Wind Power Market Size

Wind Power Market size was valued at USD 104.3 billion in 2023 and is poised to grow from USD 114.83 billion in 2024 to USD 247.95 billion by 2032, growing at a CAGR of 10.1% during the forecast period (2025-2032).

One of the key drivers of the wind power industry is the falling cost of generating wind energy. Advances in technology, economies of scale, and design improvements in turbines have lowered the cost per megawatt-hour substantially, making wind energy more competitive with fossil fuels and speeding up its use worldwide.

The world wind energy industry has seen tremendous growth in the last decade, fueled by rising investment in renewable power, advancing technology, and visionary government policies supporting clean energy transitions. With the world grappling with growing pressure to reduce carbon footprint and mitigate climate change, wind energy has become one of the cornerstones of the global transition toward sustainability. The market is broadly segmented into onshore and offshore wind energy, with onshore installations traditionally leading the way because of lower costs and simplicity of installation. Offshore wind farms are increasingly becoming popular, especially in areas with high wind speeds and scarce land for onshore installations. Offshore wind farms are gaining popularity, especially in regions with high wind speeds and limited land for onshore installations, as they offer higher energy yields, reduced land-use conflicts, and access to more consistent wind resources, making them a crucial component of global renewable energy expansion. The worldwide installed wind power capacity has been growing at a strong rate with the help of positive government incentives, declining prices of wind turbine parts, and increased efficiency and output in turbines.

The explosive growth in wind turbine technology, such as increasing the size of turbines to bigger and more efficient ones with more power output, is a central driver of the industry. Growing digitalization and artificial intelligence (AI) applied to wind farm management is streamlining energy output and predictive maintenance, lowering operation costs, and enhancing efficiency. Floating offshore wind technology is increasingly becoming a game-changer since it enables the development of wind energy in deeper waters where there are stronger and more stable winds.

Energy storage technologies, especially battery pairing with wind energy, are becoming popular to mitigate intermittent issues and improve grid reliability. Moreover, the market is witnessing more interest in repowering aged wind farms through the replacement of aged turbines with new, efficient models to optimize energy production using installed assets. Governments and companies alike are committing to longer-term power purchase agreements (PPAs) to lock in renewable energy supply, further stimulating wind energy uptake. With technological advancements ongoing and economic incentives increasing, the global wind energy market is set to experience sustained expansion, with a pivotal role in the world's renewable energy future.

Key Market Attributes

As of February 2025, Iberdrola has been actively expanding its offshore wind portfolio, with projects across the UK, Germany, the USA, France, and new developments in regions like Japan, Taiwan, Ireland, the Philippines, Brazil, Sweden, and Poland. It is worth mentioning that the company is constructing the East Anglia Hub in the UK, with an installed capacity of 2,900 MW, and Saint-Brieuc in France, with an installed capacity of 496 MW. Such projects are likely to increase global offshore wind capacity over the next few years, cementing Iberdrola's position as a global renewable energy leader.

China in November 2024 initiated the construction of the world's biggest commercial floating offshore wind farm off Hainan. PowerChina will lead the project, with two phases of completion, a first phase of 200 megawatts (MW) in 2025 and 800 MW in 2027. The project signifies China's investment in the promotion of floating wind technology, which enables wind farms to reach deeper waters with denser wind flows. The project's success is likely to make China a global offshore wind power leader and encourage similar massive investments globally, heavily influencing the sector in the next four to five years.

Ørsted, alongside Eversource and the Long Island Power Authority, complete constructing the South Fork Wind Farm in March 2024, being the first U.S. offshore wind installation to commercial scale. Off the shore of New York, the installation will lead the way for expanding offshore wind energy throughout the United States. In the following decade, it will be important to the implementation of clean energy goals, mitigating carbon pollution, and promoting new job opportunities in the field of renewable energy. Its achievement provides a very positive model to follow for the future offshore wind investments and policymaking across the country.

In April 2024, Enel Green Power began operations at a new wind complex in Morro do Chapéu, Ourolândia, and Umburanas, Brazil. This €456 million investment includes 81 turbines with a total capacity of 348 megawatts. Later, in August 2024, Enel opened another wind complex in the same area, with 43 turbines and an investment of €297 million. These investments are part of Enel's overall strategy to increase renewable energy production in Latin America, supporting Brazil's sustainable energy objectives and solidifying the company's role as a major renewable energy supplier in the region.