In 2020, the global gas turbine market size is registered as USD 20.38 billion and is predicted to grow at a significant CAGR of 6.8% during the forecast period (2021-2028).
A gas turbine is a combustion engine that heats a mixture of fuel and outside air at a very high temperature to convert natural gas or other liquids to mechanical energy by spinning the turbine blades. This mechanical energy fuels the generator that produces electrical energy. Gas turbines have several advantages like low operation pressures, high power to weight ratio, and is smaller compared to the most reciprocating engine of the same power rating. Reducing carbon emissions is an important role played by turbines when compared to the other combustion-based power generation applications. Globally, in the coming years, the electricity demand is going to increase by one-third of the current demand. The major gas-producing regions are the Middle East, U.S, and Russia are witnessing a major revamp in electricity generation to pursue gas-based power generation.
In emerging countries like North America, China, and Thailand, there is an availability of natural gas in large quantities with low prices. According to the report of the Energy Information Administration, in the first half of 2018, natural gas demand and supply is an average of 93.4 billion cubic feet per day that is 12% higher than the demand in the first half of 2017.
The COVID-19 outbreak is drastically impacted various business sectors like automobiles, semiconductor devices, electrical and electronic devices, food & beverages, and many more. The gas turbine market is also severely impacted by the pandemic. To curb the spread of the virus, most of the countries’ governments imposed lockdowns, a shutdown of manufacturing industries, shut off public places like restaurants, theatres, schools, colleges, and others.
Due to the lockdowns, most of the industries result in a halt of production in major cities and economics. Hence the demand for oil & gas all over the world is declined. As per the U.S EIA report, the global petroleum and liquid fuels average consumption was 94.1 million barrels per day during the first quadrant of 2020 and is declined by 5.8million barrels from the same period of 2019. Additionally, power demand from industrial and commercial end-users are resulting in a decline due to pandemic.
The prominent key players in the gas turbine market outlook are the following:
Rapid industrialization, urbanization, and fast economic growth are the major factors driving the growth of the market. Due to the stringent emission norms for gas turbine and shale gas production boom, the global gas turbine market is predicted to grow at a significant rate in the coming years. The share of natural gas would increase from 34% to 39% from 2018 to 2050 due to the growth in drilling activities as per the EIA report. By the increase in natural gas production leads to a reduction of natural gas prices that results in an increased share of electricity generated through natural gas which is accelerating the gas turbines market growth.
Power demand from industrial and commercial end-users is seen a decline due to the pandemic situation. The pandemic restricts the growth of the gas turbine market.
Launching new products and rising research and development among key players may create the opportunity to boost the gas turbine market growth.
Investments in alternate energy sources are the challenges of market growth.
The global gas turbine market has been divided into segments based on capacity, technology, application, and region.
Based on Capacity
The global market based on capacity is classified into two types as up to 200 MW and above 200 MW. Among them, above 200 MW is accounted for the largest revenue share of 67% due to the growing shift from coal to gas-based power plants. The smaller size of capacity up to 200 MW provides easy maintenance and operation.
Based on Technology
The global market based on technology is bifurcated into an open cycle and combined cycle. Out of these technologies, the open cycle segment is dominating the market by its favorable factors like lower warm-up time, quick start, lightweight, compact size, operational versatility, quick start, and less dependency on cooling water.
Based on Application
By application, the global market is categorized into three types such as power generation, industrial, and aviation. Due to increasing energy demand along with positive regulations towards the integration of sustainable energy infrastructure, power generation is predicted to hold the largest market share during the assessment period.
Based on Region
Region-wise, the global market is divided into five main geographies like North America, South America, Europe, Asia-Pacific, and the Middle East & Africa. Out of these regions, Asia-Pacific is dominating the largest market share due to the growing population along with rapid urbanization.
Regional Analysis -
Geographically, the gas turbine market is analyzed into five major regions like Asia-Pacific, Europe, North America, South America, and the Middle East & Africa. Among them, Asia-Pacific is holding the largest market share for the growing population coupled with rapid urbanization. The raw materials and labor are available at a low cost which is attractive to the global players to expand their business operations in this region. These factors are expected to drive the gas turbine market in this region.
North America is predicted to grow at a significant CAGR during the review period which leads by the U.S, Mexico, and Canada. The demand is due to the shale gas reserve and the development of new technologies in extraction and mining technology are reducing the operational costs of gas extraction in this region. Moreover, North America is also witnessed large-scale commissioning of gas-based power. The oil & gas companies produce shale gas on a commercial scale by the advanced technologies in completion techniques like multistage hydraulic fracturing, and drilling techniques like horizontal wellbores. Owing to the strong presence of gas turbine providers in the country, Saudi Arabia is predicted to be the major end-user in the Middle East & Africa
This global gas turbine market research includes the Market Overview, COVID-19 analysis, Market Dynamics, Study Objectives, Segment Overview, Regional Analysis, Competitive Landscape, Recent developments, Segmentation Table, and FAQs. The market scenario includes the market drivers, restraints, challenges, and opportunities. The market forecast segments are capacity, technology, application, and region.
The gas turbine market trends have been segmented globally based on capacity, technology, application, and region.
Up to 200 MW and above 200 MW.
Open cycle and combined cycle.
Power generation, industrial, and aviation.
Asia-Pacific, Europe, North America, and the rest of the world are the four main geographies included in the market.
|Market Size||2030: Significant Value|
|CAGR||4.80% CAGR (2022-2030)|
|Forecast Period||2022 to 2030|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)/|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Capacity and Technology|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||General Electric (U.S.), Siemens (Germany), Mitsubishi Heavy Industries Ltd. (Japan), Alstom S.A (France), Kawasaki Heavy Industries, Ltd. (Japan), Bharat Heavy Electricals Limited. (India), Ansaldo Energia, (Italy), Rolls-Royce Holdings plc. (U.K), Harbin Electric Company Limited. (China), MAN Diesel & Turbo. (Germany), Vericor Power Systems. (Georgia) and Solar Turbines Incorporated. (U.S.A).|
|Key Market Opportunities||New product launches and R&D Amongst major key Players|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The global gas turbine services market is ready to grow at a high rate for the stern emission norms for gas turbine and shale gas production boom.
The market has been by capacity, technology, application segments.
The market calculated 4.80% CAGR.
The Asia-Pacific region is the leading market for Gas Turbines.
Siemens (Germany), General Electric (U.S.), Alstom S.A (France), Kawasaki Heavy Industries, Ltd. (Japan), Mitsubishi Heavy Industries Ltd. (Japan) are the key players are leading in the market share.