The wind turbine generator sector was valued at approximately US$ 3,483.84 million in 2022 and is anticipated to grow to US$ 8,772.57 million by 2030, reflecting a compound annual growth rate (CAGR) of 12.2% from 2022 to 2030.
Government Initiatives to Foster Wind Energy are Catalyzing Market Expansion
The German government is set to propose legislation aimed at accelerating the growth of wind energy. In April 2022, it was revealed that Germany plans to install around 10 GW of new wind turbines annually starting in 2025. These efforts are part of a broader strategy to ensure that renewable energy sources will meet 80% of the nation?s electricity needs by 2030. Concurrently, the European Union is developing incentives to support offshore wind projects, which will enhance the adoption and construction of offshore wind turbines across the region, thereby increasing the demand for wind turbine components and boosting the market share of wind turbine generators in Europe. For example, in December 2021, the UK government initiated the bidding process for the fourth round of funding under the Contracts for Difference (CfD) scheme, targeting the acquisition of 12 GW of electricity capacity. This initiative includes a financial commitment of US$ 376.9 million to support green energy projects. Additionally, the UK government allocated US$ 272 million for offshore wind initiatives in the Autumn budget of 2021. As countries ramp up their efforts to embrace wind energy, the demand for components necessary for wind project construction is expected to rise significantly. This trend will encourage component manufacturers to innovate and produce more efficient parts, creating a promising opportunity for growth in the wind turbine generator market.
The United States stands as a prominent player in the wind turbine generator market, driven by increasing investments in wind energy initiatives, heightened consumer awareness regarding renewable energy, and a surge in forthcoming wind energy projects. According to projections from the Energy Information Administration (EIA), electricity demand is expected to rise from 3,930 billion kWh in 2021 to 4,019 billion kWh in 2023. Notably, in 2022, Iowa generated 62.4% of its electricity from land-based wind power sources. Furthermore, in July 2022, President Joe Biden unveiled plans to enhance offshore wind power in the Gulf of Mexico and the Atlantic Ocean near the Southeastern United States as part of a strategy to address the climate crisis. Mexico has also seen a rapid increase in its wind energy capacity in recent years. Such governmental initiatives are creating attractive opportunities within the wind turbine generator market.
Moreover, the U.S. government has established ambitious targets to deploy 30 GW of offshore wind capacity by 2030 and 110 GW by 2050. These initiatives are projected to generate enough electricity to power over 10 million homes across the U.S. with clean energy. Consequently, the combination of upcoming projects, proactive initiatives to meet these ambitious goals, and rising electricity demand is significantly boosting the need for wind turbine generators in the United States. Additionally, the presence of major component manufacturers such as General Electric, Vestas, and Siemens Gamesa Renewable Energy is fostering innovation in generator development, further propelling the growth of the wind turbine generator market in the U.S.
Key players in the wind turbine generator market include Siemens Gamesa Renewable Energy S.A., ENVISION Group, Mingyang Smart Energy, Nordex SE, Xinjiang Goldwind Science & Technology Co., Ltd., Vestas Wind Systems AS, General Electric, Zhejiang Windey Co., Ltd., Suzlon Energy Limited, and Enercon GmbH. This study has also examined several other significant market participants to provide a comprehensive overview of the wind turbine generator market and its ecosystem.