Secondary Water & Wastewater Treatment Equipment in United States Trends and Forecast
The future of the secondary water & wastewater treatment equipment market in United States looks promising with opportunities in the municipal and industrial markets. The global secondary water & wastewater treatment equipment market is expected to grow with a CAGR of 4.5% from 2025 to 2031. The secondary water & wastewater treatment equipment market in United States is also forecasted to witness strong growth over the forecast period. The major drivers for this market are the growing need for wastewater treatment facilities, stricter laws, and technical integration in the form of novel secondary treatment techniques, such as integrated fixed film activated sludge (IFAS) and moving bed biofilm reactors (MBBR).
• Lucintel forecasts that, within the equipment category, the activated sludge segment is expected to witness the highest growth over the forecast period due to its ability to remove harmful bacteria, thereby lowering health risks for people and the surrounding environment that may come into contact with the material.
• Within the application category, the municipal segment will remain the largest due to rapid urbanization, most notably in emerging economies, coupled with fast housing and infrastructural development.
Emerging Trends in the Secondary Water & Wastewater Treatment Equipment Market in United States
The secondary water & wastewater treatment equipment market in the United States is undergoing transformative changes driven by sustainability goals, regulatory evolution, and technological innovation. With increasing environmental concerns, aging infrastructure, and rising water reuse demands, both public and private sectors are investing in advanced treatment solutions. These emerging trends are redefining the way municipalities and industries manage wastewater, emphasizing efficiency, resilience, and compliance. The adoption of digital tools, resource recovery, and energy-efficient systems is rapidly reshaping this space, presenting new opportunities for equipment manufacturers, utilities, and technology providers across the country.
• Adoption of Smart and Digital Treatment Systems: Digital transformation is reshaping water treatment processes across the United States. The integration of sensors, IoT platforms, and data analytics allows for real-time monitoring, predictive maintenance, and improved process control. Smart secondary treatment systems help operators identify inefficiencies and optimize energy use, leading to more cost-effective operations. Utilities and industries are adopting SCADA systems and AI-driven solutions to streamline performance. These advancements improve compliance with discharge regulations and enhance reliability, marking a shift toward data-informed infrastructure in the wastewater treatment sector.
• Increasing Focus on Water Reuse and Reclamation: With rising water stress in several regions, particularly the western United States, utilities are turning to water reuse strategies. Secondary treatment systems that support the production of reclaimed water for industrial use, landscape irrigation, and groundwater recharge are gaining momentum. Technologies such as membrane filtration and UV disinfection are being deployed alongside traditional systems to meet reuse standards. Federal and state-level incentives are also encouraging utilities to adopt reuse-friendly designs, making secondary treatment a crucial step in broader water conservation initiatives.
• Decentralized and Modular Treatment Solutions: The demand for decentralized wastewater treatment solutions is rising in rural and peri-urban areas, as well as in industrial parks and new housing developments. Modular secondary treatment systems offer flexibility, faster deployment, and scalability compared to large centralized plants. These systems are particularly useful in areas lacking established sewer networks. Their compact design and ease of integration make them suitable for remote applications and emergencies, thereby expanding their adoption across various sectors, including construction, mining, and hospitality.
• Resource Recovery from Wastewater: Utilities are increasingly viewing wastewater as a source of recoverable resources, such as biogas, nutrients (nitrogen and phosphorus), and clean water. Secondary treatment processes are being integrated with technologies that capture and reuse these resources. Facilities are investing in anaerobic digestion, nutrient recovery units, and combined heat and power systems. These approaches align with circular economy goals and enhance the sustainability of wastewater treatment operations. The shift from waste disposal to resource recovery is reshaping investment priorities and operational strategies within the industry.
• Regulatory Push for Nutrient Removal: Tighter environmental regulations around nutrient discharge—especially nitrogen and phosphorus—are prompting the adoption of advanced secondary treatment technologies. Excess nutrients contribute to harmful algal blooms and aquatic ecosystem degradation. The US EPA and state regulators are enforcing stricter nutrient limits in discharge permits, particularly for facilities discharging into sensitive water bodies. As a result, treatment plants are integrating biological nutrient removal (BNR) processes and other advanced filtration systems to meet these standards.
These emerging trends are redefining the secondary water & wastewater treatment equipment market in the United States. Digitalization, water reuse, decentralization, resource recovery, and stricter nutrient regulations are driving demand for smarter, more adaptive, and sustainable treatment solutions. Stakeholders across municipalities, industries, and technology firms are responding with innovation and investment, ensuring that wastewater treatment becomes a key pillar of environmental resilience. As these trends mature, they will continue to shape market dynamics, infrastructure planning, and environmental policy nationwide.
Recent Developments in the Secondary Water & Wastewater Treatment Equipment Market in United States
The secondary water & wastewater treatment equipment market in the United States is experiencing rapid transformation due to infrastructure investment, policy changes, and technological innovation. With growing environmental pressures, aging facilities, and increasing demand for sustainable water management, public and private stakeholders are upgrading and expanding treatment capabilities. These developments focus on improving treatment efficiency, meeting stricter regulations, and addressing water reuse goals. This shift is creating new opportunities for equipment suppliers and solution providers while setting the stage for a more resilient and future-ready water sector.
• Bipartisan Infrastructure Law Funding Boost: The US federal government has allocated billions of dollars through the Bipartisan Infrastructure Law to upgrade water infrastructure, including secondary wastewater treatment facilities. These funds are being directed toward modernizing outdated treatment systems, enhancing nutrient removal capabilities, and supporting underserved communities. This large-scale investment is enabling municipalities to adopt advanced technologies that were previously financially inaccessible, fostering innovation and accelerating market activity across the country. Equipment providers are witnessing increased demand for scalable and energy-efficient solutions.
• State-Level Mandates for Nutrient Removal: Several US states, including Florida, Maryland, and Minnesota, have enacted or tightened laws requiring stricter nitrogen and phosphorus discharge limits to combat eutrophication in water bodies. Utilities are responding by integrating enhanced biological nutrient removal (BNR) technologies into existing treatment infrastructure. These regulations are pushing facilities to upgrade secondary treatment stages with equipment that delivers higher precision in nutrient removal, including fine screens, membrane bioreactors, and automated chemical dosing systems.
• Growth in Industrial Wastewater Treatment Initiatives: Industries in sectors like food and beverage, oil and gas, and pharmaceuticals are increasingly investing in onsite secondary wastewater treatment. Driven by environmental compliance, cost savings, and water reuse goals, companies are adopting modular treatment units that can handle variable loads and ensure consistent effluent quality. The ability to recycle water for internal processes is also becoming a competitive advantage, especially in water-stressed regions.
• Advancement of Energy-Efficient Technologies: To address operational costs and environmental impact, utilities are deploying energy-efficient technologies such as low-energy aeration systems, fine-bubble diffusers, and high-efficiency blowers in secondary treatment. New control systems allow for demand-based energy use, optimizing treatment performance while lowering electricity bills. The integration of solar and biogas recovery systems is also contributing to energy-neutral or even energy-positive wastewater facilities.
• Expansion of Decentralized Treatment Infrastructure: Population growth in remote and peri-urban areas has fueled interest in decentralized treatment systems. These compact units can be deployed quickly and scaled easily, offering a solution where centralized infrastructure is lacking or overburdened. Municipalities and developers are increasingly investing in containerized or modular systems that include secondary treatment functionality, enabling compliance with local discharge standards without large infrastructure investment.
These developments are fundamentally reshaping the secondary water & wastewater treatment equipment market in the United States. Federal funding, regulatory tightening, industrial expansion, technological innovation, and decentralization are driving unprecedented demand for advanced treatment solutions. The market is becoming more diversified, resilient, and sustainability-oriented, creating growth avenues for equipment providers and service integrators. As investment and innovation continue to accelerate, the secondary treatment sector is poised to play a central role in achieving the nation’s water quality and reuse goals.
Strategic Growth Opportunities for Secondary Water & Wastewater Treatment Equipment Market in United States
The United States secondary water & wastewater treatment equipment market is witnessing robust growth opportunities driven by expanding regulatory requirements, rising environmental consciousness, and technological advancement. As water scarcity intensifies and infrastructure ages, various applications from municipal to industrial sectors are adopting advanced treatment solutions. Growth is especially prominent in sectors seeking sustainable practices, enhanced compliance, and cost efficiency. By targeting application-specific needs, equipment providers can capture value in high-demand areas, offering tailored solutions that align with economic, environmental, and operational goals across diverse user segments.
• Municipal Wastewater Treatment Modernization: Aging infrastructure across U.S. cities is spurring upgrades in municipal wastewater treatment facilities. Federal funding under the Bipartisan Infrastructure Law is accelerating the replacement of outdated secondary treatment systems with energy-efficient and nutrient-removal-enhanced equipment. With stricter state and federal discharge standards, municipalities are investing in biological treatment, membrane bioreactors, and advanced aeration systems. These investments aim to reduce nitrogen and phosphorus levels, improve system reliability, and support long-term sustainability.
• Industrial Water Reuse and Recycling: Industrial sectors, including manufacturing, food processing, and oil refining, are adopting secondary treatment equipment to reduce water consumption and meet reuse targets. On-site treatment systems are being integrated to recycle process water, lowering operational costs and ensuring regulatory compliance. Innovations like compact bioreactors and chemical-assisted clarification systems are being deployed to handle diverse industrial waste streams, with custom designs to meet industry-specific needs.
• Decentralized and Rural Community Treatment Systems: In rural and peri-urban regions, decentralized wastewater systems are gaining traction due to the high cost and logistical barriers of centralized infrastructure. Packaged secondary treatment units are ideal for small towns, residential communities, and remote locations. These systems offer ease of installation, scalability, and lower upfront investment, making them appealing for local governments and private developers.
• Commercial Real Estate and Mixed-Use Developments: Real estate developers are increasingly investing in onsite water treatment systems to meet sustainability certifications such as LEED and to lower operational expenses. Secondary treatment equipment is being incorporated into commercial and mixed-use developments, particularly in water-stressed states. These systems enable water reuse for landscaping, cooling, and sanitation, adding long-term value to the properties.
• Military Bases and Institutional Facilities: Military bases, universities, and large institutional campuses are exploring onsite wastewater treatment to ensure self-sufficiency and meet environmental goals. These closed-loop systems utilize secondary treatment technologies to manage high wastewater volumes, reduce dependence on external utilities, and support water reuse. With government support for sustainable infrastructure, such projects are scaling quickly.
Strategic growth in the U.S. secondary water & wastewater treatment equipment market is being fueled by application-specific needs across municipalities, industries, rural areas, real estate, and institutional campuses. Each application offers unique challenges and opportunities, demanding targeted technological solutions. Suppliers that align their offerings with these segments‘ evolving goals such as reuse, compliance, and efficiency can capitalize on robust market potential. These opportunities are redefining the market landscape, ensuring sustained demand and innovation in secondary treatment technologies across the United States.
Secondary Water & Wastewater Treatment Equipment Market in United States Driver and Challenges
The secondary water & wastewater treatment equipment market in the United States is influenced by a mix of technological advancements, economic pressures, and regulatory mandates. As environmental concerns rise and infrastructure ages, the demand for effective secondary treatment solutions continues to grow. However, the market also faces limitations related to funding, system integration, and operational complexity. Understanding the interplay of drivers and challenges is essential for stakeholders aiming to capitalize on market potential while navigating evolving industry dynamics and compliance landscapes.
The factors responsible for driving the secondary water & wastewater treatment equipment market in United States include:
• Federal Infrastructure Funding: The United States government has made substantial investments in water infrastructure through the Bipartisan Infrastructure Law. These funds support modernization of wastewater treatment facilities, including secondary treatment upgrades. The financial backing is encouraging municipalities to invest in energy-efficient, regulation-compliant equipment that improves system resilience and performance. As a result, equipment suppliers are witnessing increased procurement opportunities across regions. The availability of grants and low-interest financing reduces the economic barrier to technology adoption and fuels large-scale project rollouts, particularly in underserved or aging communities.
• Stricter Environmental Regulations: Agencies such as the Environmental Protection Agency have introduced stringent discharge regulations targeting nutrient removal and water quality improvement. States have also implemented specific mandates to control nitrogen and phosphorus pollution in water bodies. These rules necessitate the adoption of advanced biological and chemical secondary treatment technologies. The regulatory environment is driving utilities and industries to upgrade legacy systems to avoid penalties and meet sustainability goals. This compliance-driven market behavior ensures a steady demand for high-performance secondary treatment equipment.
• Industrial Shift Toward Sustainability: Industrial sectors across the United States are placing increased emphasis on sustainable water management. Facilities in manufacturing, energy, and food processing are investing in onsite wastewater treatment systems to meet corporate environmental goals and regulatory standards. Secondary treatment technologies enable efficient water reuse and resource recovery, helping industries reduce freshwater consumption and operational costs. This trend is expanding the customer base for equipment providers and encouraging the development of customizable solutions for diverse industrial applications.
• Technological Innovation and Automation: Ongoing advancements in treatment technologies, automation, and remote monitoring are making secondary treatment systems more efficient and easier to operate. Innovations such as membrane bioreactors, fine-bubble diffusers, and smart control systems allow for optimized performance with lower energy use. Automated monitoring helps utilities respond to system fluctuations in real time. These innovations reduce operational costs and make systems more accessible to smaller municipalities and private users. The evolution of smart water technology is becoming a significant growth catalyst.
• Water Scarcity and Reuse Initiatives: Increasing water stress in several U.S. regions is accelerating the demand for water reuse. Secondary treatment is a critical step in making wastewater suitable for non-potable or even potable reuse applications. Government agencies and local utilities are promoting water recycling as a long-term solution to supply challenges. As a result, demand for equipment that meets the standards of water reuse is on the rise. This driver is especially strong in arid states such as California, Arizona, and Texas.
Challenges in the secondary water & wastewater treatment equipment market in United States are:
• High Capital and Operational Costs: Secondary treatment systems can require substantial upfront investment, particularly for advanced technologies. Additionally, operational costs such as energy consumption and maintenance can be high. Smaller municipalities and rural communities often lack the budget to adopt or upgrade these systems. This financial barrier limits market reach and delays project implementation despite recognized needs. The challenge persists even with available federal funding, as many projects face cost overruns or long return-on-investment periods.
• Complexity of Retrofitting Aging Infrastructure: Many existing wastewater treatment plants are decades old and were not designed to support modern secondary treatment technologies. Retrofitting such infrastructure often requires significant engineering work, regulatory approvals, and operational downtime. Integrating new equipment into these systems can be technically complex and expensive. This challenge slows down adoption and limits the scalability of new technologies, particularly in dense urban areas where construction activities are more disruptive and constrained.
• Skilled Workforce Shortages: Operating and maintaining advanced secondary treatment systems requires specialized skills in process management, instrumentation, and automation. However, there is a national shortage of qualified water treatment operators and engineers. This talent gap can hinder the effective implementation and ongoing operation of new systems. Smaller utilities and industrial users may struggle to recruit or retain personnel with the expertise needed to maximize the value of their equipment investments. Workforce training and retention remain persistent concerns for market sustainability.
The United States secondary water & wastewater treatment equipment market is being shaped by strong drivers such as government funding, regulatory enforcement, and sustainability goals. At the same time, it faces notable challenges in cost, infrastructure compatibility, and skilled labor availability. Together, these forces influence the pace and direction of market expansion. Suppliers who can align with regulatory needs while offering cost-effective and user-friendly technologies will be well-positioned to thrive in this evolving and opportunity-rich environment.
List of Secondary Water & Wastewater Treatment Equipment Market in United States Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies, secondary water & wastewater treatment equipment companies cater to increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the secondary water & wastewater treatment equipment companies profiled in this report include:
• Company 1
• Company 2
• Company 3
• Company 4
• Company 5
Secondary Water & Wastewater Treatment Equipment Market in United States by Segment
The study includes a forecast for the secondary water & wastewater treatment equipment market in United States by equipment and application.
Secondary Water & Wastewater Treatment Equipment Market in United States by Equipment [Analysis by Value from 2019 to 2031]:
• Activated Sludge
• Sludge Treatment
Secondary Water & Wastewater Treatment Equipment Market in United States by Application [Analysis by Value from 2019 to 2031]:
• Municipal
• Industrial
• Others
Features of the Secondary Water & Wastewater Treatment Equipment Market in United States
Market Size Estimates: Secondary water & wastewater treatment equipment in United States market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends and forecasts by various segments.
Segmentation Analysis: Secondary water & wastewater treatment equipment in United States market size by equipment and application in terms of value ($B).
Growth Opportunities: Analysis of growth opportunities in different equipment and application for the secondary water & wastewater treatment equipment in United States.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the secondary water & wastewater treatment equipment in United States.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q1. What are the major drivers influencing the growth of the secondary water & wastewater treatment equipment market in United States?
Answer: The major drivers for this market are growing need for wastewater treatment facilities and stricter laws and technical integration in the form of the creation of novel secondary treatment techniques, such as integrated fixed film activated sludge (IFAS) and moving bed biofilm reactors (MBBR).
Q2. What are the major segments for secondary water & wastewater treatment equipment market in United States?
Answer: The future of the secondary water & wastewater treatment equipment market in United States looks promising with opportunities in the municipal and industrial markets.
Q3. Which secondary water & wastewater treatment equipment market segment in United States will be the largest in future?
Answer: Lucintel forecasts that activated sludge segment is expected to witness the highest growth over the forecast period due to removal of harmful bacteria to lower the health risks for people and surroundings that may come into contact with the material.
Q4. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 10 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the secondary water & wastewater treatment equipment market in United States by equipment (activated sludge and sludge treatment), and application (municipal, industrial, and others)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.4. What are the business risks and competitive threats in this market?
Q.5. What are the emerging trends in this market and the reasons behind them?
Q.6. What are some of the changing demands of customers in the market?
Q.7. What are the new developments in the market? Which companies are leading these developments?
Q.8. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.9. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.10. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Secondary Water & Wastewater Treatment Equipment Market in United States, Secondary Water & Wastewater Treatment Equipment Market in United States Size, Secondary Water & Wastewater Treatment Equipment Market in United States Growth, Secondary Water & Wastewater Treatment Equipment Market in United States Analysis, Secondary Water & Wastewater Treatment Equipment Market in United States Report, Secondary Water & Wastewater Treatment Equipment Market in United States Share, Secondary Water & Wastewater Treatment Equipment Market in United States Trends, Secondary Water & Wastewater Treatment Equipment Market in United States Forecast, Secondary Water & Wastewater Treatment Equipment Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.