In 2026, water purifiers will be removed from the new round of national supplementary unified category list. It is still unclear whether subsequent policies will cover them again, and the market will enter a period of adjustment and observation in the short term. But no matter how the national subsidy ultimately evolves, one direction is clear - after the last round of policy catalysis, the water purification industry is upgrading from a "price war" to a "value war". Top enterprises are no longer solely reliant on policy dividends, but are anchoring product innovation and deep cultivation of service capabilities to find more resilient growth paths in the context of consumer cognitive upgrading. The key leap of water purifiers from "optional household appliances" to "essential household appliances" has been established at the level of consumer cognition and behavior.

The penetration rate has significantly increased, and the water purification industry has solidified its basic demand base

According to the "2026 Trends in the Clean Drinking Industry White Paper" jointly released by JD.com and Ipsos, the annual sales of domestic end of pipe water purifiers in 2025 will reach 33.48 billion yuan, with sales of 24.65 million units, a year-on-year increase of 7.5%. Driven by both policy dividends and the demand for replacement, the penetration rate of household water purifiers in China has increased from 20% in 2023 to 30% in just two years, exceeding industry expectations. Leading manufacturers in the industry have also benefited from this trend and gained considerable market growth.

The significance of breaking through 30% penetration rate is equivalent to conducting a large-scale market education for the entire industry, significantly reducing the threshold for ordinary households to access water purification products. During this period, a large number of users completed their first purchase and usage experience, laying a user foundation for the sustained development of the market in the future. At present, the awareness of healthy drinking water and even water use has been deeply integrated into the public consumption concept, with strong sustainability. After the withdrawal of national subsidies, consumers have put forward higher requirements for product performance and user experience, forming a stable foundation for the long-term development of the industry.

In this wave of popularization, the market advantage of top water purification brands has been further consolidated. Among them, Angel's performance is particularly outstanding. According to the market position certification issued by Aowei Cloud Network, from January 2025 to May 2026, Angel's total retail sales in China's offline central water purification and water softener categories reached 68.55%; From 2017 to 2025, its sales volume in the offline water purifier market in China has been among the top in the industry for 9 consecutive years, and its leading position has remained stable.

As the first batch of purchased products gradually enter the replacement cycle, coupled with the improvement of residents' health awareness, the demand for stock replacement and quality upgrade will gradually be released in the future. The transformation of water purifiers from "optional household appliances" to "essential household appliances" has made a crucial leap in consumer cognition and behavior.

The industry has entered a new development cycle, with value competition replacing price games

In the past, the problem of product homogenization was prominent in the industry, and price wars were frequent. Behind the adjustment of the industry landscape is the comprehensive upgrading of the competitive logic in the water purification industry. The withdrawal of national subsidies has forced the core of industry competition to shift from price orientation to value orientation. The competition of future enterprises is no longer limited to cost control and pricing strategies, but requires the construction of differentiated barriers in multiple dimensions such as product performance, technological innovation, user experience, and after-sales service. The overall development quality of the industry will usher in a systematic upgrade.

Taking Angel as an example, its development path is a typical example of this trend. Guided by technological innovation, Angel continuously breaks through in three directions: "smaller size, higher efficiency, and better experience". To solve the spatial difficulties of small and medium-sized apartments, Angel has launched the Space Master series of whole house water purification products, which not only significantly reduce the volume, but also provide users with a high-quality water purification experience covering washing/rinsing/direct drinking throughout the house. The M7 series and Mini series of whole house water purifiers have won the top sales rankings in the central water purifier and central water softener industries for two consecutive years. Their market performance of "10 whole house water purifiers nationwide and 6 Angel Space Masters" confirms their leading position in the whole house water purification field and provides reference samples for the value transformation of the entire industry.

Angel Space Master Series Whole House Water Purification

In addition to technological iteration on the product side, service capabilities are also becoming a competitive barrier for top brands. The uniqueness of water purification equipment lies in its sustainability. The filter element needs to be replaced, water quality needs to be monitored, and equipment needs to be maintained. Product delivery is only the starting point of user relationships. For example, Angel proposed this year to establish "service as an asset" as a strategy, relying on over 3000 national service outlets to establish a one-stop service system of "purchase installation maintenance renewal", continuously creating long-term value for users.

Three new trends reshape the new pattern of the water purification market

Against the backdrop of industry upgrading, three trends are reshaping the future landscape of the water purification market.

Trend 1: Whole house water purification is moving from high-end to mass market. In the past, whole house water purification systems were mainly aimed at villas and large apartments. In recent years, with the breakthrough of product miniaturization and modular technology, whole house water purification solutions for small and medium-sized apartments have become increasingly mature. The consumption scenario of whole house clean water is shifting from single kitchen drinking water to full scene clean water solutions, opening up several times the incremental space of the single product market.

Trend 2: Intelligence is becoming a standard feature of products. Water purifiers are transitioning from functional devices to "home water health management terminals". This is no longer just icing on the cake, but an important decision for the new generation of consumers when making purchases.

Trend 3: Service experience determines the long-term value of a brand. The heavy service attribute of water purifiers determines that they are not a one-time deal - the frequency of filter replacement, the speed of on-site response, and the professionalism of water quality testing directly affect user repurchase and word-of-mouth dissemination. Whether the brand can upgrade from "selling products" to "providing full lifecycle services for users" will determine its position in the next competitive cycle.

Overall, 2026 is not a turning point for the water purification industry, but a starting point. A new development cycle driven by endogenous values rather than policy driven maturity has just begun. Anchoring user pain points, innovating to break constraints, shaping perceived value, and widening value differentials "is precisely the common proposition that all top brands in the water purification industry must answer after bidding farewell to price wars - no longer relying on subsidies to lower the threshold, but relying on technology, products, and services to truly widen the perceived distance with users.