Circulating Fluidized Bed Boilers Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Circulating Fluidized Bed Boilers Market is projected to expand from USD 750.53 Million in 2025 to USD 1.32 billion by 2031, registering a CAGR of 9.99%. These industrial combustion systems employ a suspended bed of solid particles to ensure efficient fuel burning at regulated temperatures. The market's growth is primarily fueled by the critical need for fuel flexibility, enabling operators to utilize various feedstocks such as biomass, refuse-derived fuel, and low-grade coal, alongside stringent environmental mandates that favor this technology for its inherent ability to limit nitrogen oxide formation and capture sulfur dioxide during combustion.

However, a major challenge hindering broader market expansion is the significant initial capital investment and elevated maintenance costs related to refractory lining, which are higher than those for conventional pulverized coal units. Despite these financial obstacles, the sector is sustained by the essential requirement for reliable baseload power. As noted by the International Energy Agency, global electricity generation from coal was anticipated to hit a record 10,700 terawatt-hours in 2024, confirming that the persistent reliance on thermal power necessitates the continued use of efficient combustion technologies within the global energy infrastructure.

Market Drivers

The rising adoption of waste-to-energy and biomass power generation acts as a major catalyst for the Global Circulating Fluidized Bed Boilers Market. CFB boilers are technically superior for these applications due to their high fuel flexibility, allowing for the efficient combustion of diverse, low-grade feedstocks like refuse-derived fuel and agricultural residues. This operational advantage is driving significant investment in modernizing infrastructure to meet renewable energy goals; for instance, Sumitomo SHI FW announced in a March 2025 press release that it had signed a turnkey contract worth approximately 100 million euros to convert a CFB boiler in Poland to run on 100% certified renewable biomass, in partnership with Fortum.

Simultaneously, strictly enforced environmental regulations requiring low emission standards are compelling heavy industries and utilities to upgrade their combustion systems. Regulatory bodies are increasingly mandating compliance measures that require retrofitting coal-fired units or integrating co-firing capabilities to reduce pollution. According to an August 2025 article by Bioenergy Insight, strict government mandates in India resulted in 71 thermal power plants adopting biomass co-firing mechanisms. This regulatory pressure supports extensive capacity expansion, as evidenced by Global Times data showing that the number of waste incineration plants in China reached 1,010 in 2025, highlighting the rapid deployment of advanced boiler technologies to address environmental concerns.

Market Challenges

The Global Circulating Fluidized Bed (CFB) Boilers Market faces a significant barrier in the form of substantial initial capital investments and high maintenance expenses, particularly those related to refractory lining wear. These financial demands notably increase the Levelized Cost of Electricity, rendering CFB technology less economically appealing than conventional pulverized coal systems or increasingly competitive renewable energy solutions. For industrial users and power plant operators, the risk of frequent downtime required for complex refractory repairs results in unpredictable operational expenditures and reduced availability, directly challenging the economic viability of new projects.

Consequently, this heavy financial burden shifts capital allocations toward more cost-effective energy alternatives, slowing the deployment rate of CFB units even in major markets. The impact of these economic constraints is visible in the declining expansion of thermal power relative to other technologies. Data from the China Electricity Council indicates that in 2024, coal-fired power capacity comprised 35.7 percent of the country's total installed generation capacity, a year-on-year drop of 4.2 percentage points. This decline illustrates how high cost structures associated with advanced combustion technologies are discouraging broader financial commitment and impeding the sector's ability to keep up with more affordable infrastructure developments.

Market Trends

The market is undergoing a distinct structural shift toward Ultra-Supercritical (USC) and Supercritical CFB technologies, motivated by the need to scale up unit capacities and maximize thermodynamic efficiency. Manufacturers are effectively overcoming past engineering constraints to deploy large-scale CFB units that match the thermal performance of traditional pulverized coal systems while maintaining superior emissions control. This technological advancement is highlighted by the State-owned Assets Supervision and Administration Commission's March 2025 announcement that Dongfang Electric Corporation successfully connected the world's first 700-megawatt ultra-supercritical CFB boiler to the grid, establishing a new global benchmark for fluidized bed combustion capacity.

At the same time, the integration of the Internet of Things and Artificial Intelligence for predictive maintenance is transforming the operational landscape, enabling utilities to manage the challenges of flexible load cycling in renewable-heavy grids. Advanced digital twins and automated control systems are being utilized to monitor component health in real-time, helping to prevent tube failures and optimize combustion stability during rapid ramp-ups. Emphasizing this digital evolution, Valmet revealed in a September 2025 press release at Flex India 2025 that its advanced automation collaborations now support flexible operations for over 4,260 megawatts of installed power capacity, using smart technologies to enhance plant responsiveness and minimize downtime.

Key Players Profiled in the Circulating Fluidized Bed Boilers Market

• Dongfang Boiler Group Co., Ltd.
• Shanghai Boiler Works Co., Ltd.
• Harbin Boiler Co., Ltd.
• Babcock & Wilcox Enterprises, Inc.
• Alstom SA
• Amec Foster Wheeler PLC
• Mitsubishi Heavy Industries, Ltd.
• Thermax Limited
• Bharat Heavy Electricals Limited
• Doosan Heavy Industries & Construction Co., Ltd.

Report Scope

In this report, the Global Circulating Fluidized Bed Boilers Market has been segmented into the following categories:

Circulating Fluidized Bed Boilers Market, by Product:

• Subcritical
• Supercritical
• Ultra Supercritical

Circulating Fluidized Bed Boilers Market, by Feedstock:

• Coal
• Petcoke
• Biomass

Circulating Fluidized Bed Boilers Market, by Capacity:

• Less than 100 MW
• 100-200 MW
• 200-300 MW
• 300 MW & Above

Circulating Fluidized Bed Boilers Market, by Fuel Type:

• Coal
• Biomass
• Others

Circulating Fluidized Bed Boilers Market, by Application:

• Energy & Power
• Oil & Gas
• Industrial
• Others

Circulating Fluidized Bed Boilers Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Circulating Fluidized Bed Boilers Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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