PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1527940
PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1527940
The U.S. commercial water storage tank market is projected to expand steadily, driven by various factors including population growth, economic development, and increasing demand from the oil and gas industry. With a market value projected to reach $1.73 billion in 2024 and anticipated to grow to $2.66 billion by 2031, the market is expected to witness a CAGR of 6.30%. Storage tanks play a crucial role in the bulk containment of water at different stages of the refinery process. Typically, products are stored for a short time before being transported for further processing.
Manufacturers are increasingly signing contracts directly with end-users to understand their specific needs and provide appropriate products. This trend is contributing to the steady growth of the market.
Demand Analysis of Commercial Water Storage Tanks
Wastewater tanks have a wide range of commercial applications. In the United States, wastewater treatment plants are running at a significant portion of their design capacity. These water reservoirs are created by researching the waste stream and choosing the most appropriate materials, such as carbon steel or stainless steel. Tanks can be constructed above or below ground and follow various steel tank standards.
Wastewater treatment plants in the U.S. process a vast amount of wastewater daily. The demand for water storage and supply tanks in these plants is increasing, leading to steady market growth. Custom water storage tanks are placed based on the size of the structure and fire safety regulations. Many manufacturers are working on methods to connect tanks with existing fire prevention systems.
Storage tanks are widely used in the oil and gas sector to hold large amounts of water at various phases of the refining process. Products are often held for a brief period before being transferred for further processing. The continuously rising chemical sector in the U.S., coupled with the growing oil and gas sector, is expected to drive demand for commercial water storage tanks.
Market Trends Shaping Demand
High-Quality Materials for Extended Tank Life Manufacturers are developing new material compositions that are more resilient and have longer lifespans under harsh conditions. Factors such as increased thermal insulation, sun protection, algae protection, rust proofing, virgin polymers, multi-layer, and leak proofing are driving demand for commercial water storage tanks. Additionally, major manufacturers are obtaining materials standardized according to Federal regulations, reducing the use of harmful chemicals in the production of water storage tanks.
Government Initiatives The United States Environmental Protection Agency (EPA) is implementing initiatives to prevent harmful stormwater runoff by investing in water infrastructure, boosting enforcement, and constructing storage systems. The desire to link communities to urban waterways and establish programs relevant to underprivileged groups in metropolitan areas is also driving the market.
Upcoming Government Projects The U.S. government has proposed initiatives to improve the country's infrastructure and construction, including various significant projects. Investments in commercial and residential sectors will provide opportunities for market development. Urban infrastructure and construction development are rapidly expanding due to increased government infrastructure plans, leading to higher demand for commercial water storage tank systems.
Region-wise Insights
South U.S.: A Lucrative Market The South U.S. is projected to remain one of the most lucrative markets throughout the forecast period. The region is a large market for the chemical and oil & gas sectors, making it a significant consumer of water storage tank devices. The oil and gas industry both consumes and produces water, using it in drilling, hydraulically fracturing wells, refining and processing oil and gas, and generating electricity in natural gas power plants. Drilling activity and crude oil output in the United States, especially the southern region, will continue to climb, driving the consumption of commercial water storage tanks.
Category-wise Insights
Welded Water Storage Tanks: Highest Popularity Welded steel water storage tanks are more resistant to seismic damage compared to bolted steel tanks. Stainless steel water tanks are extremely resistant to corrosion and natural factors such as heat. They do not require internal or exterior coatings to preserve the metal. Stainless steel is ductile, fire-resistant, and unaffected by UV radiation. Well-maintained welded steel water tanks can have a lifespan of more than 100 years, whereas bolted tanks last around 30 years. Consequently, the welded steel water tanks segment is expected to expand significantly.
Above-Ground Water Storage Tanks: Increasing Demand Above-ground storage tanks are becoming more common due to their low installation costs. They are easier and less expensive to install compared to underground tanks, requiring significantly less digging, filling, and paving. Above-ground storage tanks are also easier to transport and relocate if needed for new development.
Competitive Analysis
Over the past few years, increasing acquisition and expansion activities have improved the supply chain of commercial water storage tanks in the U.S. Several key manufacturers are focusing on developing new technology-driven equipment, and various new manufacturers have emerged in this market space.
Key Companies Profiled
U.S. Commercial Water Storage Tank Industry Research by Category