The dewatering pumps market is expected to grow at year-on-year rate of 5.3%, reaching a value of about US$9.5bn by 2028. The global dewatering pumps market is driven by demand from ongoing infrastructure projects. Future Market Insights (FMI) has projected the market to register a CAGR of 5.3% by value during the period of 2022-2028.
Apart from wastewater treatment plants, water reclamation and resource recovery stations are also exhibiting high demand for dewatering pumps in China. According to the study, China is estimated to dominate the Asia dewatering pumps market with a CAGR of 6% by value over the forecast period.
Japan is committed to a higher standard of living and a sustainable environment; as a result, it invests heavily in wastewater treatment and drinking water capacity expansion. Dewatering pumps will consequently become more popular as a result.
With the expansion of residential complexes, industrialisation, and the mining sector, the need for dewatering pumps is increasing. Dewatering pumps are used to remove excess water from construction and mining sites. They are transportable equipment that are used in subsurface excavation for foundations and basement space building, and are positioned at construction sites with lower ground levels to manage and maintain groundwater levels.
According to FMI, the dynamics of the dewatering pumps market, which is primarily influenced by residential complex expansion, industrialisation, and the mining industry, will be the subject of a comparison and review study. Increased hydraulic fracturing production to support oil and gas operations will foster market expansion.
Long-term tie-ups with engineering procurement and construction (EPC) companies are expected to provide high and stable sales to international manufacturers of dewatering pump. Most sales of small and medium capacity pumps take place through distributors and retailers, which generally hold multi-branded and a variety of products at their shelves.
The global dewatering pumps market is identified as a fairly concentrated market with the organised sector having a share of around 49% of the global market followed by Tier 2 and small-scale manufacturers. The principal aim of the manufacturers has been the expansion of market footprint via extension of their product portfolio and strengthening of the sales and distribution network.
Providing integrated offerings through a diverse range of products and developing strong distribution and aftersales service network at regional and local level can provide opportunities for growth. To gain competitive advantage, strong focus on lifecycle costs analysis, including reducing operating costs through energy-efficient solutions, is required for product differentiation.
New sources of water trigger high demand
Governments of emerging economies in Asia-Pacific, Middle East and North Africa (MENA), particularly in South Africa, Morocco and UAE, are focused on improving drinking water facilities in urban and rural areas. Also, exploration of new water sources is expected to increase sales of pumps with enhanced capacity and efficiency for agricultural and domestic applications. Desalinisation projects are also expected to contribute to adoption of pumps, as an estimated 60% of the world is still without running water.
The ASEAN region is witnessing an increase in water supply and sanitation projects by governments, which is likely to boost sales of centrifugal pumps for domestic and agricultural applications. It has been estimated that only 50% of the global population has access to drinking water from a piped connection providing running water in their homes or compounds. As per the analyst, the demand for dewatering pumps across the globe, especially in ASEAN countries will increase owing to these reasons.
Low priced China-based pumps hinder market growth
The presence of numerous Chinese players who are offering low-priced pumps acts as a restraint to most regional and global players offering pumps. The surging price pressure from these players is influencing the main suppliers to offer high-quality, reliable, efficient, and technologically advanced pumps at competitive prices. However, the price sensitive nature of the market is a restraining factor on overall revenue growth potential of the global pump market.
Emergence of China as a major producer of low-cost pumps has disrupted the market. To overcome this, international pump vendors need to differentiate their products through various additional services and integration of advanced technologies.