and water scarcity if not appropriately treated. Industrial water treatment chemicals such as coagulants, pH adjusters, and corrosion inhibitors are essential for treating this wastewater, making it reusable and reducing the need for fresh water. Treating wastewater before its release into the environment prevents land pollution and contamination of the food chain.

For instance, BASF, a major chemical company, has developed advanced water treatment solutions to help industries treat their wastewater effectively. This not only mitigates environmental impacts but also supports sustainable water management practices.

Growing Consciousness about Limited Water Resources

The increasing awareness of limited water resources drives the demand for industrial water treatment chemicals. The global population growth and rapid urbanization are exerting pressure on freshwater supplies. Climate change and pollution further exacerbate this issue. According to the U.S. Agency for International Development (USAID), one-sixth of the world’s population lacks clean drinking water, and water-borne diseases cause approximately two million deaths annually.

China, for instance, wastes around 362 trillion gallons of water annually. The United Nations Development Program (UNDP) predicts that by 2050, one in four people will suffer from water scarcity. Additionally, the World Bank estimates that over 40% of the global population lives in areas with water shortages, impacting about a quarter of the world's GDP.

Moreover, the industrial sector contributes significantly to water pollution, emitting millions of liters of wastewater that can be treated with chemicals to make it suitable for various non-potable uses. Companies like Ecolab are investing in innovative water treatment solutions to address these challenges, ensuring water sustainability and compliance with environmental regulations.

Market Restraints

Developing Disinfection By-products (DBPs)

The formation of disinfection by-products (DBPs) during water treatment is a significant restraint. DBPs are a concern due to their potential health and environmental impacts. Minimizing and controlling DBP formation is crucial to ensuring potable water safety. Research focuses on understanding DBP precursors, their removal, and the factors influencing DBP formation.

One approach to mitigate DBP formation involves using electrodes that generate highly reactive species more cautiously. For example, electrolysis with carbon-felt cathodes (CFCs) or boron-doped diamond (BDD) anodes can reduce DBP production. Another method is the electro-peroxide (E-peroxide) technique, which produces cathodic hydrogen peroxide (H2O2) to decrease DBP formation.

Additionally, granular activated carbon post-treatment can significantly lower DBP concentrations and their adverse effects. Companies like SUEZ Water Technologies & Solutions are developing advanced technologies to manage and reduce DBP formation, ensuring safer water treatment processes.

Market Opportunity

Growing Awareness of Water Pollution Issues and the Need for Advanced Treatment Solutions

The increasing recognition of water pollution issues and the demand for advanced treatment solutions present significant opportunities for the water treatment chemicals market. Technological advancements, stringent regulations, and the rising need for clean water drive market growth. Innovations in water treatment techniques are crucial for addressing water scarcity and contamination challenges.

In emerging economies, the demand for water treatment chemicals is rising due to greater awareness of waterborne diseases and the need to improve water quality. Stricter environmental regulations and technological advancements in these regions further propel market growth. For instance, India's Jal Jeevan Mission aims to provide safe and adequate drinking water to every household, driving the demand for effective water treatment chemicals.

Innovations and Strategic Initiatives

Innovations and strategic initiatives are transforming the global water treatment chemicals market by enhancing efficiency and scalability. Leading companies such as BASF SE, Ecolab Inc., and Solenis LLC are at the forefront of developing advanced water treatment technologies, including pH adjusters and large-scale hydro disinfection projects.

Collaborative partnerships among academic institutions, government agencies, and industry participants foster market growth and innovation. For example, BASF collaborates with research institutions to develop sustainable and efficient water treatment solutions. These innovations are crucial for the industry's progress towards widespread adoption and the transition to environmentally friendly hydropower generation.

Overall, integrating advanced technologies and strategic partnerships drives significant growth and innovation in the water treatment chemicals market, addressing the critical need for effective and sustainable water treatment solutions.

Regional Analysis

Asia-Pacific Dominates the Global Market

The global industrial water treatment chemicals market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-Pacificis the most significant market shareholder and is estimated to grow at a CAGR of 2.9% over the forecast period. This is predominantly attributed to swiftly expanding economies, including but not limited to China, India, Japan, and South Korea, where water is utilized as an input or generated as a byproduct by end-user industries such as power, chemical, mining, and food processing. These industries require chemical treatment of intake and output water, which stimulates market expansion in the region.

In addition, the Asia-Pacific market for water treatment chemicals is dominated by China, whose end-user industries fuel a swiftly expanding economy. Intensifying environmental regulations and rising demand for potable water are anticipated to propel substantial growth in the country's water treatment chemicals market during the forecast period.

North America is estimated to grow at a CAGR of 3.5% over the forecast period. Increasing industrial and municipal demand for water and wastewater treatment and the necessity for safe potable water treatment due to contamination and scarcity of pure water are the primary forces propelling the market. By enforcing potable water and wastewater regulations, the Environmental Protection Agency (EPA) of the United States stimulates the demand for chemicals utilized in water treatment.

Europe is anticipated to grow substantially, propelled by heightened urbanization and climatic fluctuations. The Drinking Water Directive, the Urban Waste Water Directive, and the Water Framework Directive, which govern the management of water resources, discharge of municipal and industrial effluent, and quality of potable water across the European Union, are the primary drivers of the market.

Latin America, the Middle East, and Africa are anticipated to experience substantial growth throughout the forecast period. This growth will be propelled by the burgeoning construction and oil and gas sectors and the increasing need for wastewater treatment to address water scarcity and population expansion. In these particular regions, the primary markets for water remediation chemicals are Brazil, South Africa, and Saudi Arabia.

Segmental Analysis

The global industrial water treatment chemicals market is segmented based on type, end-use.

The market is further segmented by type into Coagulants, pH adjusters and softeners, Flocculants, Biocides and disinfectants, Scale inhibitors and dispersants, Corrosion inhibitors.

Coagulants and Flocculants are pivotal in wastewater treatment processes, facilitating the removal of suspended solids and other contaminants. The rising scarcity of clean water has heightened the demand for wastewater recycling in industries such as oil and gas, power generation, and chemical processing. The use of aluminum sulfate (a common coagulant) in municipal water treatment to remove impurities and improve water clarity.

pH Adjusters and Softeners help maintain the optimal pH levels in water, crucial for preventing corrosion and scaling in industrial equipment. The addition of lime in water treatment to neutralize acidic water.

Biocides and Disinfectants are essential for controlling microbial growth and ensuring the safety and quality of industrial water. Chlorine and its compounds are widely used to disinfect water and prevent the growth of harmful bacteria.

The market is further segmented by end-use into Power generation, Chemical industry.Refineries, Pulp and paper, Metal and mining, Food and beverage, Oil and gas, Sugar.

The power generation sector requires substantial water for cooling and other processes. The growing energy demand drives the need for effective water treatment chemicals. The use of corrosion inhibitors in power plants to protect cooling systems.

The chemical sector generates significant wastewater, necessitating advanced treatment solutions to meet regulatory standards. The application of coagulants and flocculants in treating wastewater from chemical manufacturing.

Water treatment is crucial in refineries to remove contaminants and prevent corrosion in processing equipment. The use of biocides to prevent microbial growth in cooling water systems.

Impact of covid-19

The COVID-19 pandemic has had drastic effects across all industrial sectors globally. However, the growth of managed file transfer has slightly increased amidst the pandemic on account of increasing business operations digitally. This enables enterprises to adopt managed file transfer to improve the cybersecurity and mitigate the risk of cyber threats and attacks. For instance, Google Mail detected about 18 million malware and phishing emails and over 240 million spam messages related to COVID-19 every day. This has compelled the enterprises to adopt managed file transfer solutions to improve cybersecurity.

Recent Developments

• January 2024- An innovative approach to rapidly remove micropollutants from water using zwitterionic hydrogels. Using zwitterionic hydrogels, scientists from the Department of Chemical Engineering at MIT have developed a sustainable method for removing micropollutants from water.
• December 2023- Samyang introduced Trilite EDI (Electrodeionizer) and Trilite RO membrane, two new industrial water treatment products. These products are essential in the manufacturing process of ultrapure water for semiconductors, displays, and electronic products, as they are utilized to eliminate impurities via high-performance filters and electricity.