As the world moves towards ever higher standards of production and development, the ultra-pure water market remains poised for significant growth. The value creation within this sector paints a compelling picture for potential investors and stakeholders. Predominantly driven by its increasing application, particularly in the pharmaceutical and semiconductor industries, the opportunities surrounding ultra-pure water are virtually limitless.
The role of ultra-pure water within the semiconductor industry cannot be overstated. Considered an industrial solvent, it is exceedingly purified to accommodate the stringent requirements of various contaminant types found in the sector. The correlation between ultra-pure water and the booming semiconductor industry is symbiotic. The larger the latter grows, the greater the demand for the former, demonstrating the secure, long-term benefits of this investment.
Furthermore, the Asia-Pacific region showcases a remarkable demand trend for ultra-pure water, signalling a high potential for market growth. Fueled by demands from China, India and Japan, dominance of this market is predicted to remain within this geographical hemisphere. With these countries already being influential players in the global pharmaceutical and semiconductor industries, the demand for ultra-pure water is not likely to wane but rather continue to increase dramatically.
This comprehensive report, enriched by sector-specific insights and the regions driving growth, paints a compelling picture for the ultra-pure water market. A necessary resource for strategic decision-making and forward planning, don’t miss the opportunity to stay ahead of the curve.
- The demand for ultra-pure water decreased in a few industries due to COVID-19; however, the application of ultra-pure water increased in the pharmaceutical industry. Post-pandemic, the demand for ultra-pure water has been increasing significantly in various industries, including semiconductors, pharmaceuticals, and power generation.
- In the short term, the semiconductor industry's growing need for ultra-pure water and the pharmaceutical industry's growing use of it are likely to drive market growth.
- On the flip side, the high water consumption for purification is expected to hinder the market's growth.
- The increasing efficiency of the purification process will offer new growth opportunities to the industry during the forecast period.
- The Asia-Pacific region dominated the market across the world, with the highest consumption coming from countries such as India, China, and Japan.
Ultra-pure Water Market Trends
Increasing Applications in the Semiconductor Industry
- Ultra-pure water can be regarded as an industrial solvent. It is purified to the most stringent standards for all contaminant types, including organic and inorganic compounds, dissolved and particulate matter, and dissolved gases.
- The semiconductor industry, one of the world’s largest in terms of added value, is a business that demands the utmost purity of water. A single 8-inch silicon wafer, the basis for about 100 chips, can require up to 7,500 liters of water to produce, and about two-thirds of the water must be ultra-pure water.
- Semiconductor plants use ultra-pure water as a cleaning agent. The water mustn't contain dissolved contaminants that can precipitate or particles that may lodge on circuits and cause microchip failures. The rapidly growing semiconductor industry is, in turn, driving the market demand for ultra-pure water.
- The Semiconductor Industry Association says that the global semiconductor industry will make a total of USD 556 billion in sales in 2021. This will be the highest annual total ever and a 26.2% increase from the total of USD 440 billion in 2020.
- Additionally, the global semiconductor industry continues to invest heavily in capital expenditure in 2022, spending over USD 166 billion to meet the long-term demand for chips. Besides this, the United States is also investing heavily in the semiconductor industry. For instance, the country invested USD 50.2 billion in the R&D of the semiconductor industry.
- So, the studied market is likely to be driven by the above factors during the forecast period.
Asia-Pacific Region to Dominate the Market
- The Asia-Pacific region is expected to dominate the ultra-pure water market during the forecast period. Due to the high demand from countries like China, India, and Japan, the market for ultra-pure water has been growing.
- In China, semiconductor sales reached USD 14.47 billion in March 2021, registering an increase from March 2020, when sales in China reached USD 11.52 billion.
- China is the second-largest market for pharmaceuticals globally. The pharmaceutical market is growing rapidly, owing to the growing middle class and aging society in the country, rising incomes, and increasing urbanization. China's pharmaceutical market has been constantly growing in recent years and is estimated to reach USD 161.8 billion by 2023, taking a 30 percent share of the global market.
- Furthermore, the surging pharmaceutical industry in India is also likely to drive the regional demand for ultra-pure water. India’s domestic pharmaceutical market stood at USD 42 billion in 2021 and is likely to reach USD 65 billion by 2024 and further expand to reach USD 120-130 billion by 2030. The FDI inflows in the Indian drugs and pharmaceuticals sector reached USD 19.90 billion between April 2000 and June 2022.
- The Indian government’s plan to promote semiconductor manufacturing may have a bright future. The government has been working on a scheme to boost the local manufacturing of semiconductors. Companies like Intel are expected to be among their top targets.
- In the coming years, the market for ultra-pure water is likely to be driven by all of the above factors.
Ultra-pure Water Market Competitor AnalysisThe ultra-pure water market is partially fragmented, with players accounting for a marginal share of the market. A few major companies include Veolia, Suez, Evoque, 3M, and Kurita (not in any particular order).
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Table of Contents1 INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1.1 Growing Demand from the Semiconductor Industry
4.1.2 Growing Pharmaceutical Industry
4.2.1 High Consumption of Water for Purification
4.3 Industry Value Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Degree of Competition
5 MARKET SEGMENTATION (Market Size in Value)
5.1.4 Other Applications
5.2 End-user Industry
5.2.3 Power Generation
5.2.4 Other End-user Industries
126.96.36.199 South Korea
188.8.131.52 Rest of Asia-Pacific
5.3.2 North America
184.108.40.206 United States
220.127.116.11 United Kingdom
18.104.22.168 Rest of Europe
5.3.4 South America
22.214.171.124 Rest of South America
5.3.5 Middle-East and Africa
126.96.36.199 Saudi Arabia
188.8.131.52 South Africa
184.108.40.206 Rest of Middle-East and Africa
6 COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share**/Ranking Analysis
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.2 Applied Membranes Inc.
6.4.5 Komal Water Industries
6.4.6 Kurita Water Industries Ltd.
6.4.8 Organo Corporation
6.4.10 Pentair PLC
6.4.11 RODI Systems Corporation
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Increasing the Efficiency of the Purification Process
A selection of companies mentioned in this report includes:
- Applied Membranes Inc.
- Komal Water Industries
- Kurita Water Industries Ltd.
- Organo Corporation
- Pentair PLC
- RODI Systems Corporation