Global Desalination Market Size and Share Analysis - Growth Trends and Forecast Report 2025-2033

Global Desalination Market Trends & Summary

The desalination market is expected to expand tremendously, reaching close to US$ 40.28 billion by 2033 from US$ 17.64 billion in 2024. This expansion is fueled by mounting global water shortages and escalating demand for potable water. With a compound annual growth rate (CAGR) of 9.61% between 2025 and 2033, technological innovations in desalination and government spending are set to drive market growth.

Global Desalination Market Report by Technology (Reverse Osmosis, Multi-stage flash (MSF) Distillation, Multi-effect (MED) distillation, and Others), Application (Municipal, Industrial, Others), Water Source (Seawater, Brackish Water, River Water, and Others), Regions and Company Analysis 2025-2033

Global Desalination Market Outlooks

Water desalination separates dissolved salts, minerals, and impurities from seawater, brackish water, or wastewater to yield fresh, drinkable water. It is done via different technologies, the most prevalent of which is reverse osmosis (RO) in which water is passed through a semi-permeable membrane, and thermal desalination in which water is heated to precipitate salts.

The main application of desalinated water is to supply drinking water in areas experiencing water shortage, especially in arid and semi-arid regions with scarce freshwater resources. It is crucial for nations such as Saudi Arabia, the UAE, and Israel, which depend greatly on desalination to obtain their water supply. Moreover, by providing quality water, desalination aids industrial processes, especially in the oil and gas, power generation, and manufacturing industries. Agriculture also employs it to irrigate water-scarce regions and tourist spots to provide a consistent water supply. Desalination is crucial in solving global water issues.

Growth Drivers in the Global Desalination Market

Growing Water Scarcity

Growing water scarcity as a result of population growth, industrialization, and climate change heavily drive the desalination market. Most parts of the world experience acute water shortages, particularly in arid and semi-arid regions. Desalination is a stable supply of freshwater obtained by transforming seawater and brackish water into drinking water. The process is widely accepted as a renewable solution to solve the increasing need for fresh water worldwide. Approximately four billion people — nearly two-thirds of the world's population — face critical water shortages for at least a month every year. More than two billion individuals reside in nations with insufficient supplies of water. By as early as 2025, the world may have half of its population residing in water-scarce regions. Also, by 2030, approximately 700 million people may be displaced due to extreme water shortages. By 2040, about one in every four children globally will be living in regions with extremely high water stress.

Technological Advancements in Desalination

Technological advancements, including reverse osmosis, multi-effect distillation, and energy recovery systems, are propelling the expansion of the desalination industry. These technologies have enabled desalination operations to be more energy-efficient and economical, minimizing environmental footprints. Better membrane technology and automation have also boosted operational efficiency, making desalination a feasible option for water-scarce areas across the world. December 2023, R-evolution, Hexagon AB's green-tech investment and sustainable innovation pillar, is establishing a desalination program to address freshwater scarcity. It will leverage Hexagon's technology to offer digital twin solutions that help improve efficiency, replicability, and scalability in desalination plants across the world.

Government Initiatives and Investments

Government agencies around the world are putting significant investments in desalination projects to create water security for their citizens. Public-private collaborations, subsidies, and supportive policies are accelerating the construction of desalination plants. Middle Eastern, North African, and Asia-Pacific nations are at the forefront of desalination capacity growth, spurred by strategic government efforts to address the increasing water demand. In September 2023, Saudi Arabia's Crown Prince and Prime Minister revealed the establishment of a Global Water Organization in Riyadh. This organization will support global efforts toward sustainable water security and provide financing for high-priority projects, investing more than $6 billion in water and sanitation projects on four continents. Moreover, in April 2022, Saudi Arabia initiated a cloud seeding initiative to increase water security as a more sustainable option compared to energy-demanding desalination.

Challenges in the Global Desalination Market

High Energy Consumption and Costs

Desalination technologies are energy-intensive and account for a large portion of operational expenses. The use of non-renewable energy sources for desalination is also a concern for environmental sustainability. Although energy consumption has been minimized through advances, the cost of installing and maintaining desalination facilities is still a challenge, particularly for poor nations.

Environmental Impact

Desalination produces brine as a waste product, which is damaging to marine environments when released into oceans. Energy demands usually mean increased carbon emissions, further fueling environmental issues. Finding balance between the requirement for freshwater and reducing ecological impact is a huge challenge the industry has to overcome through innovation and regulation.

Reverse Osmosis Desalination Market

Reverse osmosis (RO) is the most extensively used desalination technology as it is energy efficient and economical. The desalination market using RO technology is expanding as new membrane technologies decrease energy intake and operating expenditure. RO devices are used in municipal and industrial purposes for obtaining high-quality drinking water. Due to rising investment in research and development, the desalination market using RO technology is likely to expand even further, with water scarcity receiving sustainable solutions.

Municipal Desalination Market

The municipal desalination industry serves urban markets that are experiencing freshwater shortages. Governments and local authorities are putting in place big-scale desalination plants to address increased demand for potable water. Public-private partnerships and sophisticated technologies are propelling this market segment. Municipal desalination provides a reliable supply of water for household and public consumption, assuming a major importance in water-scarce areas, especially in the Middle East, Asia-Pacific, and selected regions of the United States.

Industrial Desalination Market

Industrial desalination provides industries such as energy, manufacturing, and petrochemicals with the large amounts of fresh water they need to operate. The market grows as industries turn to desalination to provide a reliable water supply and decrease reliance on natural freshwater resources. Energy recovery innovations and tailored desalination solutions for particular industrial applications fuel growth, enabling industries to stay sustainable and compliant with regulations.

Seawater Desalination Market

The seawater desalination industry leads the world in the desalination business because of its enormous availability. Seawater desalination is becoming increasingly energy-efficient and eco-friendly with the help of advanced technologies like reverse osmosis and multi-effect distillation. This market segment is very important for nations with long coastlines and limited freshwater resources, like the UAE, Saudi Arabia, and Australia, to provide long-term water security for urban and industrial use.

River Water Desalination Market

River water desalination is picking up momentum in areas where there are brackish river water resources. The market segment deals with supplying potable and processed water for municipal and industrial applications. Nanofiltration and reverse osmosis are most commonly applied for the removal of impurities and salinity. Increasing demand for treated water for agricultural and industrial purposes stimulates investment in river water desalination schemes to optimize and ensure sustainability of resources.

USA Global Desalination Market

The American desalination market is increasing with increasing water scarcity in Arizona, Texas, and California. The nation is investing in modern desalination technologies, such as reverse osmosis and integration of renewable energy, to satisfy the mounting demand for fresh water. Private sector investment and federal and state government support are propelling the construction of desalination plants, providing a sustainable water supply for urban and agricultural purposes. Nov 2024, Kubota Corporation has made an investment in OceanWell Co., a California, USA-based startup that is working on new deep-sea desalination technology.

Germany Global Desalination Market

Germany's desalination market is industrial-oriented, with major applications in the chemical and manufacturing industries. The nation prioritizes energy-efficient and eco-friendly solutions, which are propelling innovation in desalination technologies. Germany also funds research and development projects to enhance desalination efficiency, making it a front-runner in sustainable water treatment solutions in Europe and the world. Oct 2023, German firm Boreal Light has finished Europe's biggest solar water desalination system in Mykolaiv, southern Ukraine. The 460 kWp system has the capacity to produce 125 cubic meters of clean water per hour.

China Global Desalination Market

China's desalination industry is growing strongly because of growing water scarcity and urbanization. The government's emphasis on developing infrastructure and water security is pushing investments in desalination initiatives. Seawater desalination plants are increasingly being adopted in coastal areas, while collaborations with global players and technological improvements are boosting China's desalination capacity. May 2024, Veolia Water Technologies, part of the Veolia group, has opened its first ion exchange regeneration plant in China. This cutting-edge facility recycles efficiently spent ion exchange resins, fostering sustainability and resource efficiency.

UAE Global Desalination Market

The UAE is the world leader in desalination, fueled by its desert climate and dependence on non-conventional water resources. The nation heavily invests in cutting-edge desalination plants based on reverse osmosis and other energy-saving technologies. The UAE also incorporates renewable energy, including solar power, into desalination processes to minimize environmental footprints, promoting long-term water security and sustainability. May 2024, Veolia will provide and design major technology for the Hassyan seawater desalination plant in Dubai, UAE, to be the second largest reverse osmosis plant in the world and the largest powered solely by solar power.

Desalination Market Segments

Technology

1. Reverse Osmosis
2. Multi-stage flash (MSF) Distillation
3. Multi-effect (MED) distillation
4. Others

Application

1. Municipal
2. Industrial
3. Others

Water Source

1. Seawater
2. Brackish Water
3. River Water
4. Others

Countries

North America

• United States
• Canada

Europe

• France
• Germany
• Italy
• Spain
• United Kingdom
• Belgium
• Netherlands
• Turkey

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Thailand
• Malaysia
• Indonesia
• New Zealand

Latin America

• Brazil
• Mexico
• Argentina

Middle East & Africa

• South Africa
• Saudi Arabia
• UAE

All the Key players have been covered from 4 Viewpoints:

• Overview
• Key Persons
• Recent Development
• Financial Insights

Key Players Analysis

1. Acciona
2. Dow
3. Evoqua Water Technologies
4. Siemens AG
5. DuPont
6. Doosan Enerbility
7. Toray Industries, Inc.
8. Xylem

Report Details:

Report Details: