Steel Wind Tower Market - Global Industry Report, 2031

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Steel wind tower market is primarily driven by rise in investments in wind energy and favorable government initiatives and policies

Steel Wind Tower: Introduction

Wind turbine converts kinetic energy of the wind into electric energy. It operates on a system that comprises several critical components that allow kinetic wind energy to be transformed into electric energy. Wind turbines provide clean and renewable energy to homes and offices; and help save on costs. Wind tower is an important component of a wind turbine. Wind towers are of two types: steel wind towers and concrete wind towers. Steel wind tower is the most common type, as it is easy to maintain and repair.

Key Drivers and Restraints of Steel Wind Tower Market

The steel wind tower market is primarily driven by rise in investments in wind energy and favorable government initiatives and policies. Policy interventions by countries, such as Nationally Determined Contributions (NDCs) and Sustainable Development Goals (SDGs), are creating high demand for renewable energy across the globe. Implementation of Stringent regulations to support conservation of the environment is prompting the power industry to shift toward clean and eco-friendly energy resources. Additionally, increase in power consumption in several developing countries is driving the steel wind tower market.
The cost of electricity generated by using wind energy is expected to decline in the near future, owing to technological developments. This is expected to create substantial growth opportunities for the steel wind tower market in the near future. However, fluctuation in prices of steel and increase in availability of alternatives, such as concrete wind towers, are estimated to hamper the steel wind tower market in the near future.

COVID-19 Impact Analysis

In the initial phase of the COVID-19 pandemic, lockdowns were imposed across the globe to limit the spread of the disease. This led to restriction on the movement of goods and individuals, which impacted the supply chain of wind energy projects. However, various countries announced significant investment in wind energy projects in the second quarter of 2020. Investors in wind energy announced plans to introduce 28 new offshore wind farms worth US$ 35 Bn in 2020, four times more than that in the first half of 2019. This is expected to boost the steel wind tower market in the near future.

Onshore Application Segment Held Prominent Share of Global Market

The global steel wind tower market can be segmented based on height range, application, and region
In terms of height range, the steel wind tower market can be divided into up to 80 meters and more than 80 meters. The up to 80 meters segment accounted for leading share of the global steel wind tower market in 2020. It is expected to remain highly attractive until 2031. Around 40 to 80 meters of height range is ideal for wind towers. Furthermore, wind towers of this height are cost efficient and relatively easy to maintain. They require less time and space for installation. They also do not involve any additional infrastructure.
Based on application, the global steel wind tower market can be segregated into onshore and offshore. The onshore segment dominated the steel wind tower market in 2020. Growth of this segment can be ascribed to the ongoing investment in wind energy project in onshore locations.

Asia Pacific to Constitute Major Share of Global Steel Wind Tower Market

In terms of region, the global steel wind tower market can be classified into Middle East & Africa, Latin America, Asia Pacific, Europe, and North America
Asia Pacific is expected to hold major share of the global steel wind tower market during the forecast period. Asia Pacific has one of the largest industries for renewables across the world. Demand for energy is increasing rapidly in the region due to rapid industrialization and urbanization in China, India, Japan, and Australia. Increase in Foreign Direct Investments (FDIs) in offshore and onshore wind energy in several countries in Asia Pacific is creating lucrative opportunities for players operating in the steel wind tower market. In Asia Pacific, China has the largest offshore wind capacity, with 3,060 MW new installations of offshore wind towers taking place in 2020. The total installed onshore wind capacity in Asia Pacific stood at 336,286 MW in 2020.
Europe is another major region of the global steel wind tower market. Wind energy remains the second-largest form of power generation in Europe, with total installed capacity of 194.07 GW

Key Players Operating in Global Market

Key companies operating in the global steel wind tower market are