Investments in Chinese Water, Wastewater Market Set to Double

May 19, 2011
Officials allocated more than $4 billion for the market over the next five years

The Chinese water and wastewater treatment market improved in 2009 with daily wastewater treatment capacity reaching 1.5 million tons and total revenue of about $3.35 billion bolstering the equipment market. With the 11th five-year plan reaching its culmination, the market is preparing for the next five years.

Water investments are set to double in the 12th five-year plan with more than $4 billion allocated for the water and wastewater treatment market. Commercialization and privatization of the Chinese water treatment market will rise to the next level over the next five years.

The overall market offers a wide spectrum of opportunities for water and wastewater treatment market participants. These range from basic treatment equipment, such as filter head, coagulation chemicals, filtering cloth, media and sludge scraper to advanced integrated solutions like membrane bio-reactors, UV/ozone disinfection, bio-activate filtration and sustainable sludge treatment solutions.

However, water production and supply is facing a number of challenges in China due to polluted water bodies as well as poor construction and conditions of the municipal water networks. Inefficient management in the water sector coupled with an under-priced water policy also threatens market prospects. Steps are gradually being taken to maintain market growth along with sustainable solutions.

Source: Frost and Sullivan