GLOBAL WIND TURBINE VALUE CHAIN PRODUCTION, MARKET SHARE, COMPETITIVE LANDSCAPE AND MARKET SIZE TO 2020

Transcription

1 REFERENCE CODE GDAE1096M AR PUBLICATION DATE JANUARY 2015 GLOBAL WIND TURBINE VALUE CHAIN PRODUCTION, MARKET SHARE, COMPETITIVE LANDSCAPE AND MARKET SIZE TO 2020

2 Executive Summary More Blades are being Outsourced than are being Produced In-house In 2006, XX% of blade production was in-house, and XX% was produced by independent manufacturers. Over the subsequent years, with the growth of the wind industry, Wind Turbine Generator (WTG) manufacturers focused on producing turbines, which has led to a gradual increase in the percentage of blade manufacturing being outsourced. In 2013, XX% of blades were produced by independent manufacturers, and XX% was produced in-house. Asian Tower Manufacturers Pose Threat to American Counterparts Most Asian tower manufacturers ship their wind towers to North America and Europe; the cost of production is low in Asia, and they can offer towers at competitive prices in these markets. Asian windtower manufacturing has become a threat for North American and European manufacturers. In 2012, US manufacturers appealed to the United States International Trade Commission and, in 2013, convinced the United States Department of Commerce to enforce anti-dumping duties against Chinese manufacturers exporting towers to the US (Federal Register, 2013). Similar actions were later taken against tower manufacturers in other Asian countries. Europe and Asia-Pacific Generate More than XX% of Global Wind Power Generators Most wind-generator manufacturers, including ABB, Winergy, Ingeteam, Leroy-Somer and The Switch, are based in Europe. Germany dominates the European wind-generator market, with an annual production of more than XX Gigawatts (GW). Growth in the wind-energy market of Asia- Pacific (APAC), mainly in China and India, has resulted in European wind-generator producers expanding their manufacturing base in the APAC region. Additionally, several Chinese companies forayed into the wind-generator market, leading to an increase in production. China leads the global wind-generator production market, with an annual production of XX GW. 2

3 Table of Contents 1 Table of Contents 1 Table of Contents List of Tables List of Figures Introduction Wind Market, Introduction Wind Power Market, Technology Overview Wind Power Market, Value Chain Report Guidance Wind Power Market, Global, Wind Power Market, Global, Overview Wind Power Market, Global, Market-Forces Analysis Wind Power Market, Global, Key Drivers Global Wind Power Market, Key Restraints and Challenges Wind Power Market, Global, Installed Capacity, Wind Power Market, Global, Installed-Capacity Share by Region, 2014 and Wind Power Market, Global, Installed-Capacity Share by Country, 2014 and Wind Power Market, Global, Installed-Capacity Share by Segment, 2014 and Wind Power Market, Global, Electricity Generation, Wind Power Market, Global, Generation Share by Region, 2014 and Wind Power Market, Global, Generation Share by Country, 2014 and Wind Power Market, Global, Generation Share by Segment, 2014 and

4 Table of Contents 3.5 Wind Power Market, Global, Investment Trends, Wind Power Market, Global, Levelized Cost of Energy in Major Countries, Wind Turbine Market, Global Wind Turbines, Introduction Wind Turbine Market, Installations, Wind Turbine Market, Average Turbine Size, Wind Turbine Market, Average Turbine Price and Market Size, Wind Turbine Market, Market Share, Wind Turbine Market, Changes in Market Share, Wind Turbine Market, Top Gainers and Losers, 2012 vs Wind Turbine Rotor Blade Market, Global Wind Turbine Rotor Blades, Introduction Wind Turbine Rotor Blade Technology Wind Rotor Blade Manufacturing Process Wind Turbine Rotor Blade Market, Overview Wind Turbine Rotor Blade Market, Cost Analysis Wind Turbine Rotor Blade Market, Cost Breakdown Wind Turbine Rotor Blade Market, Price Range Wind Turbine Rotor Blade Market, Market Size Wind Turbine Rotor Blade Market, Production Wind Turbine Rotor Blade Market, Global Annual Production, Wind Turbine Rotor Blade Market, In-house Production, Wind Turbine Rotor Blade Market, Independent Production,

5 Table of Contents 5.6 Wind Turbine Rotor Blade Market, Competitive Landscape Wind Turbine Rotor Blade Market, In-house Manufacturers Market Share Wind Turbine Rotor Blade Market, Independent Manufacturers Market Share Wind Turbine Rotor Blade Market, Comparison of Independent Manufacturers Wind Turbine Rotor Blade Market, Independent Manufacturers Production Sites Wind Turbine Rotor Blade Market, Global, Major Trends Blade Manufacture with New Materials to Gain Traction in Near Future More Blades are being Outsourced than are being Produced In-house Wind Turbine Gearbox Market, Global Wind Turbine Gearbox, Introduction Gearboxes Direct-Drive or Gearless Wind Turbines Wind Turbine Gearbox Market, Overview Wind Turbine Gearbox Market, Cost Analysis, Wind Turbine Gearbox Market, Market Size, Wind Turbine Gearbox Market, Production, Wind Turbine Gearbox Market, Competitive Landscape Wind Turbine Gearbox Market, Market Share, Wind Turbine Gearbox Market, Key Companies Wind Turbine Direct Drive Market, Key Companies, Wind Turbine Direct Drive Market, Market Share, Wind Turbine Gearbox Market, Major Trends

6 Table of Contents Direct Drive Permanent Magnet Generators Gain Popularity Due to Issues with Reliability in Gearbox Medium-Speed-Gearbox Technology Reduces Maintenance and Installation Costs Wind Turbine Tower Market, Global Wind Turbine Towers, Introduction Types of Wind Turbine Towers Wind Turbine Tower Market, Overview Wind Turbine Tower Market, Cost Analysis Wind Turbine Tower Market, Market Size Wind Turbine Tower Market, Competitive Landscape In-house vs. Outsourced Manufacturing Concrete vs. Steel Towers Manufacturers Display Flexibility to Reach Wind Turbine Generator Markets and Optimize Logistics Wind Turbine Tower Market, Major Trends Wind Towers Evolved from Lattice Towers to Conical Tubular Towers Combination of In-house and Outsourced Manufacturing Manufacturers Spreading Geographically to Reduce Transport Costs Wind Turbine Generator Market, Global Wind Turbine Generator, Introduction Generator Types Wind Turbine Generator Market, Overview Wind Turbine Generator Market, Average Price,

7 Table of Contents 8.4 Wind Turbine Generator Market, Market Size, Wind Turbine Generator Market, Production, Wind Turbine Generator Market, Competitive Landscape Wind Turbine Generator Market, Global, Market Share, Wind Turbine Generator Market, Key Companies Wind Turbine Generator Market, Major Trends Emerging Trend in Vertical Integration Increase in Production of Wind Generator Outsourcing Over 90% of Wind Generator Production is Concentrated in Europe and Asia-Pacific Wind Generator Technology, an Upcoming Trend Direct-Drive Generators Appendix Abbreviations Bibliography Definitions Power Installed Capacity Electricity Generation Renewable Energy Resources Methodology Coverage Secondary Research Primary Research Conversion Rates

8 Table of Contents Modeling and Forecasting Disclaimer List of Tables Table 1: Wind Power Market, Global, Installed Capacity, Table 2: Wind Power Market, Global, Installed-Capacity Share by Region (%), 2014 and Table 3: Wind Power Market, Global, Annual Installed-Capacity Share by Region (%), Table 4: Wind Power Market, Global, Installed-Capacity Share by Country (%), 2014 and Table 5: Wind Power Market, Global, Annual Installed-Capacity Share by Country (%), Table 6: Wind Power Market, Global, Installed-Capacity Share by Segment (%), 2014 and Table 7: Wind Power Market, Global, Annual Installed-Capacity Share by Segment (%), Table 8: Wind Power Market, Global, Electricity Generation (TWh), Table 9: Wind Power Market, Global, Generation Share by Region (%), 2014 and Table 10: Wind Power Market, Global, Generation Share by Country (%), 2014 and Table 11: Wind Power Market, Global, Generation Share by Segment (%), 2014 and Table 12: Wind Power Market, Global, New Investment ($bn), Table 13: Wind Power Market, Global, Levelized Cost Of Energy in Major Countries ($/kwh), Table 14: Wind Turbine Market, Global, Annual Installed Capacity (GW), Table 15: Wind Turbine Market, Global, Average Onshore and Offshore Turbine Size (MW), Table 16: Wind Turbine Market, Global, Average Turbine Price ($/kw) and Market Size ($bn), Table 17: Wind Turbine Market, Global, Market Share (%), Table 18: Wind Turbine Market, Global, Market Share (%), Table 19: Wind Turbine Market, Top Gainers and Losers (%), 2012 vs Table 20: Wind Turbine Rotor Blade Market, Cost Breakdown (%),

9 Table of Contents Table 21: Wind Turbine Rotor Blade Market, Price Range ($/kw), Table 22: Wind Turbine Rotor Blade Market, Market Size ($bn), Table 23: Wind Turbine Rotor Blade Market, Global Annual Production (MW), Table 24: Wind Turbine Rotor Blade Market, In-house Production (MW), Table 25: Wind Turbine Rotor Blade Market, Independent Production (MW), Table 26: Wind Turbine Rotor Blade Market, In-house Manufacturers Market Share (%), Table 27: Wind Turbine Rotor Blade Market, Independent Manufacturers Market Share (%), Table 28: Wind Turbine Rotor Blades Market, Comparison of Independent Manufacturers Table 29: Wind Turbine Gearbox Market, Global, Price Range ($/kw), Table 30: Wind Turbine Gearbox Market, Global, Market Size ($bn), Table 31: Wind Turbine Gearbox Market, Production (GW), Table 32: Wind Turbine Gearbox Market, Global, Market Share (%), Table 33: Wind Turbine Direct-Drive Market, Key Companies, Table 34: Wind Turbine Direct Drive Market, Global, Market Share (%), Table 35: Wind Turbine Tower Market, Price Range ($/kw), Table 36: Wind Turbine Tower Market, Market Size ($bn), Table 37: Wind Tower Market, Leading Wind Turbine Generator Manufacturers, Tower Supply, Table 38: Wind Tower Market, Leading Tower Manufacturers, Geographic Location, Table 39: Wind Turbine Generator Market, Global, Price Range ($/kw), Table 40: Wind Turbine Generator Market, Global, Market Size ($bn), Table 41: Wind Turbine Generator Market, Production (GW), Table 42: Wind Turbine Generator Market, Global, Market Share (%), Table 43: Abbreviations Table 44: Offshore Wind Market, Global, Conversion Rate, to $

10 Table of Contents 1.2 List of Figures Figure 1: Wind Power Market, Global, Value-Chain Activities Figure 2: Wind Power Market, Global, Market-Forces Analysis Figure 3: Wind Power Market, Global, Installed Capacity (GW), Figure 4: Wind Power Market, Global, Installed-Capacity Share by Region (%), 2014 and Figure 5: Wind Power Market, Global, Annual Installed-Capacity Share by Region (%), Figure 6: Wind Power Market, Global, Installed-Capacity Share by Country (%), 2014 and Figure 7: Wind Power Market, Global, Annual Installed-Capacity Share by Country (%), Figure 8: Wind Power Market, Global, Installed-Capacity Share by Segment (%), 2014 and Figure 9: Wind Power Market, Global, Annual Installed-Capacity Share by Segment (%), Figure 10: Wind Power Market, Global, Electricity Generation (TWh), Figure 11: Wind Power Market, Global, Generation Share by Region (%), 2014 and Figure 12: Wind Power Market, Global, Generation Share by Country (%), 2014 and Figure 13: Wind Power Market, Global, Generation Share by Segment (%), 2014 and Figure 14: Wind Power Market, Global, New Investment ($bn), Figure 15: Wind Power Market, Global, Levelized Cost Of Energy in Major Countries ($/kwh), Figure 17: Wind Power, Major Turbine Components, Figure 18: Wind Turbine Market, Global, Annual Installed Capacity (GW), Figure 19: Wind Turbine Market, Global, Average Onshore and Offshore Turbine Size (MW), Figure 20: Wind Turbine Market, Global, Average Turbine Price ($/kw) and Market Size ($bn), Figure 21: Wind Turbine Market, Global, Market Share (%), Figure 22: Wind Turbine Market, Global, Market Share (%), Figure 23: Wind Turbines, Top Gainers and Losers, 2012 vs Figure 24: Wind Turbine Rotor Blade Market, Cost Breakdown (%),

11 Table of Contents Figure 25: Wind Turbine Rotor Blade Market, Price Range ($/kw), Figure 26: Wind Turbine Rotor Blade Market, Market Size ($bn), Figure 27: Wind Turbine Rotor Blade Market, Global Annual Production (MW), Figure 28: Wind Turbine Rotor Blade Market, In-house Production (MW), Figure 29: Wind Turbine Rotor Blade Market, Independent Production (MW), Figure 30: Wind Turbine Rotor Blade Market, In-house Manufacturers Market Share (%), Figure 31: Wind Turbine Rotor Blade Market, Independent Manufacturers Market Share (%), Figure 32: Wind Turbine Rotor Blades Market, Independent Manufacturers Production Sites Figure 33: Wind Turbine Gearbox Market, Global, Price Range ($/kw), Figure 34: Wind Turbine Gearbox Market, Global, Market Size ($bn), Figure 35: Wind Turbine Gearbox Market, Production (GW), Figure 36: Wind Turbine Gearbox Market, Global, Market Share (%), Figure 37: Wind Turbine Direct Drive Market, Global, Market Share (%), Figure 38: Wind Turbine Tower Market, Price Range ($/kw), Figure 39: Wind Turbine Tower Market, Market Size ($bn), Figure 40: Wind Turbine Generator Market, Global, Price Range ($/kw), Figure 41: Wind Turbine Generator Market, Global, Market Size ($bn), Figure 42: Wind Turbine Generator Market, Production (GW), Figure 43: Wind Turbine Generator Market, Global, Market Share,

12 Introduction 2 Introduction 2.1 Wind Market, Introduction Wind energy is the conversion of wind flow into a useful form of energy, such as power production through turbines, water pumping, and windmills for mechanical energy. Wind power is an alternative source of power generated from the flow of the earth s air currents through a wind turbine. Wind power is a clean source of energy as it does not emit carbon. A wind turbine is used to harness kinetic energy to convert it into electricity for residential, commercial and industrial purposes. Hundreds of wind turbines connected to an electrical power transmission system at the same site form a wind farm. Wind power is classified into onshore and offshore based on the location of the wind farm. A wind farm constructed on land generates onshore wind power, while wind power generated from wind farms constructed in larger water bodies is known as offshore wind power. 2.2 Wind Power Market, Technology Overview A wind turbine is a circular instrument that converts mechanical energy to electricity. It is also known as a wind generator, Wind Turbine Generator (WTG), Wind Power Unit (WPU), Wind Energy Converter (WEC) and an aero generator. According to design, wind turbines are broadly classified into two types: Horizontal Axis Wind Turbine (HAWT) Vertical Axis Wind Turbine (VAWT) A HAWT is the most common and simple type of wind turbine. Today, the majority of wind turbines operate on a horizontal axis with three blades that are attached to a rotor from which the electricity is transferred to a generator though a gearbox. A gearbox and generator are contained in a nacelle. Some of the turbines do not have a gearbox, and the electricity is transferred directly to the generator. Electricity is then transmitted to the transformer and fed into the grid through transmission lines, resulting in an efficient and cost-effective turbine technology. VAWTs are not very popular, owing to their low efficiency, and are largely sourced by individual investors. The technology arranges the main rotor shaft of turbines vertically. To date, the most commonly used wind turbine for commercial purposes are HAWTs. 12

13 Introduction 2.4 Report Guidance The report begins with an executive summary, which provides a snapshot of the major indicators in the global wind-turbine value chain. Section 2 defines the wind-power market and its value chain. Section 3 details the global wind-power developments during the period and the expected market trends during the forecast period. It starts with an overview of the global market and the market forces influencing the wind-power market. The section covers the installed capacity and generation of key countries. The section also covers investment trends, the Levelized Cost Of Energy (LCOE) of the major countries, and the major debt providers. Section 4 provides information on the average turbine size for both onshore and offshore wind during the period, the average turbine price trends and market size during the period, and the turbine market shares of the key companies. Sections 5 8 analyze the major wind-turbine components, including rotor blades, gearboxes, towers and generators. Each section starts with an introduction of the component, which is followed by an overview of the market. A study on global average cost and market size is covered for the components mentioned. Information on global production (in terms of MW) and insights on the competitive landscape are provided for the four components covered in the report. Each section concludes with insights on the major trends in the markets for the different wind-turbine components. 14

14 Wind Power Market, Global, Wind Power Market, Global, Annual Installed-Capacity Share by Region, 2014 APAC had the highest market share in terms of annual wind-power capacity in 2014, with an estimated share of XX%. It was followed by Europe, which accounted for an estimated XX%, North America, which accounted for an estimated XX%, and South America, which accounted for an estimated XX%. The Middle East and Africa had a combined share of only XX%. The following graph shows the market share of each region in terms of annual installed power capacity in Figure 5: Wind Power Market, Global, Annual Installed-Capacity Share by Region (%), 2014 South America Middle East and Africa North America APAC Europe Source: GlobalData, Power Database [Accessed on December 12, 2014] Table 3: Wind Power Market, Global, Annual Installed-Capacity Share by Region (%), 2014 Region 2014 APAC Europe North America South America Middle East and Africa Source: GlobalData, Power Database [Accessed on December 12, 2014] Note: Figures are rounded off and may not add up to 100% 23

15 Wind Turbine Rotor Blade Market, Global 5.4 Wind Turbine Rotor Blade Market, Market Size The global market size peaked in 2009, at $XX billion, despite the price of rotor blades peaking in This was due to a high annual capacity addition. It fluctuated in the following years and reached $XX billion in It is expected to fluctuate further from 2015, owing to fluctuating levels of annual capacity addition, although the price range is expected to stay stable. The following figure illustrates the value of the market for rotor blades from 2006 to Figure 25: Wind Turbine Rotor Blade Market, Market Size ($bn), Market size ($bn) Source: GlobalData

16 Appendix 9 Appendix 9.1 Abbreviations Table 43: Abbreviations Acronym APAC CAGR DD DFIG EPC FiT FRP GW HAWT IG kw kwh LCOE MW MWh OEM O&M PVC R&D PMG PMSG ROC RTM SCRIMP SHFRP SPRINT TECSIS TWh VARTM VAWT WEC WPU WTG Source: GlobalData Expanded form Asia-Pacific Compound Annual Growth Rate Direct-Drive Doubly Fed Induction Generator Engineering, Procurement and Construction Feed-in Tariff Fiber Reinforced Plastic Gigawatt Horizontal Axis Wind Turbine Induction Generator kilowatt Kilowatt hour Levelized Cost Of Energy Megawatt Megawatt hours Original Equipment Manufacturer Operations and Maintenance Polyvinyl Chloride Research and Development Permanent Magnet Generator Permanent Magnet Synchronous Generators Renewable Obligation Certificate Resin Transfer Molding Seeman Composites Resin Infusion Molding Process Shanghai FRP Research Institute SP Resin Infusion Technology Tecnologia e Sistemas Avancados Ltda Terawatt hour Vacuum-Assisted Resin Transfer Molding Vertical Axis Wind Turbine Wind Energy Converter Wind Power Unit Wind Turbine Generator 118

17 Appendix 9.2 Bibliography Anaheim Automation (2012). Gearbox Guide. Anaheim Automation. Available from: [Accessed on December 4, 2014] EWEA (2009). The Economics of Wind Energy. European Wind Energy Association. Available from: s_of_wind_energy March_2009_.pdf Federal Register (2013). Utility Scale Wind Towers From the People's Republic of China: Antidumping Duty Order. Federal Register. Available from: [Accessed on December 10, 2014] Gurit (2010). Wind Energy Handbook Blade Manufacturing Processes. Gurit Services. Available from: Oanda (2014), Historical Exchange Rates. Oanda Corporation. Available from: {Accessed on December 1, 2014] Power Engineering (2012). Direct Drive vs. Gearbox: Progress on Both Fronts. Power Engineering. Available from: 3/features/direct-drive-vs-gearbox-progress-on-both-fronts.html [Accessed on December 9, 2014] Ragheb A and Ragheb M (2010). Wind Turbine Gearbox Technologies. International Nuclear and Renewable Energy Conference Available from: Terra Magnetica (2009). How Does The Use Of Permanent Magnets Make Wind Turbines More Reliable? Terra Magnetica. Available from: [Accessed on December 5, 2014] 119

18 Appendix Wood K (2012). Wind Turbine Blades: Glass Vs Carbon Fiber, Composites World, May 31, Available from: [Accessed on December 1, 2014] 9.3 Definitions Power Power refers to the rate of production, transfer or energy use, usually related to electricity. It is measured in Watts (W) and often expressed in kilowatts (kw) or Megawatts (MW). It is also known as real power or active power Installed Capacity Installed capacity refers to the generator s nameplate capacity as stated by the manufacturer, or the maximum rated output of a generator under given conditions. It is given in Megawatts (MW) on a nameplate affixed to the generator Electricity Generation Electricity generation refers to the process of generating electricity from other forms of energy. It also refers to the amount of electricity produced, expressed in Gigawatt hours (GWh) Renewable Energy Resources Renewable energy resources are those that provide energy that is naturally replenished but limited in the amount of energy available per unit of time. Biomass, geothermal, solar, small hydro and wind are examples of renewable resources. 9.4 Methodology GlobalData s dedicated research and analysis teams consist of experienced professionals with advanced statistical expertise and marketing, market research and consulting backgrounds in the energy industry. GlobalData adheres to the codes of practice of the Market Research Society ( and Strategic and Competitive Intelligence Professionals ( All of GlobalData s databases are continuously updated and revised. The following methodology has been followed for the collection and presentation of data presented in this report. 120

19 Appendix Coverage The objective of updating GlobalData s coverage is to ensure that it represents the most up-to-date vision of the industry possible. Changes to the industry taxonomy are built on the basis of extensive research of company, association and competitor sources. Company coverage is based on three key factors: market capitalization; revenues; and media attention and innovation and market potential. An exhaustive search of 56 member exchanges is conducted and companies are prioritized on the basis of their market capitalization. The estimated revenues of all major companies, including private and governmental, are gathered and used to prioritize coverage. Companies that are making the news, or that are of particular interest due to their innovative approach, are prioritized. GlobalData aims to cover all major news events and deals in the alternative energy industry, updated on a daily basis Secondary Research The research process begins with extensive secondary research using GlobalData s proprietary databases and external sources. The secondary research sources that are typically referred to include, but are not limited to: Company websites, annual reports, financial reports, broker reports, investor presentations and SEC filings Industry trade journals and other literature Proprietary and external databases National government documents, statistical databases and market reports News articles, press releases and web-casts specific to the companies operating in the market 121

20 Appendix Primary Research GlobalData conducts extensive primary interviews with industry participants and commentators in order to validate its data and analysis. A typical research interview fulfills the following functions: Obtains the interviewee s perspective on the market size, growth trends, competitive landscape and future outlook Validates and strengthens secondary research findings Further develops the analysis team s expertise and market understanding Primary research involves interactions, telephone interviews and face-to-face interviews for each market, category, segment and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to: Industry participants: CEOs, VPs, business development managers, market intelligence managers and national sales managers Outside experts: investment bankers, valuation experts, research analysts and key opinion leaders specializing in alternative energy industry Conversion Rates The following conversion rates have been used. Table 44: Offshore Wind Market, Global, Conversion Rate, to $ Year Conversion factor Source: GlobalData; Oanda,

21 Appendix Modeling and Forecasting In-house models are used to forecast data and in the event of data gaps. Historical data and the analysis of trends within it form the basis of all forecasting methodology. A range of qualitative and quantitative factors are taken into account to estimate future growth. The forecast data are validated by industry experts and in a back-of-envelope test. 9.5 Disclaimer All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher, GlobalData. This report is a licensed product and should not to be reproduced without prior permission. 123