North American Pump Industries Set to Benefit Through to 2025

pump industry forecastIn a report released in December 2016 by Grand View Research, a US-based market research and consulting company, the global market for industrial pumps is forecast to undergo significant growth. From USD 50 billion in 2015, the market value is predicted to reach USD 88 billion by 2025

This pump industry forecast for growth is largely attributed to projected investment in infrastructure development in the emerging markets of Africa and the Asia-Pacific region. Despite some concerns to the contrary, this can be great news for the North American pump industry. It is set to benefit from several regional, product and market sector opportunities over the next eight years.

Regional Growth Forecast

The Asia-Pacific region is predicted to exhibit the fastest growth for the industrial pump market. The massive Chinese economy combined with the dynamic emerging economies of India and Indonesia will drive the demand for infrastructure and manufacturing development. This region accounted for more than 45% of market share in 2015 and growth is forecast to continue.

Industrial pumps will be needed for infrastructure development in the Middle East, including Saudi Arabia and the UAE. There is evidence that Brazil will be making large investments in wastewater treatment. Mexico is another country where demand for US pumps is growing.

Demand from Various Market Sectors

There are a number of global market sectors and industries that will fuel increased demand for industrial pumps:

  • The food, beverage, water and wastewater treatment industries are expected to grow in line with the increase and urbanization of the global population. China and India should lead that demand for pumps.
  • India has also approved increased investment in the petrochemical and polymer industry.
  • Industrial pumps will be needed for the processing of oil and shale gas in Russia and Ukraine.
  • Strengthening economies of countries in the Asia-Pacific region will present opportunities in construction, power generation and manufacturing.
  • Demand in North America and Europe will continue to grow.
  • It is too soon to forecast accurately what will happen for petrochemical pumping industries in the US, but with the installation of a new President and his green light to the Keystone and Dakota Access pipelines, the indicators appear strong.

Growth Forecast of Product Segments

Grand View Research’s study also forecast the growth of industrial pump demand by product segment. Suitable for pumping applications in most industries, centrifugal pumps formed the largest product segment in 2015 with over 70% of market share. This is largely due to the product’s low capital and maintenance costs, and its long service life.

Centrifugal pumps are predicted to show the most product growth, accounting for over 6% CAGR from 2016 to 2025. Additionally there will be a rise in demand for other product segments, including reciprocating, rotary and diaphragm pumps.

Opportunities for future business growth in the North American pump industry will not be confined to manufacturers. Industrial pump service experts will also be able to expand into new markets where the demand for cost-effective repairs and overhaul of pumps will undoubtedly grow.

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