Wind Power Market Analysis

Global Wind Power Market Overview:

Wind Power Market Size was valued at USD 105.9 billion in 2021. The wind power market industry is projected to grow from USD 118.61 Billion in 2022 to USD 262.20 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 12.00% during the forecast period (2024 - 2030). The rise in pollution levels in the environment and health issues and increasing awareness of renewable energy sources are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

July 2024: Vestas secured a contract to supply 60 V150-4.2 MW wind turbines for a 252 MW project in the United States. The project will be Vestas' largest order in North America this year.

Wind Power Market Trends

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  A significant surge in demand for renewable power sources to boost the market growth

  
  

It is anticipated that an enormous increase in demand for renewable energy sources will propel the expansion of the wind turbine market. Governments worldwide encourage sustainable energy sources since they can cut carbon emissions, unlike conventional power sources. Additionally, offshore wind power technology does away with the sea depth restriction, making it easier to choose the ideal location for power generation. For instance, in June 2017, the Norwegian energy corporation Statoil committed $268 million to its Hywind turbine project. The project entailed installing floating wind turbines off Scotland's northeast coast at a depth of 78 meters. Additionally, compared to traditional fossil energy sources, wind power has better efficiency (coal, natural, and oil). The wind turbine has a maximum efficiency of up to 59%, compared to 35–45% of fossil fuels.

In the last ten years, wind power had enormous growth, and it is anticipated that it will continue to compete in the energy market. Less than 2% of the world's total power supply came from wind energy in 2010. Its contribution climbed by more than 6% in 2020 and is predicted to expand by more than 10% by 2030 due to enhanced generation and increased capacity. With a CAGR of more than 10%, the total installed wind turbine capacity expanded from more than 190 gigawatts (GW) in 2010 to more than 740 GW in 2020. To reach a total installed capacity of more than 1800 GW by 2030, the capacity is anticipated to grow at a CAGR of more than 9% between 2020 and 2030.

To reduce carbon emissions, both developed and developing countries' regulatory authorities and agencies are focusing on lowering reliance on conventional energy sources and boosting the production of power from renewable energy sources like solar and wind. During the anticipated time, the demand for the wind turbine has expanded across several sectors, including healthcare, food & beverage, and residential, enhancing the wind power market CAGR globally in recent years.

Due to favorable regulations for new wind power installations, the wind power industry has been expanding steadily in the United States. 9.2% of the electricity produced in the US in 2021 came from wind energy. Because of the growing viability of onshore and offshore wind farms and the acceleration of the expansion, it is anticipated that demand for wind turbines will rise during the projected period, another factor driving the wind power market revenue growth.

Wind Power Market Segment Insights:

Wind Power Application Insights

The Wind Power Market segmentation, based on application, includes residential, commercial, and industrial. The industrial segment held the majority share in 2021 of the Wind Power Market revenue. Industrial wind power is often deployed in sizable wind farms with multiple turbines linked to the country's transmission network. Large-scale utility-scale wind turbine projects require several land, building, and other permissions in addition to careful relationship management with various process players. Removing obstacles to the installation of utility-scale projects is anticipated to fuel the industrial segment's expansion.

Wind Power Installation Insights

The Wind Power Market segmentation, based on installation, includes onshore and offshore. The onshore segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period 2022-2030. Due to its lower cost than offshore wind power, simple installation procedures, and decrease in greenhouse gas emissions, onshore wind power has become the most popular renewable energy source across all areas (GHG). Compared to fossil fuel sources of generation, the Levelized Cost of Electricity (LCOE) for established onshore wind projects is already low. This trend is expected to continue, lowering installation costs and enhancing the performance of wind power plants in the future, positively impacting market growth.

Wind Power Turbine Capacity Insights

The Wind Power Market data has been bifurcated by turbine capacity into <100 KW, 100 KW to 500 KW, 500 KW to 1 MW, 1MW to 3 MW, and > 3 MW. The > 3 MW segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period 2022-2030. In 2021, newly installed wind turbines in the United States had an average capacity of 3.0 megawatts (MW), up 9% from 2020 and 319% from 1998–1999. The number of turbines installed in the 2.75-3.5 MW category and the percentage of turbines 3.5 MW or more grew in 2021. Lower costs are ultimately achieved because higher-capacity turbines require fewer turbines to produce the same energy across a wind farm.

Figure 2: Wind Power Market by Turbine Capacity, 2021 & 2030 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Wind Power Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. North America Wind Power market accounted for USD 46.49 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. During the forecast period, it is expected that the industry will see a wide range of commercial prospects because of the enormous wind energy potential and a decline in the cost of sophisticated technology.

Further, the major countries studied in the market report are: The U.S., Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: Wind Power Market Share By Region 2021 (%)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe wind power market accounts for the second-largest market share. The demand for wind power is anticipated to rise during the projection period due to falling wind power generation costs, rising environmental awareness, and support from numerous governments in the form of financial incentives.  Further, the Germany wind power market held the largest market share, and the UK wind power market was the fastest-growing market in the European region.

The Asia-Pacific Wind Power Market is expected to grow at the fastest CAGR from 2022 to 2030. Due to continued actions and investments made by the government to support industrial growth, China has the highest installation in the area. Moreover, China wind power market held the largest market share, and the India wind power market was the fastest-growing market in the Asia-Pacific region.

Wind Power Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the wind power market grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the wind power industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

One of the primary business strategies manufacturers adopt in the global wind power industry to benefit clients and expand the market sector is manufacturing locally to reduce operating costs. In recent years, the wind power industry has provided some of the most significant benefits. The wind power market major player such as Vestas (Denmark), General Electric (US), Senvion SA (Germany), Wind World Limited (India), and others are working on expanding the market demand by investing in research and development activities.

Founded in 1945, Vestas is a Danish company that produces, sells, installs, and maintains wind turbines. The company has manufacturing facilities in the following countries: China, Brazil, Poland, Sweden, Norway, Australia, Denmark, Germany, the Netherlands, Taiwan, India, Italy, Romania, the United Kingdom, Spain, and the United States. In September 2022, the tallest onshore wind farm tower was unveiled by Vestas. To reach the zone of stronger and more stable winds, use the 199-meter structure.

Also, the Spanish-German wind engineering firm Siemens Gamesa Renewable Energy S.A. is situated in Zamudio, Biscay, Spain. In addition to offering onshore and offshore wind services, it manufactures wind turbines. It is the second-largest producer of wind turbines in the world. In 2022, To install 3GW of offshore wind power in Taiwan, Siemens Gamesa entered into a partnership with Swancor Holding Co., a green material manufacturer based in Taiwan.

List of the Key Companies in the wind power market include

• Vestas (Denmark)


• General Electric (US)


• Senvion SA (Germany)


• Wind World Limited (India)


• Orient Green Power Company (India)


• Indowind (India)


• DNV GL (Norway)


• Siemens Gamesa Renewable Energy SA (Spain)


• Goldwind (China)


• Bergey Wind Power (US), among others

Wind Power Industry Developments

• August 2022: To implement investments in the development of wind farms offshore Poland, EDF Renewables and Ferrovial's Polish subsidiary Budimex signed a memorandum of agreement. On a 50/50 basis, the two businesses will concentrate on the nation's second stage of offshore development.


• November 2021: Google committed to purchasing 50 MW of wind energy from a Danish energy giant's offshore wind farm in the German North Sea. The 12-year Corporate Power Purchase Agreement (CPPA) will help Google meet its goal of running all of its data centers on carbon-free electricity by the year 2030.


• September 2022: After exercising its right of entry, Vattenfall AB was granted permission to develop the N-7.2 offshore wind power project off the coast of Germany's North Sea.

Wind Power Market Segmentation

Wind Power Application Outlook

• Residential


• Commercial


• Industrial

Wind Power Installation Outlook

• Onshore


• Offshore

Wind Power Turbine Capacity Outlook

• <100 KW


• 100 KW to 500 KW


• 500 KW to 1 MW


• 1MW to 3 MW


• > 3 MW

Wind Power Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America