Global Water Infrastructure Pumps 2022-2026

The global demand for pumps in the water infrastructure market is forecast to increase 3.4% per year to $13.5 billion in 2026, driven by ongoing investment in utilities infrastructure in industrializing countries. Recovery from the impact of the COVID-19 pandemic will also contribute to rising spending on new water utilities projects in higher-income countries.

Pandemic-Related Growth Continuing into 2022

While the water infrastructure pumps market contracted in 2020, losses were not as severe as in many other industries, due to the high levels of repair and replacement demand driving sales in the market and the critical need to maintain water utilities systems.

The industry posted a strong rebound in 2021 despite ongoing pandemic impacts, and continued recovery is expected going forward. Supply chain issues - including shortages of raw materials and electronic components - prevented many pumps producers from fully meeting new orders taken in 2021. While revenues from many of these sales could be realized in 2022, supply chain disruptions continue to pose an issue and could lead to further delays in deliveries.

Solar Water Pumps Hold Potential in Developing Countries

Sales of solar water pumps - which are used for agricultural and domestic water supply in off-grid rural areas - are rapidly increasing, with particularly strong potential in South Asia and sub-Saharan Africa. These regions possess abundant solar resources and have large populations living away from municipal water grids.

While these products are becoming more common, suppliers have struggled to deploy them as rapidly as called for by ambitious government targets. The high upfront costs of solar water pump systems represent a barrier to adoption, as the target markets for these products tend to be very price sensitive. However, the long-term cost savings associated with these products show a path to economic viability if effective financing strategies can be developed.

Desalination Market Expanding

Desalination systems are expected to be an increasingly important component of global water supply going forward, and sales of pumps to support these systems are projected to post strong growth. In recent history, this market has been primarily driven by Middle East countries, where oil wealth has allowed for high levels of investment in advanced systems to provide water to the arid region. However, desalination plants are increasingly being constructed worldwide, driven by both improving technology and concerns that climate change could contribute to increased issues with water scarcity. Going forward, the biggest potential for growth will occur in South Asia, most notably India, where the supply of potable water remains a concern.