Global Atmospheric Water Generator Market 2025 – 2034

Reports Description

As per the current market research conducted by the CMI Team, the Global Atmospheric Water Generator Market is expected to record a CAGR of 9.5% from 2025 to 2034. In 2025, the market size is projected to reach a valuation of USD 2.7 Billion. By 2034, the valuation is anticipated to reach USD 6.7 Billion.

Atmospheric Water Generator Market: Overview

An Atmospheric Water Generator (AWG) is a tool that uses condensation to extract water from the humidity in the air, typically utilizing refrigeration, desiccant materials, or other cooling processes. AWGs are utilized in locations with limited access to safe drinking water and may function in various humidity levels.

They are widely utilized in residential, commercial, and industrial applications. Rising global water constraints are driving the use of AWGs as an alternate water supply. Many places, notably arid and semi-arid areas, are turning to AWGs for a consistent water supply.

Furthermore, advancements in refrigeration, desiccant-based systems, and hybrid AWGs improve efficiency and lower energy use. Solar-powered AWGs are gaining popularity, making them more sustainable.

• According to the World Bank Group, some 56% of the world’s population – 4.4 billion inhabitants – live in cities. This trend is expected to continue, with the urban population more than doubling its current size by 2050. At this point, nearly 7 of 10 people will live in cities.

Atmospheric Water Generator Market: Growth Factors

Declining freshwater levels

Freshwater is a crucial resource for human survival and is utilized for various functions other than drinking, such as industrial, agricultural, and home activities. Water scarcity and population growth can significantly threaten human and animal existence on Earth.

Per capita water availability has decreased dramatically over the last decade, so people are now attempting to preserve water. With greater awareness of water conservation and the desire to obtain fresh water for everyday requirements, atmospheric water producers are proving to be a boon for individuals living in water-scarce locations, fueling demand.

Increasing introduction of innovative product

The increasing product launches are expected to drive the atmospheric water generator market over the forecast period. For instance, in May 2023, Khalifa University of Science and Technology, along with UAE-based Eshara Water, Swedish firm Azelio AB, and Masdar City, developed an atmospheric water generation (AWG) system operated by solar and electrical thermal energy storage.

This technology can generate drinking water directly from the air and supply up to 1,000 liters per day per unit, expected to expand by 7,500 liters soon. This project combines AWG with solar power and two thermal energy storage power-on-demand (TES.POD®) systems to provide sustainable electricity overnight.

Atmospheric Water Generator Market: Challenge

High energy consumption and production cost

The high energy consumption and production costs limit the use of AWGs in household applications. To overcome this limitation, manufacturers focus on developing new technologies and manufacturing techniques that reduce overall product costs, indirectly growing the base of residential and commercial customers.

Furthermore, the complex mechanism associated with wet desiccation AWG and a lack of consumer understanding about wet desiccation AWG function as market restraints. On the other hand, concerns about generation efficiency serve as a warning to both new entrants and current market competitors.

The use of the traditional method of water desalination to collect water from the environment resembles a major constraint for the atmospheric water generator industry.

Atmospheric Water Generator Market: Segmentation Analysis

By Product:

The cooling condensation segment is expected to dominate the market. Water scarcity difficulties originating in drought conditions in many countries worldwide and increased demand from industries and the commercial sector are likely to drive segment expansion during the forecast period.

Cooling condensation generates water mostly through the use of electronic and electrical components. Growing industrial activity in countries such as Germany, the United States, and China and the high-water production provided by cooling condensation atmospheric water generators are likely to boost product demand throughout the projection period.

Besides, the wet desiccation segment is growing at a rapid rate. Wet desiccation technology promotes scalability, enabling larger AWG installations. Governments and corporate companies are experimenting with big wet desiccation AWG units for disaster assistance, military applications, and distant villages.

Furthermore, wet desiccation AWGs use less electricity than refrigeration-based systems, which increases cost-effectiveness. Some variants have solar power, making them suitable for off-grid applications.

By Application:

The industrial segment is expected to dominate the market. The demand for industrial-grade atmospheric water generators is predicted to rise due to bottling facilities for drinks, government or military facilities for water security, food production, and processing facilities with water demands of more than 15,000 liters per day.

The demand for atmospheric water producers requiring less maintenance and minimal environmental impact is growing. Manufacturers like SkyH2O are developing technologies for new water infrastructure projects to provide fresh, drinkable water to water districts and significant commercial and industrial water consumers, which is projected to support industrial growth.

Besides, the commercial segment is growing at a rapid rate. Commercial atmospheric water generators are utilized in commercial facilities like hotels and theaters to alleviate water shortages. These units have an inbuilt power source, which results in longer-term power generation and cheaper energy expenditures.

Furthermore, many smart city projects, particularly in developed nations, are expected to boost market growth throughout the projection period. Communities worldwide focus on updating water infrastructure to provide clean and safe drinking water. Global organizations such as WHO and UNICEF are anticipated to provide funding to boost market expansion.

Report Scope

Atmospheric Water Generator Market: Regional Analysis

North America is projected to dominate the atmospheric water generator market. The geographical expansion is aided by continued technology advancements and a growing awareness of sustainable water solutions. As water scarcity persists, AWGs are projected to supplement traditional water supplies across various industries.

However, the Asia Pacific is growing significantly in the global atmospheric water generator industry. The growing urbanization and technological advancement is expected to drive the regional industry expansion.

Atmospheric Water Generator Market: Recent Development

The atmospheric water generator industry adopted several strategies, which include product launches, acquisitions, collaboration, expansion, and others. Some of the company strategies include:

• In March 2024, GE Vernova, a global leader in electrification, decarbonization, and energy solutions, announced the completion of a 50/50 joint venture (JV) with Montana Technologies LLC. The JV will incorporate GE Vernova’s proprietary sorbent materials into systems that use Montana’s patented AirJoule® dehumidification, air conditioning, and atmospheric water harvesting technology. The new joint venture, AirJoule, LLC, is one of the first transactions from GE Vernova’s new Ventures and Incubation organization, which collaborates with entrepreneurs to bring breakthrough energy transition solutions to customers.

The increasing investment and rising collaboration among the key players are the strategies that have expanded the company’s market presence in the atmospheric water generator industry and gained its competitive edge.

List of the prominent players in the Atmospheric Water Generator Market:

• Akvo Atmospheric Water Systems Pvt. Ltd.
• Dew Point Manufacturing
• Ray Agua
• WaterMaker India Pvt. Ltd.
• PlanetsWater
• Water Technologies International Inc.
• SkyWater Air Water Machines
• Drinkable Air
• Hendrx Water
• Energy and Water Development Corp. (EAWC)
• Atlantis Solar
• GENAQ Technologies S.L.
• Air 2 Water Solutions
• EcoloBlue Inc.
• Watergen
• Others

The Atmospheric Water Generator Market is segmented as follows:

By Product

• Cooling Condensation
• Wet Desiccation

By Application

• Industrial
• Commercial
• Residential

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Taiwan
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America