United States Environmental Technology Market 2031 | Growth Drivers, Key Players & Investment Opportunities

Market Size and Growth

The Global Environmental Technology Market size is growing at a high CAGR during the forecast period (2024-2031). Environmental technology is also known as 'clean' or 'green' technology.

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Key Development:

United States: Recent Industry Developments

✅ In February 2026, AxNano received new strategic investment to advance compact PFAS destruction systems, accelerating deployment of next-generation environmental remediation technology. The solution targets permanent elimination of toxic "forever chemicals." It strengthens U.S. capabilities in water and soil decontamination.

✅ In February 2026, Goldenstone Acquisition Limited announced a merger with ESG packaging innovator Deluxe Technology Group, creating a combined platform focused on sustainable materials and circular-economy solutions. The merger enhances commercialization of low-impact packaging technologies. It supports scalable environmental innovation across consumer industries.

✅ In January 2026, Exelon expanded its climate investment initiative by backing early-stage environmental technology startups, prioritizing clean energy, grid efficiency, and sustainability solutions. The program supports commercialization and pilot deployments. It accelerates innovation in U.S. climate-tech ecosystems.

✅ In December 2025, multiple U.S. climate-tech firms closed late-stage funding rounds focused on carbon capture, water treatment, and industrial decarbonization, signaling strong investor confidence in deployable environmental technologies. The investments target near-term commercialization. They reinforce the U.S. position in applied environmental innovation.

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Japan: Recent Industry Developments

✅ In February 2026, MUFG Bank launched Artemis Ventures and expanded impact-focused investments in environmental and sustainability technologies, targeting clean energy, resource efficiency, and climate resilience solutions. The initiative strengthens funding access for green innovators. It supports Japan's long-term decarbonization goals.

✅ In January 2026, Japan introduced a structured carbon market price framework for 2026, guiding large emitters toward investment in emissions-reduction and environmental technologies. The policy supports deployment of monitoring and verification systems. It accelerates adoption of climate-tech solutions.

✅ In January 2026, JBIC supported financing for advanced desalination and water infrastructure projects involving Japanese technology providers, promoting high-efficiency water treatment and environmental resilience. The projects emphasize sustainability and resource security. They expand Japan's environmental technology exports.

✅ In December 2025, Japan advanced international collaboration on space debris removal and environmental monitoring technologies, strengthening innovation in orbital sustainability and Earth-observation systems. The initiative integrates environmental intelligence and advanced engineering. It reinforces Japan's leadership in space-enabled environmental protection.

Key Players:

=>Veolia S.A., Suez, Lennox International, Teledyne ICM, Arcadis N.V., AECOM, Waste Connections, Covanta Holding Corporation, Thermo Fisher Scientific Inc. and Carbon Clean Solutions Limited.

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Key Segments:

By Type

Solutions account for approximately 64% of the market share, driven by increasing adoption of integrated environmental and sustainability platforms that address regulatory compliance, emissions reduction, and resource optimization. Services hold the remaining 36%, supported by growing demand for consulting, system integration, maintenance, and long-term operational support.

By Technological Solution

Waste Recycling leads with nearly 14% share, fueled by circular economy initiatives and stringent waste management regulations. Wastewater Treatment and Sewage Treatment together contribute around 22%, driven by urbanization and industrial water discharge norms. Water Purification Management accounts for 10%, supported by rising clean water demand.
Pollution Monitoring and Dust Emissions Control collectively hold 12%, benefiting from real-time monitoring mandates. Solid Waste Treatment represents 8%, while Desalination accounts for 6%, particularly in water-scarce regions.
Emerging technologies such as Carbon Capture, Green Hydrogen, and Bioremediation together represent 15%, showing the fastest growth due to net-zero commitments. Others, including Precision Cooling, Dry Steaming, and Gas Dissolution, contribute the remaining 13%.

By End-User

Manufacturing dominates with 28% share, driven by emissions compliance and sustainability targets. Energy & Power follows at 22%, supported by decarbonization initiatives and renewable integration. Oil & Gas accounts for 16%, focusing on carbon reduction and wastewater management.
Construction holds 12%, driven by green building norms, while Retail represents 8% through sustainable facility management adoption. Defense contributes 6%, and Others account for the remaining 8%, including municipal and institutional applications.

By Region

North America leads with approximately 35% market share, supported by strong regulatory frameworks and advanced environmental technologies adoption. Europe follows at 28%, driven by strict environmental directives and circular economy policies. Asia Pacific holds 24% and is the fastest-growing region, fueled by rapid industrialization, urban expansion, and government-backed sustainability programs.
Latin America accounts for 7%, while the Middle East & Africa represent 6%, supported by desalination projects, pollution control initiatives, and green hydrogen investments.

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