China will continue to lead the global steam turbine market between 2019 and 2023, despite a slowdown in capacity additions, according to Monday's report by GlobalData, the London-based leading data and analytics company.
According to the report Steam Turbines for Thermal Power, Update 2019 - Global Market Size, Average Price, Equipment Market Share and Key Country Analysis to 2023, the increasing demand for uninterrupted power in developing countries like China and India, and the rise in combined-cycle and cogeneration operations are set to drive the aggregate value of the global steam turbine market to $36.70 billion between 2019 and 2023.
The global steam turbine market registered a market value of $9.25 billion in 2018, primarily driven by growth in China.
The report estimates that despite a slowdown in capacity additions, China would continue to lead the global market between 2019 and 2023, followed by India, the U.S., Egypt and Vietnam.
The report noted that Asia-Pacific (APAC) was the largest market for steam turbines during the historical period (2014–2018) with an aggregate value of $47.26 billion.
"APAC will continue to lead the global market over the forecast period with an aggregate value of $26.79 billion," the report estimates.
Commenting on the data, Bhavana Sri Pullagura, a power analyst for GlobalData, said that coal power generation is expected to gradually lose its prominence as countries across the world aim to cut down dependence on coal and switch to renewable resources and natural gas for power generation to achieve climate targets and reduce carbon emissions.
However, he asserted that technological improvements and developments in thermal power such as carbon capture and storage, combined heat and power, and Combined Cycle Gas Turbine (CCGT), and the discovery of shale gas would drive the thermal power market over the forecast period.
He also said that governments’ plans to add coal-fired capacity and the use of advanced technologies such as ultra-supercritical, supercritical and other clean coal technologies for existing and upcoming coal power plants are the major factors that will determine the future of installations globally.
By Gulsen Cagatay