Offshore Wind Market Analysis and Forecast to 2032: By Component (Turbines, Electrical Infrastructure, Substructure, Others), Location (Shallow Water, Transitional Water, Deep Water), Technology (Horizontal-axis Wind Turbines (HAWTs), Vertical-axis Wind Turbines (VAWTs), Diffuser-augmented Wind Turbines (DAWTs), Vortex Bladeless Technology, Others), Project Type (Fixed, Floating), End-user (Industrial Residential, Commercial), and Region
The Offshore Wind market size was approximately USD 36.2 Billion in 2022 and is anticipated to reach over USD 132.8 Billion by 2032, growing at a rate of nearly 14.5% from 2023 to 2032.
Offshore wind is a type of wind energy that is harvested from wind turbines that are built in bodies of water, such as oceans, lakes, and rivers. The main benefit of offshore wind farms is that they can generate large amounts of electricity without taking up much land space. In addition, offshore winds tend to be stronger and more consistent than onshore winds, making them a more reliable source of energy.
Key Trends
Offshore wind technology has seen dramatic improvements in the last few years. The key trends are:
- Turbine Size: Turbines are getting larger and more powerful. The average turbine size has increased from 2 MW in 2010 to over 4 MW in 2021. This trend is expected to continue as manufacturers continue to push the limits of turbine size and power output.
- Turbine Efficiency: Turbines are becoming more efficient as manufacturers continue to improve design and technology. The average turbine efficiency has increased from 33% in 2010 to over 40% in 2021. This trend is expected to continue as manufacturers strive to improve turbine efficiency.
- Cost: The cost of offshore wind energy has fallen dramatically in recent years. The levelized cost of energy (LCOE) has fallen from $180/MWh in 2010 to $80/MWh in 2021. This trend is expected to continue as the industry scales up and becomes more efficient.
Key Drivers
The key drivers of this market are the increasing demand for renewable energy, the declining cost of offshore wind technology, and the need to diversify energy sources.
The demand for renewable energy is increasing due to the growing awareness of the negative impacts of fossil fuels on the environment. The use of renewable energy is seen as a way to reduce greenhouse gas emissions and combat climate change. The Paris Agreement, which was signed by nearly 200 countries in 2015, calls for a transition to renewable energy in order to keep global temperature rise below 2 degrees Celsius.
The cost of offshore wind technology has declined significantly in recent years, making it more economically viable. The cost of offshore wind turbines has fallen by 50% since 2010, and the cost of offshore wind energy is now comparable to the cost of other forms of energy such as natural gas and coal.
The need to diversify energy sources is another key driver of the offshore wind market. Countries are looking to reduce their dependence on fossil fuels and move towards cleaner energy sources. This is especially true for countries that are heavily reliant on imported fossil fuels, as they are vulnerable to price fluctuations.
Restraints & Challenges
The key restraints and challenges in the offshore wind market are the high cost of installation and the lack of experience in operating these systems. Additionally, the offshore environment is more challenging and unpredictable than onshore, which can lead to higher maintenance costs. There is also the challenge of developing new technologies to reduce the cost of offshore wind energy.
Market Segments
The Offshore Wind market has been segmented into component, technology, location, project type, end-user, and region. Based on components, the Offshore Wind market has been segmented into turbines, electrical infrastructure, substructures, and others. Based on component, the Turbines segment accounted for nearly two-fifths of the Offshore Wind market share in 2022, and the Substructure segment is expected to be the fastest-growing segment during the forecast period. Based on technology, it is bifurcated into horizontal-axis wind turbines (HAWTs), vertical-axis wind turbines (VAWTs), diffuser-augmented wind turbines (DAWTs), vortex bladeless technology, and others. Based on Technology, the Horizontal-Axis Wind Turbines (HAWTs) segment captured the majority of the Offshore Wind market share in 2022. Based on the location, it is segmented into shallow, transitional, and deep water Installation. On the basis of the project type, the market is segmented into fixed and floating. Based on the project type, the fixed segment gained the majority of the Offshore Wind market revenue in 2022, and the floating segment is expected to be the fastest-growing segment during the forecast period. On the basis of the end-user, the market is segmented into industrial, commercial, and residential. Based on the End-user, the industrial segment held the largest Offshore Wind market size in 2022. Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and the Rest of the World (ROW). In 2022, Europe accounted for the largest market share in the Offshore Wind market.
Key Players
The Offshore Wind market report includes players such as ABB Ltd., DEME Group, Doosan Heavy Industries & Construction Co. Ltd., General Electric Company, Hitachi Ltd., Nordex SE, Siemens Gamesa Renewable Energy SA, Rockwell Automation, Inc., Vestas Wind Systems A/S, Envision, and others. These players adopted product approval, acquisition, product launch, partnership, and expansion to increase market share.
Offshore Wind Market Report Coverage
- The report offers a comprehensive quantitative as well as qualitative analysis of the current Offshore Wind Market outlook and estimations from 2022 to 2032, which helps to recognize the prevalent opportunities.
- The report also covers qualitative as well as quantitative analysis of the Offshore Wind Market in terms of value (USD Million) and cumulative capacity (MW).
- Major players in the market are profiled in this report and their key developmental strategies are studied in detail. This will provide an insight into the competitive landscape of the Offshore Wind Industry.
- A thorough analysis of market trends and restraints is provided.
- Region-wise, as well as country-wise conditions, are broadly evaluated in this report.
- Analytical depiction of the Offshore Wind Market along with the current trends and future estimations to depict imminent investment pockets. The overall Offshore Wind industry opportunity is examined by understanding profitable trends to gain a stronger foothold.
- Porter’s five forces analysis, average cost trend analysis, SWOT analysis, COVID-19 impact analysis, Russia-Ukraine war impact, and PESTLE analysis of the Offshore Wind Market are also analyzed.
- The report also covers market share analysis of offshore wind turbine manufacturers for operating projects as well as announced projects and 2-3 case studies related to the market.
Table of Contents
Chapter 1. Offshore Wind Market Overview
1.1 Objectives of the Report
1.2 Market Definition and Scope of the Report
1.3 Research Limitations
1.4 Research Methodologies
1.4.1 Secondary Research
1.4.2 Market Size Estimation Technique
1.4.3 Forecasting
1.4.4 Primary Research and Data Validation
Chapter 2. Executive Summary
2.1 Summary
2.2 Key Findings of the Market
Chapter 3. Premium Insights on the Market
3.1 Market Attractiveness Analysis, by Region
3.2 Market Attractiveness Analysis, by Component
3.3 Market Attractiveness Analysis, by Technology
3.4 Market Attractiveness Analysis, by Location
3.5 Market Attractiveness Analysis, by Project Type
3.6 Market Attractiveness Analysis, by End-user
Chapter 4. Offshore Wind Market Outlook
4.1 Market Segmentation
4.2 Market Dynamics
4.2.1 Market Drivers
4.2.2 Market Restraints
4.2.3 Market Opportunities
4.3 Porters Five Forces Analysis
4.3.1 Bargaining Power of Buyers
4.3.2 Bargaining Power of Suppliers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitution
4.3.5 Competitive Rivalry
4.4 PESTLE Analysis
4.5 Value Chain Analysis
4.6 Impact of the COVID-19 Pandemic on the Market
4.7 Impact of the Russia and Ukraine War
4.8 Case Studies
4.9 Offshore Wind Energy Cost and Price Trends Analysis
4.9.1 Fixed-Bottom
4.9.2 Floating
Chapter 5. Offshore Wind Market by Component
5.1 Overview
5.2 Market Size and Forecast
5.3 Turbines
5.3.1 Key Market Trends & Opportunity Analysis
5.3.2. Market Size and Forecast, by Region
5.4 Electrical Infrastructure
5.4.1 Key Market Trends & Opportunity Analysis
5.4.2 Market Size and Forecast, by Region
5.5 Substructure
5.5.1 Key Market Trends & Opportunity Analysis
5.5.2 Market Size and Forecast, by Region
5.6 Others
5.6.1 Key Market Trends & Opportunity Analysis
5.6.2 Market Size and Forecast, by Region
Chapter 6. Offshore Wind Market by Technology
6.1 Overview
6.2 Market Size and Forecast
6.3 Horizontal-Axis Wind Turbines (HAWTs)
6.3.1 Key Market Trends & Opportunity Analysis
6.3.2 Market Size and Forecast, by Region
6.4 Vertical-Axis Wind Turbines (VAWTs)
6.4.1 Key Market Trends & Opportunity Analysis
6.4.2 Market Size and Forecast, by Region
6.5 Diffuser-Augmented Wind Turbines (DAWTs)
6.5.1 Key Market Trends & Opportunity Analysis
6.5.2 Market Size and Forecast, by Region
6.6 Vortex Bladeless Technology
6.6.1 Key Market Trends & Opportunity Analysis
6.6.2 Market Size and Forecast, by Region
6.7 Others
6.7.1 Key Market Trends & Opportunity Analysis
6.7.2 Market Size and Forecast, by Region
Chapter 7. Offshore Wind Market by Location
7.1 Overview
7.2 Market Size and Forecast
7.3 Shallow Water Installation
7.3.1 Key Market Trends & Opportunity Analysis
7.3.2 Market Size and Forecast, by Region
7.4 Transitional Water Installation
7.4.1 Key Market Trends & Opportunity Analysis
7.4.2 Market Size and Forecast, by Region
7.5 Deep Water Installation
7.5.1 Key Market Trends & Opportunity Analysis
7.5.2 Market Size and Forecast, by Region
Chapter 8. Offshore Wind Market by Project Type
8.1 Overview
8.2 Market Size and Forecast
8.3 Fixed
8.3.1 Key Market Trends & Opportunity Analysis
8.3.2 Market Size and Forecast, by Region
8.4 Floating
8.4.1 Key Market Trends & Opportunity Analysis
8.4.2 Market Size and Forecast, by Region
Chapter 9. Offshore Wind Market by End-user
9.1 Overview
9.2 Market Size and Forecast
9.3 Industrial
9.3.1 Key Market Trends & Opportunity Analysis
9.3.2 Market Size and Forecast, by Region
9.4 Commercial
9.4.1 Key Market Trends & Opportunity Analysis
9.4.2 Market Size and Forecast, by Region
9.5 Residential
9.5.1 Key Market Trends & Opportunity Analysis
9.5.2 Market Size and Forecast, by Region
Chapter 10. Offshore Wind Market by Region
10.1. Overview
10.2. North America
10.2.1. Key Market Trends and Opportunities
10.2.2. Market Size and Forecast by Component
10.2.3. Market Size and Forecast by Technology
10.2.4. Market Size and Forecast by Location
10.2.5. Market Size and Forecast by Project Type
10.2.6. Market Size and Forecast by End-user
10.2.7. Market Size and Forecast by Country
10.2.8. The U.S.
10.2.8.1. Market Size and Forecast by Component
10.2.8.2. Market Size and Forecast by Technology
10.2.8.3. Market Size and Forecast by Location
10.2.8.4. Market Size and Forecast by Project Type
10.2.8.5. Market Size and Forecast by End-user
10.2.9. Canada
10.2.9.1. Market Size and Forecast by Component
10.2.9.2. Market Size and Forecast by Technology
10.2.9.3. Market Size and Forecast by Location
10.2.9.4. Market Size and Forecast by Project Type
10.2.9.5. Market Size and Forecast by End-user
10.2.10. Mexico
10.2.10.1. Market Size and Forecast by Component
10.2.10.2. Market Size and Forecast by Technology
10.2.10.3. Market Size and Forecast by Location
10.2.10.4. Market Size and Forecast by Project Type
10.2.10.5. Market Size and Forecast by End-user
10.3. Europe
10.3.1. Key Market Trends and Opportunities
10.3.2. Market Size and Forecast by Component
10.3.3. Market Size and Forecast by Technology
10.3.4. Market Size and Forecast by Location
10.3.5. Market Size and Forecast by Project Type
10.3.6. Market Size and Forecast by End-user
10.3.7. Market Size and Forecast by Country
10.3.8. Germany
10.3.8.1. Market Size and Forecast by Component
10.3.8.2. Market Size and Forecast by Technology
10.3.8.3. Market Size and Forecast by Location
10.3.8.4. Market Size and Forecast by Project Type
10.3.8.5. Market Size and Forecast by End-user
10.3.9. Denmark
10.3.9.1. Market Size and Forecast by Component
10.3.9.2. Market Size and Forecast by Technology
10.3.9.3. Market Size and Forecast by Location
10.3.9.4. Market Size and Forecast by Project Type
10.3.9.5. Market Size and Forecast by End-user
10.3.10. The UK
10.3.10.1. Market Size and Forecast by Component
10.3.10.2. Market Size and Forecast by Technology
10.3.10.3. Market Size and Forecast by Location
10.3.10.4. Market Size and Forecast by Project Type
10.3.10.5. Market Size and Forecast by End-user
10.3.11. Netherlands
10.3.11.1. Market Size and Forecast by Component
10.3.11.2. Market Size and Forecast by Technology
10.3.11.3. Market Size and Forecast by Location
10.3.11.4. Market Size and Forecast by Project Type
10.3.11.5. Market Size and Forecast by End-user
10.3.12. Sweden
10.3.12.1. Market Size and Forecast by Component
10.3.12.2. Market Size and Forecast by Technology
10.3.12.3. Market Size and Forecast by Location
10.3.12.4. Market Size and Forecast by Project Type
10.3.12.5. Market Size and Forecast by End-user
10.3.13. Belgium
10.3.13.1. Market Size and Forecast by Component
10.3.13.2. Market Size and Forecast by Technology
10.3.13.3. Market Size and Forecast by Location
10.3.13.4. Market Size and Forecast by Project Type
10.3.13.5. Market Size and Forecast by End-user
10.3.14. Rest of Europe
10.3.14.1. Market Size and Forecast by Component
10.3.14.2. Market Size and Forecast by Technology
10.3.14.3. Market Size and Forecast by Location
10.3.14.4. Market Size and Forecast by Project Type
10.3.14.5. Market Size and Forecast by End-user
10.4. Asia-Pacific
10.4.1. Key Market Trends and Opportunities
10.4.2. Market Size and Forecast by Component
10.4.3. Market Size and Forecast by Technology
10.4.4. Market Size and Forecast by Location
10.4.5. Market Size and Forecast by Project Type
10.4.6. Market Size and Forecast by End-user
10.4.7. Market Size and Forecast by Country
10.4.8. China
10.4.8.1. Market Size and Forecast by Component
10.4.8.2. Market Size and Forecast by Technology
10.4.8.3. Market Size and Forecast by Location
10.4.8.4. Market Size and Forecast by Project Type
10.4.8.5. Market Size and Forecast by End-user
10.4.9. Taiwan
10.4.9.1. Market Size and Forecast by Component
10.4.9.2. Market Size and Forecast by Technology
10.4.9.3. Market Size and Forecast by Location
10.4.9.4. Market Size and Forecast by Project Type
10.4.9.5. Market Size and Forecast by End-user
10.4.10. Japan
10.4.10.1. Market Size and Forecast by Component
10.4.10.2. Market Size and Forecast by Technology
10.4.10.3. Market Size and Forecast by Location
10.4.10.4. Market Size and Forecast by Project Type
10.4.10.5. Market Size and Forecast by End-user
10.4.11. South Korea
10.4.11.1. Market Size and Forecast by Component
10.4.11.2. Market Size and Forecast by Technology
10.4.11.3. Market Size and Forecast by Location
10.4.11.4. Market Size and Forecast by Project Type
10.4.11.5. Market Size and Forecast by End-user
10.4.12. Rest of APAC
10.4.12.1. Market Size and Forecast by Component
10.4.12.2. Market Size and Forecast by Technology
10.4.12.3. Market Size and Forecast by Location
10.4.12.4. Market Size and Forecast by Project Type
10.4.12.5. Market Size and Forecast by End-user
10.5. Rest of the World
10.5.1. Key Market Trends and Opportunities
10.5.2. Market Size and Forecast by Component
10.5.3. Market Size and Forecast by Technology
10.5.4. Market Size and Forecast by Location
10.5.5. Market Size and Forecast by Project Type
10.5.6. Market Size and Forecast by End-user
10.5.7. Market Size and Forecast by Country
10.5.8. Latin America
10.5.8.1. Market Size and Forecast by Component
10.5.8.2. Market Size and Forecast by Technology
10.5.8.3. Market Size and Forecast by Location
10.5.8.4. Market Size and Forecast by Project Type
10.5.7.5. Market Size and Forecast by End-user
10.5.9. The Middle East
10.5.9.1. Market Size and Forecast by Component
10.5.9.2. Market Size and Forecast by Technology
10.5.9.3. Market Size and Forecast by Location
10.5.9.4. Market Size and Forecast by Project Type
10.5.9.5. Market Size and Forecast by End-user
10.5.10. Africa
10.5.10.1. Market Size and Forecast by Component
10.5.10.2. Market Size and Forecast by Technology
10.5.10.3. Market Size and Forecast by Location
10.5.10.4. Market Size and Forecast by Project Type
10.5.10.5. Market Size and Forecast by End-user
Chapter 11. Competitive Landscape
11.1 Overview
11.2 Market Share Analysis / Ranking by Offshore Wind Market Revenue
11.3 Vendor Benchmarking
11.4 Developmental Strategy Benchmarking
11.4.1. Acquisitions & Mergers
11.4.2. Product Launches & Developments
11.4.3. Business Expansions
11.4.4. Partnerships, Joint Ventures, and Collaborations
11.5 Offshore wind turbine manufacturer market share
11.5.1. For operating projects
11.4.2. For announced projects
Chapter 12. Company Profiles
12.1 ABB Ltd.
12.1.1 Company Snapshot
12.1.2 Business Performance
12.1.3 Product Offering
12.1.4 Key Developmental Strategies
12.1.5 SWOT Analysis
12.2 DEME Group
12.3 Doosan Heavy Industries & Construction Co. Ltd.
12.4 General Electric Company
12.5 Hitachi Ltd.
12.6 Nordex SE
12.7 Siemens Gamesa Renewable Energy SA
12.8 Rockwell Automation, Inc.
12.9 Vestas Wind Systems A/S
12.10 Envision
12.11 Shanghai Electric Wind Power Equipment Co.
12.12 Ming Yang Smart Energy Group Limited
12.13 Goldwind
12.14 Sinovel Wind Group Co., Ltd.
12.15 Copenhagen Offshore Partners A/S
*The list of company is subject to change during the final compilation of the report
Key Players
- DEME Group
- Doosan Heavy Industries & Construction Co. Ltd.
- General Electric Company
- Hitachi Ltd.
- Nordex SE
- Siemens Gamesa Renewable Energy SA
- Rockwell Automation, Inc.
- Vestas Wind Systems A/S
- Envision
- ABB
- Shanghai Electric Wind Power Equipment Co.
- Ming Yang Smart Energy Group Limited
- Goldwind
- Sinovel Wind Group Co., Ltd.
- Nexans SA
- Copenhagen Offshore Partners A/S
Market Segments
By Component
- Turbines
- Electrical Infrastructure
- Substructure
- Others
By Location
- Shallow Water
- Transitional Water
- Deep Water
By Technology
- Horizontal-Axis Wind Turbines (HAWTs)
- Vertical-Axis Wind Turbines (VAWTs)
- Diffuser-Augmented Wind Turbines (DAWTs)
- Vortex Bladeless Technology
- Others
By End-user
- Industrial
- Commercial
- Residential
By Project Type
- Fixed
- Floating
By Region
- North America
- U.S.
- Canada
- Mexico
- Europe
- UK
- Germany
- Denmark
- Sweden
- Netherlands
- Belgium
- Rest of Europe
- Asia Pacific
- China
- Taiwan
- Japan
- South Korea
- Rest of Asia Pacific
- Rest of the World
- Latin America
- The Middle East
- Africa