Global turbine order intake has surged in the first half of 2024, with 91GW of activity according to a new analysis from Wood Mackenzie.
The 91.2GW rise marks a 23% increase year-on-year and globally, investment by developers in the period totalled US$42bn, a 3% increase on the same period of 2023.
Much of this increase was due to order intake in the second quarter, which exceeded 66GW due in large part to demand in China’s northern region.
According to the report, in addition to 70GW of orders for its domestic market, China also captured 5GW of deals abroad.
Developers in India made great strides in in the first half of 2024, yielding a 69% increase YOY. In total, APAC accounted for 85% of global intake in the period.
However, in contrast to the strong performance of OEMs in the APAC region, Western OEMs struggled due to intensifying competition over more modest demand and contributed just 13% of global order intake.
In total, order intake outside of China decreased 16% (-2.3 GW) in the first half of 2024. Intake in the Americas and Europe dropped 42% YoY with less than 10GW combined ordered in the period.
“Chinese OEMs continue to break records for order intake on activity both domestically and aboard,” said vice president, global renewables research at Wood Mackenzie Luke Lewandowski.
“Conversely, western OEMs are struggling to keep pace, challenged by China’s competitive advantages in pricing and availability.
“Soft demand in Western markets as well as policy uncertainty, inflation, and other cost pressures have also driven down activity in the US and Europe.
“China remains the undisputed leader in the industry.”
While global onshore order activity increased in the period, the offshore sector struggled, with order intake decreasing 38% YOY (-4.1 GW) as challenging project economics hindered the market.
“The offshore market has almost 30 GW of conditional orders globally, 21 GW of which are for projects in Europe and the US, but challenging economics continue to delay conversion into firm orders,” said Lewandowski.
For the first half of 2024, Envision was the leader for overall order intake, followed by Windey and Goldwind, all with more than 12GW of activity.