Steam turbines are rotating machines that extract thermal energy from pressurized steam and convert into mechanical energy. They are widely used in steam-powered plants for electricity generation. Steam turbines offer advantages such as high reliability, low maintenance, and longevity. They play a vital role in meeting rising energy demand.
The global steam turbine market is estimated to be valued at US$ 16.63 Bn in 2023 and is expected to exhibit a CAGR of 2.2% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
The growing demand for renewable energy sources is expected to present lucrative growth opportunities for steam turbine market players. With governments across the globe focusing on increasing the share of renewable energy in overall electricity generation, traditional energy sources like coal are expected to be gradually replaced by renewable sources. Steam turbines can utilize steam produced from renewable sources like geothermal, biomass and solar thermal to generate electricity. This is estimated to boost the demand for steam turbines compatible with renewable energy sources. Steam turbine manufacturers are investing in R&D to develop turbines suitable for operation with steam generated from renewable sources. This growing compatibility of steam turbines with renewable sources can accelerate their adoption, thus driving the market growth over the forecast period.
Porter’s Analysis
Threat of new entrants: The steam turbine market requires high capital investment and technology which poses high entry barriers for new players. There is threat from large players expanding into new geographic regions.
Bargaining power of buyers: The presence of numerous established players provides options to buyers. However, buyers have less influence due to need for customized solutions and after-sales services from suppliers.
Bargaining power of suppliers: Major components such as rotors, casings, valves are supplied by few specialized players increasing their bargaining power. Suppliers can forward vertical integrate to enhance profits.
Threat of new substitutes: Alternatives such as gas turbines, hydro turbines are penetrating certain application areas. However, steam turbines have advantage for base-load power production.
Competitive rivalry: The market has few global players with extensive standardized product offerings and capabilities. Intense competition on pricing and product innovation.
SWOT Analysis
Strength: Established technology with high efficiency and proven track record. Major players have global presence and capabilities.
Weakness: Higher capital cost and dependency on coal/nuclear for steam generation. Subject to stringent environmental regulations in few regions.
Opportunity: Growing need for clean power generation in developing regions. Retrofitting of old steam turbines offers opportunities.
Threats: Shift towards renewable sources poses threats. Trade barriers and geopolitical uncertainties impact global projects.
Key Takeaways
The Global Steam Turbine Market Demand is expected to witness moderate growth over the forecast period supported by growing energy demands particularly in Asian countries. The Asia Pacific dominates the market currently owing to large coal-based thermal power plants and growing investments in renewable sector in China and India. Key regions include China, USA, India, Japan among others.
Regional analysis: The Asia Pacific region is expected to grow at the fastest pace during the forecast period. Countries such as China and India are investing heavily in setting up new coal-based and nuclear power plants which will drive the demand. However, countries are also focusing on renewables which may limit market growth to some extent.
Key players: Key players operating in the Steam Turbine Market are General Electric (GE), Siemens Energy, Mitsubishi Power, Ltd., Toshiba Corporation, Doosan Å koda Power, Ansaldo Energia S.p.A., Bharat Heavy Electricals Limited (BHEL), and Fuji Electric Co., Ltd. GE and Siemens have the largest market share with presence across all major regions. Smaller players cater to country-specific or niche market needs.
Discover More@ https://www.newsanalyticspro.com/steam-turbine-market-overview/
