Asia-Pacific wind tower market to nearly halve in value by 2020 - GlobalData

The Asia-Pacific (APAC) wind turbine tower market will contract to USD 5.5 billion (EUR 4.9bn) by 2020 from USD 9.62 billion in 2015, GlobalData said today.

While the region will remain the largest wind turbine tower market globally through to 2020, it will experience a negative compound annual growth rate of 10.5%, according to the research and consulting company.

The main factors behind the decline are slowing wind capacity additions and falling tower costs, GlobalData said.

Rahul Khatri, analyst covering the power market, said that the APAC contraction was in line with global trends, with the total wind tower market projected to shrink to USD 14.5 billion by 2020 from USD 17.2 billion last year, mainly due to declining prices and increased tower heights in larger turbines. Tower prices are forecast to decline by 7% by 2020.

In the APAC region, China installed 33 GW of wind capacity in 2015 or 86.5% of all new wind power installations in the region. However, the country's annual additions are expected to decline in the 2016-2020 period, as it only needs to build 22 GW a year to reach its target of 250 GW of wind capacity by 2020, GlobalData said.

(USD 1.0 = EUR 0.893)

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