Wind Tower Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2025 - 2032)

Wind Tower Market Dynamics

Government Focus Continuing To Strengthen on Green Energy

• The increasing government support for wind projects is the key driver propelling the industry growth.
• The rapid depletion of fossil fuels and the global warming caused by their usage have shifted the worldwide interest from conventional energy to green energy.
• Governments across the globe have initiated several projects and schemes to promote and encourage the generation of wind energy.
• In the U.S., wind capacity has been bolstered by the Inflation Reduction Act of 2022, which is offering an Investment Tax Credit of 30% and a Production Tax Credit of 2.75 cents per kWh for new solar and wind plants less than 1 MW in capacity through to 2025.
• Under the act, a total investment of USD 115 billion in clean energy infrastructure has been planned.
• Similarly, the North Seas Energy Cooperation has been established by the EU to develop offshore renewable energy farms and integrate them to the European grid.
• China’s 14^th Five-Year Plan for Renewable Energy plans for wind and solar energy production to increase in 1.47% each year till 2030 and by then, for these two sources to produce 26% of all the electricity used in the country.
• In all, the plan targets the production of 1,200 GW of solar and wind energy by decade-end.
• Moreover, stringent environmental regulations are being implemented around the world by international organizations in order to decrease the emission of greenhouse gases.
• This further compels local utilities to adopt clean and safe energy, which is propelling the wind tower demand.

Rising Efforts to Achieve Net-Zero Emission Drive Market

• One of the most-rapidly expanding renewable energy sources is wind energy, in part, because the prices of raw materials and the finished masts are decreasing.
• Over the previous two decades, the installed wind capacity, both onshore and offshore, has expanded globally by a factor of over 75.
• The production of wind power grew year-on-year by a record 265 TWh in 2022 (14% from 2021), as per the International Energy Agency.
• Additionally, the world's two largest wind power economies, China and the U.S., installed an unprecedented number of masts in 2022, accounting for more than half the world's total wind power capacity.
• However, in order to maintain the net-zero energy trajectory and prevent climate change, the world needs to deploy wind power three times more quickly during this decade.

High Construction and Installation Costs Hamper Market Growth

• The manufacturing of wind towers is a complex, time consuming and expensive process.
• Approximately 26% of total wind turbine cost is of wind tower and the cost further increases in case of offshore wind turbine.
• The cost of wind tower includes raw material cost, manufacturing cost, transportation cost, and maintenance cost. Similarly other components of wind turbine, such as blades and nacelle are also very expensive; therefore; a high initial cost is required for the installation of wind turbines.
• As per studies, a wind tower can cost up to USD 1.3 million per MW to construct and install.
• Hence, a normal wind tower of 2–5-MW capacity could cost up to USD 4 million at least.
• Moreover, the factor is more dominating in case of wind power generation from offshore location. Moreover, offshore towers are built to produce as much as 18 MW of electricity each, which translates into hefty expenses for setup and installation.
• The high cost of wind towers and high initial wind turbine installation cost are hampering the growth of the global wind tower market.

Segmentation and Category Analysis

Tower Type Analysis

Concrete towers held the largest revenue share in 2024, of 55%. This is because they have low transportation costs and high strength and are frequently used for huge turbines, which are, additionally, taller and require larger rotors. Moreover, the raw material for them is readily available, which drives the industry growth.

Furthermore, hybrid towers will gain the fastest traction in the coming years due to their low weight and sturdier material (a combination of tubular steel and concrete) and the increasing usage of taller wind turbines, as they reduce the cost of the tower and also provide the required strength.

These tower types have been covered:

• Tubular Steel
• Concrete (Largest Category)
• Hybrid (Fastest-Growing Category)
• Others

Application Insights

The onshore category contributed the higher revenue in 2024, and it is further expected to lead the market in the coming years. This is due to the high demand for wind power and the comparatively low setup and maintenance costs, quick installation, and low impact of such wind farms on the surroundings. Hence, according to the IEA, in 2021, a total of 830GW wind capacity was installed, of which over 90% was accounted for by onshore systems.

Additionally, onshore wind is a developed technology, present in over 115 countries across the globe. The development of turbines with longer blades and taller towers is one innovation that industry leaders are concentrating on to increase the productivity of the technology, particularly in regions with low wind velocities.

Offshore applications will witness the faster growth during the forecast period. This growth can be ascribed to the increasing installation of such turbines, need for higher energy generation, growing number of offshore wind projects, and less visual pollution created by them. In addition, the increasing technological advancements in offshore towers, such as floating platforms, which can be used at great sea depths, are driving the overall market size.

We studied the following applications:

• Onshore (Larger Category)
• Offshore (Faster-Growing Category)

Wind Tower Market Geographical Analysis

APAC was the highest revenue contributor, with around 55% share, in 2024, and it is further expected to maintain its dominance during the forecast period. This can be attributed to the increasing government support for eco-friendly technologies and the growing need for dependable, clean, and cheap power owing to the rising population. Additionally,

China dominates the market not just the APAC but the entire world, and it is expected to retain its dominance throughout the forecast period. The increasing energy demand, government initiatives to encourage the development of renewable power systems, high rate of industrialization, low material costs, and availability of cheap labor are the key factors driving the Chinese demand for windmills. As per the IEA, China added 37 GW of capacity in 2022, including 7 GW in offshore capacity, both the highest in the world.

Additionally, APAC hosts over 40% of the global offshore wind projects, of which around 25% are in China. Moreover, India plans a cumulative renewable energy capacity if 500 GW, including a wind capacity of 140 GW, by 2030.

Europe also holds a significant revenue share, owing to the presence of a large number of offshore wind companies, technological advancements, growing wind industry, increasing R&D, and government initiatives to promote power generation through renewable sources. Furthermore,

Germany, the U.K., Denmark, the Netherlands, and Switzerland are the major countries contributing to the regional market growth. After China, the highest offshore wind capacity in 2022, of 3 GW, was added by the U.K. The surge in the electricity demand due to the growing industrial sector and infrastructure development, increase in the need for energy, and rise in the standards of living are propelling the windmill erection rate.

Moreover, LATAM and the MEA offer a lucrative opportunity for wind towers, as there are fewer large-scale wind farms here as compared to other regions across the globe. However, several countries across LATAM and Africa are framing regulations to reduce their dependence on petroleum fuels and increase the production of renewable energy, which creates abundant opportunities for the manufacturers of such towers for capacity and geographical expansion.

Here are the regions and countries covered in the report:

• North America
  • U.S. (Larger Country Market)
  • Canada (Faster-Growing Country Market)
• Europe
  • Germany (Largest Country Market)
  • France
  • U.K.
  • Italy
  • Spain (Fastest-Growing Country Market)
  • Rest of Europe
• Asia-Pacific (APAC) (Largest and Fastest-Growing Regional Market)
  • China (Largest Country Market)
  • Japan
  • Australia
  • India (Fastest-Growing Country Market)
  • South Korea
  • Rest of APAC
• Latin America (LATAM)
  • Brazil (Largest Country Market)
  • Mexico (Fastest-Growing Country Market)
  • Rest of LATAM
• Middle East and Africa (MEA)
  • Saudi Arabia (Largest Country Market)
  • South Africa
  • U.A.E. (Fastest-Growing Country Market)
  • Rest of MEA

Wind Tower Market Share Analysis

• The market is consolidated as it takes considerable mechanical, electrical, and civil engineering expertise to develop wind turbines, erect towers, integrate them into an interconnected grid, operate them, and carry out maintenance and repairs.
• Moreover, the logistics of ferrying massive wind tower and turbine components from the factory to the actual site of the wind plant are complex, requiring the usage of specialized ships, barges, and other heavy-haul trailers with hundreds of wheels.
• Thus, only a handful of companies operate in the market that not only construct the towers and erect them but also manufacture the turbines and provide maintenance services.
• Further, due to the high costs involved in setting up utility scale wind towers, only government agencies and local utilities undertake such projects, contracting well-known players for the services.