Water Desalination Equipment Market Size, Share & Trends Analysis Report By Technology (Reverse Osmosis, Multi-stage Flash (MSF) Distillation), By Source (Sea Water, River Water), By Application (Industrial, Municipal), By Region, And Segment Forecasts, 2025 - 2030

Water Desalination Equipment Market Summary

According to the World Economic Forum, global freshwater demand is projected to exceed supply by 40% by 2030, leaving an estimated 1.6 billion people without access to safely managed drinking water. Currently, approximately 4 billion people live in water-scarce regions, and one in four cities faces water insecurity.

As water scarcity intensifies, the demand for desalination equipment is growing to bridge the widening gap between supply and demand. Water is a fundamental resource for daily life and plays a critical role in industrial and construction activities. According to the U.S. Geological Survey (USGS), approximately 71% of the Earth’s surface is covered by water, with 96.5% found in oceans, seas, and bays as saline water. Only 3.5% of the world’s water is freshwater, sourced from groundwater, rivers, streams, and lakes, making its availability and sustainable management crucial for human and industrial needs.

Market Concentration & Characteristics

The market growth stage is high, and the pace of growth is accelerating. The water desalination equipment industry is characterized by a high degree of innovation owing to rapid technological advancements. Key trends include intelligent and automated systems, which use IoT-enabled sensors and devices to monitor and control various aspects of the desalination process, such as water quality, energy consumption, and equipment performance. This real-time data collection and analysis enables predictive maintenance, allowing operators to identify and address potential issues before they lead to breakdowns or disruptions. By minimizing downtime and optimizing operations of water desalination equipment, these systems contribute to increased plant efficiency and cost-effectiveness.

Regulations significantly impact the global water desalination equipment market by shaping operational practices and market dynamics. Governments and regulatory bodies around the world enforce stringent standards to safeguard environmental and public health, and these regulations play a critical role in influencing the design, operation, and expansion of desalination facilities.

Regulations regarding the prevention of contaminants, such as brine, can drive up operational costs as companies invest in advanced treatment technologies and systems to comply with these requirements. In regions with rigorous environmental regulations, the increased costs of compliance can slow down the pace of new desalination projects and impact market growth.

Drivers, Opportunities & Restraints

The rising population in urban areas worldwide is straining the existing natural water sources. Deteriorating environmental conditions such as altered weather patterns, increased pollution, and deforestation have resulted in water shortages and drought-like scenarios globally. The governments of various countries are investing in the development of desalination plants to counter this challenge, which, in turn, is projected to drive the market growth.

The initial cost of desalination equipment, such as reverse osmosis membranes and multi-stage flash (MSF) systems, can be high. Ongoing maintenance and replacement of components like membranes also add to long-term costs, limiting widespread adoption.

Governments and private entities are focusing on sustainable water solutions, leading to increased investments in desalination infrastructure and equipment. This trend is particularly prominent in regions like the Middle East, Australia, and parts of Europe and Asia.

Source Insights

The seawater segment led the market and accounted for 60.3% of the global revenue share in 2024, driven by the abundance and widespread availability of seawater. As coastal regions face increasing scarcity of freshwater, seawater offers a reliable and consistent source for desalination. The ability to tap into the vast oceanic resources ensures a steady supply of potable water, especially in regions prone to droughts, population growth, and limited access to natural freshwater sources. This makes seawater a preferred choice for desalination, driving its adoption globally.

The brackish water segment is estimated to witness growth at a CAGR of 9.5% over the forecast period. One of the major advantages of desalinating brackish groundwater, compared to seawater, is its recovery rate. Seawater desalination yields around 50% of its volume in freshwater, whereas brackish water yields about 90% freshwater.

Technology Insights

The reverse osmosis segment dominated the market in 2024 accounting for 55.9% of the revenue share. Reverse Osmosis is widely adopted due to its energy efficiency, lower operational costs, and the ability to produce high-quality freshwater. Technological advancements in membrane materials and system design have made RO increasingly cost-effective, making it popular for both large-scale and smaller desalination projects.

The adoption of MSF distillation is driven by its ability to handle high salinity levels in seawater, making it ideal for large-scale desalination. Its proven reliability and capacity to operate in various environmental conditions also make it a preferred choice in regions with limited freshwater resources.

Application Insights

The municipal application segment led the market and accounted for 52.2% of the global revenue share in 2024. The municipal sector is responsible for providing potable water to the urban population around the world. Moreover, the growing urban population coupled with expanding megacities globally is anticipated to limit the capacity of municipal sectors to provide water. Thus, this sector is expected to emerge as a key segment that will aid the Water Desalination Equipment growth over the forecast period.

The market for water desalination equipment is witnessing significant growth, driven by increasing demand across various industrial applications. Industries such as power generation, oil & gas, mining, food & beverage, and pharmaceuticals require large volumes of water for operations, making desalination a vital solution in water-scarce regions. In power plants, desalinated water is essential for cooling systems and steam generation, while in the oil & gas sector, it is used for enhanced oil recovery and process water needs.

Regional Insights

Middle East & Africa Water Desalination Equipment Market Trends

Middle East & Africa led the water desalination equipment industry and accounted for 49.6% of the global revenue share in 2024. The Middle East & Africa (MEA) market is witnessing significant growth, driven by extreme water scarcity, rapid urbanization, and expanding industrial activities. The Middle East, home to some of the most water-stressed nations, relies heavily on desalination to meet municipal and industrial water demands. Countries such as Saudi Arabia, the UAE, and Qatar have made substantial investments in large-scale desalination projects, utilizing technologies like reverse osmosis (RO) and multi-stage flash (MSF) distillation.

North America Water Desalination Equipment Market Trends

The North America water desalination equipment industry is experiencing steady growth, driven by increasing water scarcity, rising industrial demand, and stringent environmental regulations. The region faces growing pressure on freshwater resources due to climate change, population growth, and industrial expansion, particularly in water-stressed areas such as California, Texas, and parts of Mexico. With advancements in energy-efficient desalination systems and growing demand for brackish and seawater treatment solutions, North America is expected to remain a key market for desalination equipment in the coming years.

U.S. Water Desalination Equipment Market Trends

The U.S. water desalination equipment industry held a majority regional revenue share of 76.1% in 2024. The country’s market is expanding considerably, due to increasing concerns about water scarcity and the urgent need for reliable, sustainable water sources.

Europe Water Desalination Equipment Market Trends

In Europe, the water desalination equipment industry is experiencing steady growth, driven by increasing concerns over water scarcity, especially in southern regions. Countries like Spain, Italy, and Cyprus are adopting advanced desalination technologies such as MSF and reverse osmosis to ensure water security for agriculture, urban areas, and industries. This growth is also fueled by the region's focus on sustainability and innovative water management solutions to cope with climate change and population pressures.

Spain water desalination equipment market is expected to grow during the forecast period. Spain is a key player in Europe’s market, with a growing reliance on both MSF and reverse osmosis technologies to tackle water scarcity, particularly in its arid southeastern regions. The country has been at the forefront of desalination adoption, using these solutions to support agriculture, tourism, and domestic water supply, while also focusing on integrating renewable energy to reduce environmental impact and operational costs.

The water desalination equipment market in Greeceis anticipated to grow at a CAGR 9.6% over the forecast period driven by the increasing demand for freshwater, particularly in its island regions facing water scarcity. With a growing focus on sustainable water solutions, Greece is investing in both MSF and reverse osmosis technologies to meet its water needs while ensuring reliable, year-round water supply for agriculture, tourism, and local populations.  

Asia Pacific Water Desalination Equipment Market Trends

The water desalination equipment industry in Asia Pacific is experiencing robust growth, largely propelled by the growing population, rapid urbanization, extensive agriculture development, and intensified industrialization that have strained the region's existing water resources. A substantial proportion of the region’s population faces water scarcity, and government initiatives to address the condition are expected to foster market growth.

The Australia water desalination equipment market is projected to expand at a CAGR of 11.5% over the forecast period. In Australia, the desalination market is expanding rapidly due to the country's recurring droughts and increasing water scarcity, particularly in coastal urban areas. With a focus on ensuring a reliable water supply for cities like Perth, Melbourne, and Sydney, Australia is investing in both MSF and reverse osmosis technologies. .

The water desalination equipment market in China held a 40.8% share of the Asia Pacific market. In China, the desalination market is rapidly growing as the country faces increasing water stress in coastal and arid regions. With a focus on addressing water shortages and supporting industrial and agricultural demands,

Latin America Water Desalination Equipment Market Trends

In Latin America, the water desalination equipment industry is expanding as countries in the region, particularly coastal areas, face challenges with water scarcity and pollution. As demand for freshwater rises due to population growth, agriculture, and tourism, nations like Chile and Argentina are increasingly turning to MSF and reverse osmosis technologies to secure reliable water sources. These solutions are becoming integral in ensuring water sustainability and supporting economic growth in the face of climate change and resource limitations.

Key Water Desalination Equipment Company Insights

Some of the key players operating in the market include Xylem, Inc. Veolia, among others.

• Xylem, Inc is a global water technology company engaged in the manufacturing, designing, and servicing of products that primarily cater to the water sector as well as the electric and gas sectors. The company owns numerous brands such as Aanderaa, AC Fire, Bell & Gossett, Bellingham + Stanley, CentriPro, ebro, Godwin,0 Flygt, Flojet, and Goulds Water Technology.

• Veolia is a multinational company engaged in the designing and distribution of water, waste, and energy management solutions. It operates through three business segments, namely water management, waste management, and energy management.

Recent Developments

• In May 2023, Xylem Inc. announced the completion of its acquisition of Evoqua Water Technologies LLC, a company involved in manufacturing pretreatment systems for water desalination in addition to other essential water treatment solutions and services. The all-stock deal, valued at around USD 7.5 billion, merges the companies to form an advanced platform for tackling critical water challenges faced by customers and communities worldwide.

• In November 2023, Aquatech, through its subsidiary QUA Group LLC, announced the launch of three new membrane technologies to expand its product portfolio. These newly launched technologies cater to a range of water treatment requirements.

Water Desalination Equipment Report Scope

Global Water Desalination Equipment Market Report Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global water desalination equipment market report based on source, technology, application, and region:

• Source Outlook (Revenue, USD Million, 2018 - 2030)

  • Seawater

  • Brackish water

  • River water

  • Others

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • Reverse Osmosis (RO)

  • Multi-stage Flash (MSF) Distillation

  • Multi-effect Distillation (MED)

  • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Industrial

  • Municipal

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Spain

    • Greece

    • Italy

    • Germany

  • Asia Pacific

    • China

    • India

    • Australia

    • Japan

  • Latin America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • UAE