Environmental Technology Market Size and Outlook 2031

Report Description

Forecast Period	2027-2031
Market Size (2025)	USD 688.42 Billion
CAGR (2026-2031)	5.91%
Fastest Growing Segment	Municipal
Largest Market	North America
Market Size (2031)	USD 971.57 Billion

Market Overview

The Global Environmental Technology Market will grow from USD 688.42 Billion in 2025 to USD 971.57 Billion by 2031 at a 5.91% CAGR. Environmental technology encompasses solutions and equipment designed to monitor, conserve, and remediate the natural environment, including waste management, water purification, and renewable energy systems. The market is primarily driven by stringent government regulations mandating emissions reductions and the increasing adoption of circular economy principles by the industrial sector. Furthermore, corporate sustainability mandates aimed at improving resource efficiency are accelerating the integration of these technologies across various industries.

One significant challenge impeding market expansion is the substantial initial capital investment required for infrastructure development, which often deters adoption in developing regions. High financing costs and economic uncertainty can delay projects that require intensive upfront funding. According to the Global Wind Energy Council, in 2024, the industry reported a record 117 GW of new global capacity installations. This figure highlights the massive scale of investment and development necessary, which remains a financial barrier for smaller market participants lacking access to robust funding mechanisms.

Key Market Drivers

Implementation of stringent government regulations and global environmental mandates serves as a primary catalyst for the environmental technology sector. Nations are enacting rigorous policies to meet international climate accords, compelling industries to adopt emissions control systems and energy-efficient solutions. These regulatory frameworks reduce investment risks and incentivize private capital flows into green infrastructure and clean tech development. According to the International Energy Agency (IEA), June 2024, in the 'World Energy Investment 2024' report, global investment in clean energy technologies is projected to reach USD 2 trillion in 2024. This influx of capital demonstrates how policy support mechanisms, such as tax credits and sustainability directives, are directly converting regulatory compliance into substantial market opportunities for technology providers.

The accelerated global transition toward renewable energy and low-carbon solutions further propels market growth as utilities and corporations dismantle reliance on fossil fuels. This shift requires extensive deployment of solar panels, wind turbines, and associated grid modernization technologies to manage intermittent energy sources. According to the International Renewable Energy Agency (IRENA), March 2024, in the 'Renewable Capacity Statistics 2024' report, the global renewable generation capacity increased by a record 473 GW in 2023. Beyond energy generation, the market is expanding to address broader ecological challenges created by urbanization and consumption. According to the United Nations Environment Programme (UNEP), in 2024, municipal solid waste generation is projected to grow from 2.3 billion tonnes in 2023 to 3.8 billion tonnes by 2050, underscoring the critical long-term necessity for advanced waste management and recycling innovations within the broader sector.

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Key Market Challenges

The substantial initial capital investment required for infrastructure development acts as a primary restraint on the global environmental technology market. This financial barrier limits the ability of smaller enterprises and developing nations to adopt essential systems for waste management, water purification, and renewable energy. High financing costs further exacerbate this issue by extending the return-on-investment period, making large-scale environmental projects less attractive to investors who prioritize short-term liquidity. Consequently, critical projects are frequently delayed or canceled due to the inability to secure necessary upfront funding.

The sheer scale of infrastructure required to meet environmental goals highlights the magnitude of this financial burden. According to the International Renewable Energy Agency, in 2024, the global renewable generation capacity increased by a record 473 GW during the previous year. This rapid expansion necessitates immense capital allocation, creating a disparity where only well-capitalized entities can participate effectively. As a result, the market experiences uneven growth, with significant lags in regions lacking robust financial mechanisms to support such capital-intensive deployments.

Key Market Trends

Advancements in Direct Air Capture (DAC) and carbon mineralization technologies are fundamentally altering the market by shifting focus from simple emissions reduction to active carbon removal and permanent sequestration. This technological evolution addresses the critical need to decarbonize hard-to-abate heavy industries where electrification is not feasible, creating a new segment of infrastructure dedicated to capturing atmospheric CO2 for storage or utilization in construction materials. The rapid commercialization of these systems is evidenced by the surging global project pipeline, as industrial players race to secure carbon credits and meet net-zero targets. According to the Global CCS Institute, October 2024, in the 'Global Status of CCS 2024' report, the total number of carbon capture and storage projects in the development pipeline reached 628, representing a 60% increase from the previous year.

The expansion of green hydrogen production and electrolyzer infrastructure represents a second transformative trend, driving the convergence of the energy and industrial sectors. Unlike traditional renewable generation which feeds the grid, this trend focuses on deploying advanced electrolysis systems to convert surplus renewable electricity into a zero-carbon fuel source suitable for chemical manufacturing, steel production, and heavy transport. This shift is stimulating massive capital flows into the development of gigawatt-scale production facilities and associated transport logistics, moving the technology from pilot phases to industrial deployment. According to the Hydrogen Council, September 2024, in the 'Hydrogen Insights 2024' report, committed investment for clean hydrogen projects reaching final investment decision (FID) increased to USD 75 billion across 434 projects globally.

Segmental Insights

The Municipal segment represents the fastest-growing category within the Global Environmental Technology Market. This expansion is primarily driven by accelerating urbanization and the critical need for efficient wastewater treatment and solid waste management systems in expanding cities. Local authorities are prioritizing sustainable infrastructure to comply with increasingly stringent ecological mandates. For instance, rigorous regulations enforced by bodies such as the United States Environmental Protection Agency compel governments to modernize aging sanitation facilities. Consequently, significant public investment is being directed toward technologies that ensure regulatory compliance regarding water quality and waste disposal.

Regional Insights

North America maintains a dominant position in the global environmental technology market, driven by the enforcement of stringent environmental standards and robust infrastructure investments. Regulatory bodies like the United States Environmental Protection Agency mandate rigorous compliance regarding industrial emissions and wastewater treatment, which necessitates the adoption of compliant technologies. Additionally, the region experiences high demand for energy-efficient solutions and solid waste management systems due to increasing corporate sustainability initiatives. This combination of legislative pressure and private sector capital allocation ensures the United States and Canada remain central to the development and deployment of environmental solutions.

Recent Developments

In November 2025, Honeywell launched a new biomass conversion technology designed to produce renewable fuels for the marine and aviation sectors. The company announced that this innovation, known as the Biocrude Upgrading process, converts agricultural and forestry waste into lower-carbon drop-in fuels, including sustainable aviation fuel (SAF) and marine fuel. This technology was developed to address decarbonization challenges in hard-to-abate industries by utilizing widely available biomass such as wood chips and crop residues. The President of Honeywell Energy and Sustainability Solutions stated that the modular design of the technology would help accelerate project deployment and reduce installation costs for customers.
In June 2025, Veolia introduced a patented technology called Drop® in Europe, aimed at effectively eliminating "forever chemicals" known as PFAS from waste. The company reported that this breakthrough achieved a destruction efficiency of up to 99.9999% for targeted PFAS compounds during incineration processes operating at temperatures above 900°C. Veolia began deploying this solution across its hazardous waste incineration lines in several countries, including France, Germany, and the United Kingdom. This launch represented a significant advancement in environmental technology, addressing the persistent issue of polymeric and non-polymeric PFAS pollutants in industrial waste streams.
In October 2024, Holcim was selected to receive a grant from the European Union Innovation Fund for its carbon capture and storage project, CarboClearTech, located in Martres-Tolosane, France. The company highlighted that this initiative is part of its broader strategy to decarbonize cement production and marks its seventh large-scale project supported by the EU for carbon capture, utilization, and storage. The CEO of Holcim noted that the project utilizes advanced technologies to capture carbon emissions from cement manufacturing, which are then sequestered to prevent their release into the atmosphere. This development aligns with the company's commitment to achieving net-zero emissions in the construction sector.
In March 2024, Kurita Water Industries established a strategic alliance with Waterplan, a company specializing in water risk management software, to enhance water security for industrial clients. The collaboration was formed to combine Kurita’s water treatment technologies with Waterplan’s data-driven platform, enabling Japanese companies to better measure, respond to, and report on water-related risks. A representative from Kurita Water Industries indicated that the partnership aims to support organizations in mitigating water scarcity and quality issues while improving corporate value. This joint effort focuses on delivering comprehensive solutions that integrate digital risk assessment with practical water management strategies.

Key Market Players

Siemens Aktiengesellschaft
General Electric Company
Honeywell International Inc.
Veolia Environnement SA
Xylem Inc.
Danaher Corporation
Suez SA
Thermo Fisher Scientific Inc.
ABB Ltd
Emerson Electric Co.

By Application	By Component	By Vertical	By Region
Water & Wastewater Treatment Air Pollution Control Waste Management & Recycling Renewable Energy & Energy Efficiency Others	Solutions Services	Residential Municipal Industrial Agriculture Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Environmental Technology Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Environmental Technology Market, By Application:

Water & Wastewater Treatment
Air Pollution Control
Waste Management & Recycling
Renewable Energy & Energy Efficiency
Others

Environmental Technology Market, By Component:

Solutions
Services

Environmental Technology Market, By Vertical:

Residential
Municipal
Industrial
Agriculture
Others

Environmental Technology Market, By Region:

North America

United States
Canada
Mexico

Europe

France
United Kingdom
Italy
Germany
Spain

Asia Pacific

China
India
Japan
Australia
South Korea

South America

Brazil
Argentina
Colombia

Middle East & Africa

South Africa
Saudi Arabia
UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Environmental Technology Market.

Available Customizations:

Global Environmental Technology Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

Detailed analysis and profiling of additional market players (up to five).

Global Environmental Technology Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market

3.2. Overview of Key Market Segmentations

3.3. Overview of Key Market Players

3.4. Overview of Key Regions/Countries

3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Environmental Technology Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Application (Water & Wastewater Treatment, Air Pollution Control, Waste Management & Recycling, Renewable Energy & Energy Efficiency, Others)

5.2.2. By Component (Solutions, Services)

5.2.3. By Vertical (Residential, Municipal, Industrial, Agriculture, Others)

5.2.4. By Region

5.2.5. By Company (2025)

5.3. Market Map

6. North America Environmental Technology Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Application

6.2.2. By Component

6.2.3. By Vertical

6.2.4. By Country

6.3. North America: Country Analysis

6.3.1. United States Environmental Technology Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Application

6.3.1.2.2. By Component

6.3.1.2.3. By Vertical

6.3.2. Canada Environmental Technology Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Application

6.3.2.2.2. By Component

6.3.2.2.3. By Vertical

6.3.3. Mexico Environmental Technology Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Application

6.3.3.2.2. By Component

6.3.3.2.3. By Vertical

7. Europe Environmental Technology Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Application

7.2.2. By Component

7.2.3. By Vertical

7.2.4. By Country

7.3. Europe: Country Analysis

7.3.1. Germany Environmental Technology Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Application

7.3.1.2.2. By Component

7.3.1.2.3. By Vertical

7.3.2. France Environmental Technology Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Share & Forecast

7.3.2.2.1. By Application

7.3.2.2.2. By Component

7.3.2.2.3. By Vertical

7.3.3. United Kingdom Environmental Technology Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Share & Forecast

7.3.3.2.1. By Application

7.3.3.2.2. By Component

7.3.3.2.3. By Vertical

7.3.4. Italy Environmental Technology Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Share & Forecast

7.3.4.2.1. By Application

7.3.4.2.2. By Component

7.3.4.2.3. By Vertical

7.3.5. Spain Environmental Technology Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Application

7.3.5.2.2. By Component

7.3.5.2.3. By Vertical

8. Asia Pacific Environmental Technology Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Application

8.2.2. By Component

8.2.3. By Vertical

8.2.4. By Country

8.3. Asia Pacific: Country Analysis

8.3.1. China Environmental Technology Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Application

8.3.1.2.2. By Component

8.3.1.2.3. By Vertical

8.3.2. India Environmental Technology Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Application

8.3.2.2.2. By Component

8.3.2.2.3. By Vertical

8.3.3. Japan Environmental Technology Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Application

8.3.3.2.2. By Component

8.3.3.2.3. By Vertical

8.3.4. South Korea Environmental Technology Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Application

8.3.4.2.2. By Component

8.3.4.2.3. By Vertical

8.3.5. Australia Environmental Technology Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Application

8.3.5.2.2. By Component

8.3.5.2.3. By Vertical

9. Middle East & Africa Environmental Technology Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Application

9.2.2. By Component

9.2.3. By Vertical

9.2.4. By Country

9.3. Middle East & Africa: Country Analysis

9.3.1. Saudi Arabia Environmental Technology Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Application

9.3.1.2.2. By Component

9.3.1.2.3. By Vertical

9.3.2. UAE Environmental Technology Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Application

9.3.2.2.2. By Component

9.3.2.2.3. By Vertical

9.3.3. South Africa Environmental Technology Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Application

9.3.3.2.2. By Component

9.3.3.2.3. By Vertical

10. South America Environmental Technology Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Application

10.2.2. By Component

10.2.3. By Vertical

10.2.4. By Country

10.3. South America: Country Analysis

10.3.1. Brazil Environmental Technology Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Application

10.3.1.2.2. By Component

10.3.1.2.3. By Vertical

10.3.2. Colombia Environmental Technology Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Application

10.3.2.2.2. By Component

10.3.2.2.3. By Vertical

10.3.3. Argentina Environmental Technology Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Application

10.3.3.2.2. By Component

10.3.3.2.3. By Vertical

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)

12.2. Product Launches (If Any)

12.3. Recent Developments

13. Global Environmental Technology Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry

14.2. Potential of New Entrants

14.3. Power of Suppliers

14.4. Power of Customers

14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Siemens Aktiengesellschaft

15.1.1. Business Overview

15.1.2. Products & Services

15.1.3. Recent Developments

15.1.4. Key Personnel

15.1.5. SWOT Analysis

15.2. General Electric Company

15.3. Honeywell International Inc.

15.4. Veolia Environnement SA

15.5. Xylem Inc.

15.6. Danaher Corporation

15.7. Suez SA

15.8. Thermo Fisher Scientific Inc.

15.9. ABB Ltd

15.10. Emerson Electric Co.

16. Strategic Recommendations

17. About Us & Disclaimer

Report Description

Table of content

Figures and Tables

Frequently asked questions

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