Floating Offshore Wind Power Market Size to Reach USD 5,326.4 Million in 2032
The floating offshore wind power market size reached USD 304.7 Million in 2024 and is expected to register a revenue CAGR of 43.6% during the forecast period
December 16, 2024 – Growing Investments in renewable energy is the key factor driving revenue growth of global floating offshore wind power market. Governments, corporations, and financial institutions across the globe are increasingly investing funds into renewable energy projects to achieve carbon neutrality and meet global climate goals. According to The International Energy Agency (IEA), global energy investment is expected to surpass USD 3 trillion for the first time in 2024, with USD 2 trillion allocated to clean energy technologies and infrastructure. Since 2020, investment in clean energy has seen significant growth, with expenditures on renewable power, grids, and storage now exceeding the combined spending on oil, gas, and coal. Investments are also being directed toward technological advancements and infrastructure development, such as floating platforms and advanced turbine designs, which are expected to boost revenue growth of the market.
According to RenewablesUK, the global installed capacity for floating offshore wind currently stands at 277 MW. In 2023, the global pipeline for new floating projects reached approximately 244 GW, marking a 32% growth compared to 2022. Of these pipeline projects, 175 GW are in the early development stages, 68 GW are in planning or have lease agreements, 576 MW have received consent or are in the pre-construction phase, and 46 MW are under construction. In 2022, approximately 200 MW of floating wind projects had been deployed.
However, rising competition from other renewable sources such as solar power and onshore wind is a significant factor restraining revenue growth of the market. These alternatives require lower capital investment, have shorter project development timelines, and benefit from more established supply chains. Advancements in solar technologies and battery storage solutions are further enhancing the appeal of solar power as a reliable and cost-effective option. This competitive landscape creates pressure on floating offshore wind developers to reduce costs, optimize technologies, and streamline project execution to remain financially viable and limit the revenue growth of the market.
Key Highlights:
- Turbine and Tower segment is expected to register a significant revenue growth rate over the forecast period due to the advancements in turbine technology and increasing demand for high-capacity towers to support floating platforms in deep-water locations. In addition, the rising adoption of floating wind farms, which require specialized towers to accommodate the unique dynamics of floating platforms, further drives the demand for this segment.
- Shallow Water (0-30 meters) segment is expected to have a modest CAGR throughout the forecasted period due to its strategic positioning in coastal areas where installation costs are comparatively lower than in transitional and deeper waters. Shallow waters provide easier access for maintenance, reduced logistical challenges, and enhanced grid connectivity to onshore power infrastructure. These factors make it an attractive option for initial project developments and pilot programs.
- Europe accounted for largest revenue share in 2024 in the floating offshore wind power market. Floating offshore wind projects are rapidly advancing in Europe, with Norway and the United Kingdom leading the way, while France, Spain, Italy, and Portugal are intensifying their efforts to establish new developments. European Union countries and regions with deep waters, ranging from 50 to 1,000 meters, are actively exploring the potential of floating offshore wind. In October 2023, the European Union introduced its Wind Action Plan, featuring 15 key recommendations aimed at achieving a target of 500 GW in offshore wind capacity by the decade’s end. The plan focuses on accelerating project deployment, streamlining permitting processes, and redesigning auction frameworks to drive progress.
- Some major companies in the global market report include Ørsted A/S, Equinor ASA, Siemens Gamesa Renewable Energy, GE Vernova, Vestas Wind Systems, BW Ideol AS, Principle Power, Blue H Technologies, RWE, MODEC, Inc, Iberdrola, S.A, and TechnipFMC plc.
- On 10 November 2023, Danish wind turbine manufacturer Vestas was selected as the preferred wind turbine supplier for BadaEnergy’s Ulsan Gray Whale 3 floating offshore wind farm in South Korea. Under the agreement, Vestas will supply 33 units of its V236-15.0 MW wind turbines, which will be installed on floating foundations. Vestas will work alongside the BadaEnergy team and Hyundai Heavy Industries (HHI), chosen as the preferred bidder for the engineering, procurement, and construction (EPC) of the 504 MW Ulsan Gray Whale 3 floating offshore wind farm.
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Navistrat Analytics has segmented floating offshore wind power market on the basis of component, axis, depth, turbine capacity, and region:
- Component Outlook (Revenue, USD Million; 2022-2032)
- Floating Platforms
- Spar
- Barge
- Semi-Submersible
- Tension-Leg Platform
- Others
- Turbine and Tower
- Blades
- Nacelle
- Mooring system
- Mooring Lines
- Anchor
- Others
- Power Transmission System
- Power Cables
- Offshore Sub-Station
- Others
- Floating Platforms
- Axis Outlook (Revenue, USD Million; 2022-2032)
- Horizontal (HAWTs)
- Up-wind
- Downwind
- Vertical (VAWTs)
- Horizontal (HAWTs)
- Depth (Revenue, USD Million; 2022-2032)
- Shallow Water (0-30 meters)
- Transitional Water (31 – 50 meters)
- Deep Water (50 meters+)
- Turbine Capacity Outlook (Revenue, USD Million; 2022-2032)
- Upto 2 MW
- 2 to 5 MW
- 6 to 10 MW
- Above 10 MW
- Regional Outlook (Revenue, USD Million; 2022-2032)
- North America
- U.S.
- Canada
- Mexico
- Europe
- Germany
- France
- U.K.
- Italy
- Spain
- Benelux
- Nordic Countries
- Rest of Europe
- Asia Pacific
- China
- India
- Japan
- South Korea
- Oceania
- ASEAN Countries
- Rest of APAC
- Latin America
- Brazil
- Rest of LATAM
- Middle East & Africa
- GCC Countries
- South Africa
- Israel
- Turkey
- Rest of MEA
- North America