As of 2023, the US experienced significant growth in outward FDI flows in the water supply and waste management sector, with values reaching positive numbers. However, projections starting from 2024 indicate a declining trend with consistent year-on-year decreases forecasted, resulting in negative figures extending to 2028. These downward shifts suggest a compounded annual growth rate (CAGR) that is negative over this period. The sector is anticipated to face ongoing challenges impacting its global investment attractiveness.
Future trends to watch for:
- Global environmental policy changes influencing sector dynamics.
- Technological advancements enhancing efficiencies or requiring higher investments.
- Evolving regulatory landscapes in key foreign markets affecting US outward FDI.
- Market demand for sustainable and green solutions impacting investment destinations.