2009 Pump Sales Will Be Flat At $32.5 Billion
Sales of industrial pumps in 2009 will be flat at the $32.5 billion level achieved in 2008. Growth of 2.5 percent is forecast for 2010 according to a new forecast from the McIlvaine Company in Pumps World Markets.
The revision of more than 50,000 individual forecasts reveals contrasts by both geography and industry segment. Some industry sectors such as electronics and mining will be down 10 percent.
Pump Revenue Changes 2008 – 2009
Industry Change
Chemical flat |
Electronics down 10% |
Flood Control up 2% |
Food up 4% |
Metals down 6% |
Mining down 10% |
Oil & Gas flat |
Other Industries down 2% |
Pharmaceutical up 1% |
Power up 7% |
Pulp & Paper down 3% |
Refineries flat |
Stone down 2% |
Wastewater (municipal) up 2.5% |
Water (municipal) up 2% |
The markets in municipal water and wastewater will be up modestly. Pump sales to the food industry will grow four percent. Power will be the leading growth segment. Construction of large new coal-fired power plants and nuclear power plants in Asia will boost this market. Europe is replacing its old coal-fired power plants with new more efficient ones. In Asia and the U.S. there will be large expenditures for scrubber pumps. Recent ash pond problems will also generate pump sales as solutions are found.
There are substantial differences in growth for the different regions. Asia will be up 2.8 percent to $13.2 billion in 2009. Europe will be down 1.7 percent to $8.9 billion. Stimulus initiatives directed to infrastructure are going to have a positive effect but not in 2009. Increased investment in municipal wastewater treatment facilities in the U.S., China, and other countries will be reflected in higher revenues starting in 2010.
The pump industry will fare better than most in the tough economic environment of 2009. Replacement parts and service are significant revenue producers. This tends to lessen the peaks and valleys of the new plant market. Some of the major markets such as municipal wastewater and drinking water are not sensitive to near-term economic conditions.
These forecasts are subject to continuing adjustment. General markets are more volatile and less predictable than at any time since McIlvaine started forecasting in 1974. Until 2000, McIlvaine market reports were printed. Revenue forecasts were adjusted yearly. Now that these reports are online, they are adjusted as needed. In these volatile times quarterly revisions are both needed and supplied.
For more information on Pumps World Markets, click on: http://www.mcilvainecompany.com/brochures/water.html#N019 or contact:
McIlvaine Company
191 Waukegan Road – Suite 208
Northfield, IL 60093
Tel: 847-784-0012 Fax: 847-784-0061
E-mail: editor@mcilvainecompany.com