In a landmark development for China's renewable energy sector, turbine orders skyrocketed to unprecedented levels in 2023, reaching approximately 100GW, according to research conducted by Wood Mackenzie.
The latest analysis from the renowned research firm reveals that this marks the second consecutive year where annual order intake has exceeded 90GW, indicating sustained growth and momentum in the Chinese wind energy market.
See also: Global Wind Turbine Orders Surge in First Half of 2023, Led by Strong Demand Outside China
Despite the robust order pipeline, the translation of these orders into installations has been slower than expected, with only half of the turbine orders secured in 2022 executed by the end of 2023, as highlighted by WoodMac.
Goldwind emerged as the frontrunner among Chinese turbine Original Equipment Manufacturers (OEMs), clinching a substantial 17.7% share of the order intake. This remarkable feat catapulted Goldwind back to the top spot after a two-year hiatus, attributed largely to its consistent and impressive performance throughout the year.
Securing the second position with a commendable 17.4% share, Envision not only reinforced its stronghold in the domestic market but also emerged as the leader in overseas wind turbine order intake, securing a staggering 4.1GW.
See also: Cadeler's Offshore Wind Installation Vessel “Wind Peak” Successfully Launched in China
Mingyang retained its stronghold in the market, ranking third with a 16.1% share, reaffirming its position as the premier offshore wind turbine supplier.
Other notable players rounding up the top ten include Windey, SANY, CRRC, DEC, CSSC Haizhuang, SEWind, and United Power, each contributing significantly to the dynamic landscape of the Chinese wind energy sector.
However, despite the buoyant order intake, WoodMac's analysis underscores a concerning trend of plummeting turbine prices in China, exerting downward pressure on the financial performance of OEMs. Intense competition in the market throughout 2023 led to a new low in turbine pricing, significantly impacting the profitability of turbine manufacturers.
The repercussions of this pricing downturn were keenly felt by turbine OEMs, with substantial reductions in profits observed as low-priced turbines began deliveries in the third quarter of 2023.
