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The Global Wind Turbine Components Market size is estimated to grow by USD 39.18 billion at a CAGR of 6.76% between 2022 and 2027. The rapid growth of the market is creating a significant demand for related technologies and services, driving growth in the market. Rising investments in clean sources of energy, including wind power, are further fueling market expansion, as governments and organizations worldwide seek to reduce carbon emissions and transition to more sustainable energy sources. Additionally, the presence of regulations that encourage power generation from renewable sources, such as wind, is providing a strong incentive for the adoption of wind power monitoring and control systems.
This report extensively covers market segmentation by Application (onshore and offshore), Product (wind turbine rotor blades, wind turbine gearboxes, wind turbine generators, wind turbine towers, and others), and Geography (APAC, Europe, North America, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
The market share growth by the onshore segment will be significant during the forecast period. Onshore wind power plants generate energy from turbines located on land. Onshore wind power plants are competitive due to the low cost of technology and finance.
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The onshore segment showed a gradual increase in the market share of USD 65.44 billion in 2017. These power plants, located on land, are becoming increasingly cost-competitive with coal and natural gas in countries like the UK and China. The low cost of technology and finance makes these power plants competitive. Innovations in advanced technologies have enabled commercialization, such as Vestas' 4 MW platform designed for varying conditions. Government support also drives the growth of onshore wind farms, with countries like Germany and Vietnam setting ambitious installation targets. In 2018, 46.8 GW of onshore wind capacity was added globally, with major contributions from China, the US, Germany, India, and Brazil. Support mechanisms like feed-in tariffs and production tax credits play a role in these new installations.
Based on the product analysis, the wind turbine towers segment holds the highest market share. The demand for wind turbine towers will grow steadily during the forecast period due to the rising focus on renewable sources of energy across the world. The design of these turbine towers has evolved, especially on parameters such as shape and size like tubular, concrete, lattice, and guyed pole. Researchers at the Wind Energy Technologies Office (WETO), which is a part of the US Department of Energy (DOE), are developing prototypes with long and tall towers to optimize the performance of power generation.
APAC is estimated to contribute 56% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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In 2016, China adopted the 13th Wind Energy Development Five-Year Plan, setting a target of 210 GW of grid-connected wind capacity by 2020. India also aimed to install 60 GW of wind capacity by 2022. However, transmission and grid bottlenecks in China and the transition to competitive auctions in India have posed challenges to market growth in the APAC region. Despite these challenges, rising investments in offshore wind power plants in the Philippines, Thailand, and Taiwan are expected to drive market growth.
Wind turbine components include converters, gearboxes, generators, nacelles, rotor blades, rotor hubs, towers, transformers, and other components, that are required for the effective functioning of wind turbines.
Wind turbines harness wind power to convert it into energy. Their blades rotate clockwise to capture energy from the wind. The main shaft, which is triggered by the wind, is connected to the gearbox within the nacelle to enable spin. The gearbox sends the captured energy to the generator, which converts it into electricity. The electricity is then transferred down the tower to a transformer, which adjusts the voltage levels to match the grid.
The market is propelled by the growing focus on renewable energy and the need to reduce carbon emissions. Key components like the generator, nacelle, and tower play crucial roles in harnessing kinetic energy to generate electricity. The market also encompasses electrical conduits for power transmission. Maintenance and repairs are essential to ensure optimal performance and longevity, requiring a sturdy base made of materials like concrete and steel. With the increasing adoption of wind energy globally, driven by initiatives like the Renewable Energy Act (EEG) and the efforts of organizations like the Global Wind Energy Council (GWEC), the market is witnessing advancements in turbine technology and the use of advanced materials for offshore wind installations, reflecting the shift towards cleaner and more sustainable electric power sources. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers, trends, and challenges will help companies refine their marketing strategies to gain a competitive advantage.
The rapid growth of the global wind power market is a major factor driving the growth of the market. The IEA reports that the global economy is growing at a rate of 3.4% annually, and the global population is expected to reach 9 billion by 2040, up from 7.4 billion in 2017. This growth is driving an increase in energy demand worldwide.
The market is experiencing growth, particularly in Europe and China, and in the offshore sector. Advances in electronics, efficient planning, and management have improved the reliability and reduced the costs of onshore wind development, leading to various commercialization opportunities. This includes the adoption of renewable energy sources, particularly offshore wind energy, which has benefited from advancements in electrical conduits, maintenance, and repairs. The offshore wind sector has become viable with the availability of machines supporting capacities over 1 MW. The development of floating wind turbines has further facilitated the commercialization of offshore wind power. This has intensified competition between wind power plants and nuclear and fossil fuel power plants, with competitive pricing, advanced grid management, and affordable power storage driving the growth of the market. Consequently, there is expected to be an increase in demand for turbine components in the forecast period.
The consistently declining cost of wind power is a key market trend. Advancements in technology have led to the development of more efficient turbines, making them increasingly cost-effective in many regions. The System Management of Atmospheric Resource through Technology (SMART) strategy focuses on innovations in physics modeling, real-time monitoring, rotor technology, and grid communication to enhance the performance and reliability of wind power plants. Government support, such as the federal wind Production Tax Credit (PTC) and business energy Investment Tax Credit (ITC), provides financial incentives for renewable energy projects. Competitive bidding has also led to lower tariffs. While the declining cost may impact vendor profit margins and market forecast, it is expected to drive the growth of the industry.
Complications associated with materials, control, and storage are a major market challenge. The availability of renewable energy sources, such as wind and solar power, varies across regions, posing a challenge similar to fossil fuels. Market consolidation is occurring as vendors adopt inorganic growth strategies, leading to a concentrated market. The offshore market is growing faster than the onshore market due to improved efficiency, but costly infrastructure for storage and transmission is required. Rising transmission and distribution (T&D) costs, coupled with declining costs, may impact profit margins for wind power plant operators. These challenges in materials, control, and storage complicate the growth of the market.
Companies are implementing various strategies by analyzing factors such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product or service launches, to enhance their presence in the market.
Envision Group- The company offers Wind Turbine Components such as Vantage PTC, Vantage PTC Twin and Vantage PTI High Flow.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
The market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2023 to 2027, as well as historical data from 2017 to 2021 for the following segments
The market is witnessing significant growth due to increasing urbanization and the rising demand for renewable energy. Both onshore and offshore wind turbines play a crucial role in renewable energy conservation and reducing greenhouse gas emissions. Technological advancements, including 3D printed components and SCADA systems, are enhancing the efficiency and reliability of wind energy systems. Key components such as anemometers, brakes, and drive trains are crucial for the safe and efficient operation of wind turbines. Materials like stainless steel, fiberglass, and aluminum are commonly used in wind turbine manufacturing, supporting the shift towards green buildings and reducing reliance on fossil fuel-based power generation.
The market is a critical part of the renewable sector, supported by environmental organizations advocating for sustainable energy sources. Components such as the controller, power transformer, and SCADA systems are vital for the efficient operation and monitoring of wind turbines. Yaw and pitch systems ensure the turbine captures the maximum wind energy, while lubrication systems maintain smooth operation. The industry is exploring alternative materials like resin, copper, and plastic to improve efficiency and reduce costs. As governments implement regulations on energy efficiency, the market is focusing on developing alternative clean energy sources and optimizing the power generation mix to meet electricity requirements sustainably.
Market Scope |
|
Report Coverage |
Details |
Page number |
174 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 6.76% |
Market growth 2023-2027 |
USD 39.18 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
5.93 |
Regional analysis |
APAC, Europe, North America, South America, and Middle East and Africa |
Performing market contribution |
APAC at 56% |
Key countries |
US, China, India, Germany, and Spain |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
China High Speed Transmission Equipment Group Co. Ltd., CS WIND Corp., Dongfang Electric Corp., Emergya Wind Technologies BV, EnBW Energie Baden Wurttemberg AG, ENERCON GmbH, Envision Group, Flender GmbH, General Electric Co., ISHIBASHI Manufacturing Co. Ltd., Max Bogl Wind AG, Ming Yang Smart Energy Group Ltd., Sinoma Science and Technology Co. Ltd., Suzlon Energy Ltd., TPI Composites Inc., Vestas Wind Systems AS, XEMC Darwind BV, Xinjiang Goldwind Science and Technology Co. Ltd., ZF Friedrichshafen AG, and Siemens AG |
Market dynamics |
Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period |
Customization purview |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Product
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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