North America Wind Power Equipment Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The North America wind power equipment market is expected to rise at a CAGR of more than 3% during the forecast period of 2020-2025. Factors such as rising investments in wind farms and reducing cost of wind energy, are likely to drive the North America wind power equipment market. However, increasing adoption of alternate clean power sources is expected to restraint the market

Key Highlights

• Onshore deployment is the largest segment in 2020 and is expected to be the most significant sector in the forecast period. The region heavily use the onshore segment as the countries have sparsely populated regions with high-speed winds, which act as the optimal conditions for the wind power generation.
• Canada has committed to reducing greenhouse gas emissions by 30 percent by 2030 and recognizes the importance of a clean electricity grid in supporting that objective. A part of the target is expected to be completed using wind energy, which may act as an opportunity for the market players.
• The United States is expected to be the largest market for the region's wind power equipment market due to increasing investment in the sector and the highest installed capacity of wind energy, in the region.

Key Market Trends

Onshore Segment to Dominate the Market

• Onshore wind power refers to wind farms that are located on land and use the wind to generate electricity. The North America region is overwhelmingly constituted of the onshore wind farms due to its cheaper cost, sparse land, and high-speed winds that can be found in areas such as the Great Plains.
• New types of onshore turbines are being introduced into the market to increase wind energy efficiency by changing the wind turbine’s design. For Example, in 2018, General Electric Company has produced a 5.3 MW turbine with a 153-meter rotor diameter, meaning that each blade is about 80 meters long. The manufacturer attributes the increased blade length to a new carbon fiber technology that enables a two-piece blade that can be assembled on-site. The benefit of a two-piece blade is that it can be used at places where the use of a traditional blade is not feasible. The introduction of new equipment is expected to make the market more viable and aid the growth of the power equipment market.
• Suncor Energy Inc. is expected to invest in a USD 300 million wind power project in Alberta, Canada. The project is expected to be concluded in two phases; the first phase is scheduled to start in 2020. The project, once completed, is expected to include 89 wind turbines for a total of 400 megawatts. Rising investments into the sector are expected to aid the growth in the segment.
• Onshore installed wind capacity in North America, increased by 10.24% from 112,080 megawatt, in 2018 to 123,559 megawatt, in 2019. The installed capacity is expected to further increase in the forecast period due to increasing investments.
• Hence, the onshore wind power equipment market is expected to grow significantly in the forecast period due to increasing investments and new technological advances in the field.

United States to Dominate the Market

• The installed wind energy capacity in the country increased by 9.71%, from 94,417 megawatt, in 2018 to 103,584 megawatt, in 2019. New wind projects are being commissioned in the country, which is expected to boost the wind power equipment market.
• GE is investing in developing the Haliade-X, offshore wind turbine, the most powerful offshore wind turbine in the world with a capacity to generate 12 MW. In addition to being the most powerful wind turbine in the world, the Haliade-X is also expected to be the most efficient ocean-based wind platform, with a leading capacity factor of 63%. GE's investment in the Haliade-X is expected to help make offshore wind a more cost-effective and competitive source of clean energy.
• Orsted A/S, with the support of Public Service Enterprise Group (PSEG), is expected to construct New Jersey's first utility-scale offshore wind farm. The 1,100 MW project is expected to start the construction in the 2020s, with the wind farm getting operational in 2024. Orsted A/Swill deploy Haliade-X 12MW wind turbines on the 1,100MW Ocean Wind off the coast of New Jersey New projects are expected to increase the demand for wind power equipment in the forecast period.
• In 2019, The United States Department of Energy (DOE) had selected four projects totaling up to USD 8 million in investment from the department to develop next-generation wind turbine drivetrain technologies that are expected to facilitate the continued growth of wind turbines for both land-based tall wind and offshore applications. Investments in the research for wind energy is likely to provide growth to the market.
• Hence, the United States is expected to dominate the North America wind power equipment market, due to significant scale investments and technological advancements in the sector.

Competitive Landscape

The North America wind power equipment market is moderately fragmented. Some of the key players in this market include Nordex SE, General Electric Company, and Siemens Gamesa Renewable Energy S.A, Vestas Wind Systems AS, and Xinjiang Goldwind Science & Technology Co., Ltd.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support