Global Wind Turbine Industry
The global wind turbine industry encompasses all manufacturer revenue generated through wind turbine production, which reached almost $37 billion in 2011, following yearly growth of almost 2% for the four preceding years, reports MarketLine. Over the same four-year period, production volumes witnessed almost 22% yearly growth to reach close to 44 GW in 2011. Wind turbine industry growth is expected to rise to a yearly rate of just less than 6% between 2011 and 2016, bringing the industry to $49 billion.
The world wind turbine component market is forecast to record yearly growth in excess of 11% between 2011 and 2015, according to research from TechNavio. Energy demand is the key factor fuelling market growth. While high-capacity wind turbines have been gaining a foothold, their high cost may prove an obstacle to growth. Leading companies currently operating in the global wind turbine component industry include Xinjiang Goldwind Science & Technology, Vestas Wind Systems, GE Energy and Sinovel Wind Group.
Market Segments
- Small wind turbines refer to turbines with a power rating equivalent to or less than 100 kilowatts. These turbines are increasingly popular for the generation of renewable electricity as they involve lower outlay costs than large wind turbines, reports Taiyou Research. Small wind turbines also have a size advantage over the massive structure of large wind turbines, plus their lightweight character means they function in light winds. Small wind turbines can be used on rooftops, and are low on noise.
- Horizontal Axis Wind Turbines provide the most widely used technology for small wind turbines, though other technologies such as Loopwing Turbine are also used. The latter has the added advantage of producing less noise. Traditionally, small wind turbines have been employed for power generation for charging batteries. This sector has benefited from technical innovation that has boosted turbine efficiency, and turbines have been integrated in both homes and businesses. State subsidies and general consumer awareness as to the importance of promoting renewable sources of energy are among the key factors fuelling the small wind turbine market.
- The global offshore wind sector continues to witness a steady rate of growth, according to research from TechNavio. EU nations including the UK and Denmark are at the forefront of the industry, with China close behind. The US government cleared long-awaited installation of offshore wind turbines in 2010, advancing the country’s offshore wind turbine industry. The market is fuelled by increasing awareness as to the importance of cutting back on emissions harmful to the environment and rising oil prices. Potential obstacles to offshore wind market expansion include costly installation and the complex nature of the technology used.
Regional Market Share
- Turbines and turbine-related product demand is expected to remain high in China through 2014, according to Freedonia. The Asia-Pacific region is expected to increase its global demand share from 2% to 30% in 2014. The highest increases in share of global demand will be in Africa/Mideast as well as Central and South America, which together will represent less than 10% of global demand for turbines and turbine-related products in 2014. Demand from the US is expected to record yearly growth in excess of 3% through 2014. Western Europe demand will also be more than 3% annually through 2014.
Market Outlook
Growth in the global wind turbine market is subject to state subsidies. Government policy and legislation will continue to dictate market development to an extent over coming years.
In the EU, the offshore wind turbine market will continue to grow in importance, reports Yolé Development. Green energy is gaining ground in emerging markets like Asia and South America, with turbines and related converters representing markets that continue to grow in tandem.
To promote efficiency and cut operating and maintenance costs, industry players are likely to opt for a combination of no-gearbox, permanent magnets and full converters. Increasing demands on converters means that they require greater power electronics. The global converters market is currently worth around $4.5 billion. The market is expected to reach $5.5 billion in 2017. Growth over the five-year period ending 2017 will be fuelled by technological innovation. Leading industry players will continue to invest in improving their technological know-how to promote market growth and remain competitive.
Leading Industry Associations
More »
