Global Floating Wind Turbine Market – Industry Trends and Forecast to 2029

Floating Wind Turbine Market Analysis and Size

Over the next ten years, it is anticipated that the offshore wind business would increase from 17 to 90 GW, making up 15% of the worldwide wind sector. In order to increase the level cost of energy (LCOE) of offshore wind farms and make offshore wind energy more affordable for our clients, GE, for instance, has committed more than $400 million in creating the most powerful offshore wind turbine. The increase in investments hastens the market's overall expansion. Furthermore, it is predicted that offshore wind farms will unquestionably be crucial in enabling the expansion of installed infrastructure in the future for a renewables-based age. In this context, the site selection process and, consequently, the operational guidelines for these wind energy-driven projects should be taken into account by an adequate regulatory framework. These factors will help the market gain momentum significantly over the forecast period.

Global floating wind turbine market was valued at USD 715.00 million in 2021 and is expected to reach USD 98102.45 million by 2029, registering a CAGR of 85.00% during the forecast period of 2022-2029. The market report curated by the Data Bridge Market Research team includes technological advancements, regulatory framework, PESTEL, porter's five forces analysis, industry standards-at a glance, raw material costs/ operational expenditure-overview, supply chain analysis, vendor selection criteria, pricing analysis, production analysis, and climate chain scenario.

Floating Wind Turbine Market Scope and Segmentation

Market Definition

Floating wind turbine, a type of offshore wind turbine, is supported by a floating foundation where most of the mass is underwater. The wind turbine can produce power thanks to the mounting construction in water depths where a stable base is impractical. With the aid of numerous mooring lines and anchors, the turbine is fastened to the ocean floor. A floating wind turbine is useful anywhere in deep water with a depth of more than 60 meters. Furthermore, unlike onshore wind turbines, floating wind turbines may produce power at a constant pace due to the constant wind flow at the coast.

Floating Wind Turbine Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• Acceleration of Sustainable and Eco-Friendly Electricity Source

The floating wind turbines uses wind energy to create electricity by building wind farms in bodies of water. This one is one of the most advanced, cost-effective, and environmentally responsible energy-producing technologies. Compared to onshore wind turbines, they have a greater size, higher wind speeds, and a number of benefits. The energy sector has also undergone a noteworthy transition toward renewable and green energy as a result of issues like the need to cut carbon emissions, the depletion of fossil resources, climate change, and others. As a result, these environment friendly features boost the market growth over the forecast period.

• Increased Benefits of Wind Energy

Wind energy provides many benefits and is one of the energy sources with the greatest rate of growth in the world. Since most of the best wind locations are located in rural areas, this has a large economic impact. Because wind turbines only occupy a small fraction of the land, farmers and ranchers can continue to use it for their livelihoods. Farmers and ranchers rent from wind power plant owners to use their property, adding to the revenue of landowners. Because wind energy is abundant and endless, the market is growing more quickly. In addition, it employs a sizable portion of the population. One of the fastest expanding occupations in the nation is wind turbine technician, which employs over 100,000 individuals in the United States. Consequently, these useful properties ultimately accelerates the demand for floating wind turbines, thus accelerating the overall growth rate for the market.

Furthermore, the rapid urbanization coupled with awareness regarding the benefits of using wind energy are major market growth drivers. Additionally, the use of renewable energy sources will encourage industry expansion. Additionally, the factors contribute to forming a strong commercial and industrial sector basis.

Opportunities

• Surging Developments and Other Energy Efficient Solutions

Furthermore, the introduction of cutting-edge technologies and energy-efficient products by the market players will further extend profitable opportunities to the market players in the forecast period of 2022 to 2029. For instance, the creation of floating foundations has already demonstrated its efficacy under difficult working conditions. The three primary floating foundation concepts are the spar-buoy, semi-submersible, and tension leg platform. Other variations include placing several turbines on a single floating foundation. The market has significant growth potential due to the leading players' increased innovation and technological improvements.

• Increasing Government Policies

There are various greener energy programs that are largely supported by a number of government policies. To contribute to a cleaner world and long-term sustainability, numerous multinational corporations are making efforts to lessen their carbon footprint. By 2050, Equinor (Norway), for instance, wants to cut its carbon emissions in half. Expansion of its renewable energy industries, especially offshore wind, which could reach 6,000 megawatts in six years and 16,000 megawatts in fifteen, is one element of the strategy. As a result, the favorable government policies and regulations associated with greener energy initiative as well as the reduction in carbon footprint generates various opportunities for the market.

Restraints/Challenges

• Dearth of Technical Expertise

The electrical systems have the greatest yearly failure rates of any fixed-base offshore wind turbine component, exceeding 0.5 in some situations, with an average downtime of just under two days per failure, according to evaluations of the failure rates of different parts of the turbine. This is the outcome of numerous technical issues that also need for qualified experts. The need for experts and professionals is further increased by improved analysis methods for combined wind and wave loading present on FOWT installations, adaptation of current manufacturing techniques to enhance the performance of turbine blades, and optimization of power cabling connections for deep water offshore operations. A significant obstacle to the expansion of the offshore wind business will be the lack of technical skills.

• High Capital and Maintenance Costs

Even though offshore wind has a high capacity factor compared to comparable technologies like solar and onshore wind, the high capital cost impedes its development. As offshore wind turbines run for years in severe marine settings, they are vulnerable to erosion. Even the most beneficial qualities, such strong wind speeds, can work against offshore wind farms. Additionally, there are generally additional logistical difficulties with offshore wind farms. Usually situated far from the coast, wind farms can be challenging to get to, especially during heavy weather and due to this, even small technological errors can be challenging and expensive to fix. As a result, the market is constrained by high capital, maintenance-related and transportation costs which will further pose as a serious challenge to the growth of the floating wind turbine market.

This floating wind turbine market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the floating wind turbine market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Floating Wind Turbine Market

The coronavirus pandemic had an adverse impact on the floating wind turbine market. Manufacturing of wind turbines was significantly disrupted by the Covid-19 outbreak in nations like China and Germany. As an illustration, the German company Nordex SE recorded negative EBITDA of $86.5 million, down from positive EBITDA of $21 million in the preceding A significant issue limiting the expansion of the floating wind turbine sector is the lack of spare parts and maintenance personnel. Due to a manpower shortage and social distance standards, planned maintenance for industrial players became a significant problem during the high wind season. The primary markets for both the manufacture of blades and the installation of wind turbines were also impacted by project delays and order cancellations. For instance, during its fiscal third quarter in 2020, Siemens Gamesa Renewable Energy SA reported a net loss of $577 million. The typical project completion time for wind energy is between 6 and 9 months. However, the majority of these projects are either at a halt or have been delayed until the second half of the fiscal year due to the lack of a big labour force and permitting delays. However, the tendency toward domestic supply chains may lessen reliance on imports while promoting domestic wind turbine production. Additionally, digitization will provide remote project supervision, minimising the labour force as much as possible.

However, by generating "green" jobs, assuring energy security, and boosting resilience, renewable energy has the ability to revive the economy. By incorporating energy transition into the overall recovery strategy, nations can develop the critical capacity to absorb shocks from pandemics or other disruptions. As a result, it is predicted that using these tactics, the market will expand quickly after COVID.

Recent Developments

• In June 2020, For the 1.4 GW Sofia Offshore Wind Farm, Siemens Gamesa Renewable Energy received a fresh order to provide 100 of its SG 14-222 DD offshore wind turbines. It is in the United Kingdom. More than 1.2 million households will be able to be powered by the project's electricity production.
• In May 2021, GE Renewable Energy announced the conclusion of the contracts for the supply, service, and warranty of turbines for the third and final phase of the Dogger Bank offshore wind farm. With the signing of the Turbine Supply Contract, GE Renewable Energy has committed to provide 87 Haliade-X 14 MW offshore wind turbines, marking the nameplate's first commercial commitment.
• In May 2021, Siemens Gamesa was named the preferred supplier for the 1,044 MW Hai Long offshore wind project. The successful partnership between Siemens Gamesa Renewable Energy and its client Hai Long Offshore Wind Project (Hai Long) has been increased to 1,044 MW.

Global Floating Wind Turbine Market Scope

The floating wind turbine market is segmented on the basis of foundation, capacity and depth. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Foundation

• Spar-buoy Foundation
• Tension-leg platform (TLP) Foundation
• Semi-submersible Foundation
• Others

 Capacity

• Up to 1 MW
• 1-3 MW
• 3-5 MW
• above 5MW

 Depth

• Shallow Water
• Deep Water

Floating Wind Turbine Market Regional Analysis/Insights

The floating wind turbine market is analyzed and market size insights and trends are provided by country, foundation, capacity and depth as referenced above.

The countries covered in the floating wind turbine market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Poland, Norway, Finland, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Nigeria, Algeria, Angola, Ghana, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Asia-Pacific dominates the floating wind turbine market in terms of market share and market revenue and will continue to flourish its dominance during the forecast period due to the large consumer base. The market's increased growth with the rapid demand for renewable energy sources within the region in the forecast period of 2022 to 2029.

North America on the other hand, is estimated to show lucrative growth over the forecast period of 2022 to 2029 due to the increased promotion of power generation through renewable energy sources within the region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Competitive Landscape and Floating Wind Turbine Market Share Analysis

The floating wind turbine market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to floating wind turbine market.

Some of the major players operating in the floating wind turbine market are

• General Electric (U.S.)
• Vestas (Denmark)
• Siemens (Spain)
• Goldwind (China)
• Shanghai Electric (China)
• ABB (Switzerland)
• Doosan Corporation (South Korea)
• Hitachi Ltd. (Japan)
• Nordex SE (Germany)
• EEW Group (Germany)
• Nexans (France)
• DEME (Belgium)
• Ming Yang Smart Energy Group Co (China)
• Envision (China)
• Rockwell Automation Inc., (U.S.)
• Hyundai Motor Company (South Korea)
• Schneider Electric (France)
• Zhejiang Windey Co., Ltd., (China)
• Taiyuan Heavy Industry Co., (China)
• Sinovel Wind Group Co., Ltd. (China)

SKU-68830