Steam Turbine Market Trends

ID: MRFR/EnP/3197-CR

135 Pages

Priya Nagrale

April 2023

Steam Turbine Market Research Report Information By Type (Condensing, Non condensing), By Rated Capacity (Up to 150 MW, 151-300 MW, Above 300 MW), By Heat Source (Coal, Nuclear, Biomass, Others), By End-User (Industrial, Power & Utility), And By Region (North America, Europe, Asia-Pacific, And Rest of the World) –Market Forecast Till 2035

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Market Trends

Key Emerging Trends in the Steam Turbine Market

The Steam Turbine Market is witnessing splendid developments that can reshape the dynamics of this critical enterprise. One of the distinguished tendencies is the increasing adoption of blended warmness and electricity (CHP) structures. These structures utilize Steam Turbines now, not only for energy generation but also for taking pictures and utilizing excess warmness, enhancing the usual electricity performance. As industries and energy flora are searching for approaches to optimize strength use and decrease environmental effects, the demand for Steam Turbines in CHP programs continues to develop. Furthermore, the Steam Turbine market is responding to the increasing demand for renewable electricity resources. As the world transitions in the direction of a more sustainable power mix, steam turbines play a vital role in harnessing energy from renewable assets such as biomass, geothermal, and concentrated sun energy. The versatility of Steam Turbines makes them appropriate for diverse renewable power applications, contributing to the general growth of the market in the context of the global push for easy and renewable energy solutions. In tandem with the broader trend of digitalization, the Steam Turbine marketplace is witnessing the mixing of digital technologies for advanced tracking and management. Digital solutions, together with advanced sensors and predictive analytics, permit real-time performance tracking and situation-primarily based preservation. This shift closer to digitalization enhances the reliability and operational efficiency of Steam Turbines, decreasing downtime and renovation costs for end-users. Moreover, the global steam turbine market is experiencing geographical growth in terms of demand. Emerging economies in Asia-Pacific and the Middle East are rising as great players in using the marketplace boom. Rapid industrialization, urbanization, and growing strength demand in these regions contribute to the rising deployment of Steam Turbines for power era and business programs. Additionally, there's a developing focus on sustainable manufacturing practices within the Steam Turbine marketplace. Manufacturers are increasingly incorporating environmentally friendly substances and manufacturing techniques, aligning with global projects to reduce the carbon footprint of commercial sports. In the end, the Steam Turbine Market is undergoing transformative adjustments pushed by means of diverse developments. The adoption of blended warmness and strength systems, the emphasis on improving turbine performance, the shift toward modular and compact designs, the combination of Steam Turbines in renewable electricity programs, the include of digital technology, the geographical growth of demand for, and the dedication to sustainable production together shape the cutting-edge panorama of the Steam Turbine market. As the sector continues to prioritize clean energy solutions and green power generation, steam turbines remain essential in the worldwide electricity transition.

Market Highlights

Author

Priya Nagrale

Senior Research Analyst

With an experience of over five years in market research industry (Chemicals & Materials domain), I gather and analyze market data from diverse sources to produce results, which are then presented back to a client. Also, provide recommendations based on the findings. As a Senior Research Analyst, I perform quality checks (QC) for market estimations, QC for reports, and handle queries and work extensively on client customizations. Also, handle the responsibilities of client proposals, report planning, report finalization, and execution

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FAQs

What is the projected market valuation of the Steam Turbine Market by 2035?

The Steam Turbine Market is projected to reach a valuation of 31.03 USD Billion by 2035.

What was the market valuation of the Steam Turbine Market in 2024?

In 2024, the Steam Turbine Market was valued at 23.9 USD Billion.

What is the expected CAGR for the Steam Turbine Market during the forecast period 2025 - 2035?

The expected CAGR for the Steam Turbine Market during the forecast period 2025 - 2035 is 2.4%.

Which companies are considered key players in the Steam Turbine Market?

Key players in the Steam Turbine Market include General Electric, Siemens, Mitsubishi Heavy Industries, Alstom, and Toshiba.

What are the projected valuations for the Condensing and Noncondensing segments by 2035?

The Condensing segment is projected to reach 19.0 USD Billion, while the Noncondensing segment may reach 12.03 USD Billion by 2035.

How does the Rated Capacity segment break down in terms of market valuation?

By 2035, the Rated Capacity segment is expected to show valuations of 6.5 USD Billion for 'Up to 150 MW', 10.0 USD Billion for '151-300 MW', and 14.53 USD Billion for 'Above 300 MW'.

What is the market valuation for the Coal heat source segment by 2035?

The Coal heat source segment is projected to reach a valuation of 11.0 USD Billion by 2035.

1. Market Overview

2. Market Trends

3. Market Segment Insights

4. Key Players and Competitive Insights

5. Industry Developments

6. Market Segmentation

7. Report Scope

8. Market Highlights

9. FAQs

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Market Summary

As per MRFR analysis, the Steam Turbine Market Size was estimated at 23.9 USD Billion in 2024. The Steam Turbine industry is projected to grow from 24.47 USD Billion in 2025 to 31.03 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 2.4 during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The Steam Turbine Market is currently experiencing a transformative shift towards renewable energy and technological advancements.

North America remains the largest market for steam turbines, driven by robust infrastructure and energy demands.
Asia-Pacific is emerging as the fastest-growing region, propelled by increasing investments in renewable energy projects.
The condensing segment continues to dominate the market, while the noncondensing segment is witnessing rapid growth due to evolving energy needs.
Key market drivers include rising investments in infrastructure development and government initiatives aimed at enhancing energy security.

Market Size & Forecast

2024 Market Size	23.9 (USD Billion)
2035 Market Size	31.03 (USD Billion)
CAGR (2025 - 2035)	2.4%
Largest Regional Market Share in 2024	Asia Pacific

Major Players

General Electric (US), Siemens (DE), Mitsubishi Heavy Industries (JP), Alstom (FR), Toshiba (JP), Ansaldo Energia (IT), Bharat Heavy Electricals Limited (IN), MAN Energy Solutions (DE), Doosan Heavy Industries & Construction (KR)

Market Trends

The Steam Turbine Market is currently experiencing a transformative phase, driven by the increasing demand for efficient energy generation solutions. As industries and governments focus on reducing carbon emissions, there is a noticeable shift towards cleaner technologies. This transition is likely to enhance the adoption of steam turbines, which are recognized for their ability to convert thermal energy into mechanical energy with high efficiency. Furthermore, advancements in turbine design and materials are expected to improve performance and reliability, making them more appealing to various sectors, including power generation and manufacturing. In addition, the integration of digital technologies into steam turbine operations is becoming more prevalent. This trend suggests that predictive maintenance and real-time monitoring could optimize performance and reduce operational costs. As the global energy landscape evolves, the Steam Turbine Market appears poised for growth, with innovations and sustainability initiatives shaping its future. Stakeholders may need to adapt to these changes to remain competitive and meet the emerging demands of the market.

Shift Towards Renewable Energy Sources

The Steam Turbine Market is witnessing a notable shift towards renewable energy sources. As countries strive to meet sustainability goals, there is an increasing reliance on biomass, geothermal, and solar thermal energy. This trend indicates that steam turbines will play a crucial role in harnessing these renewable resources, thereby contributing to a greener energy mix.

Technological Advancements in Turbine Design

Recent advancements in turbine design are significantly impacting the Steam Turbine Market. Innovations such as improved blade materials and aerodynamic designs are enhancing efficiency and performance. These developments suggest that manufacturers are focusing on creating more robust and efficient turbines to meet the evolving needs of energy producers.

Digital Transformation in Operations

The integration of digital technologies into steam turbine operations is reshaping the market landscape. The use of data analytics and IoT solutions for monitoring and maintenance is becoming increasingly common. This trend indicates that operators can achieve higher efficiency and reliability, ultimately leading to reduced downtime and operational costs.

Steam Turbine Market Market Drivers

Growing Focus on Energy Security

The increasing focus on energy security is a crucial driver for the Steam Turbine Market. Nations are prioritizing the development of reliable energy sources to mitigate risks associated with energy supply disruptions. Steam turbines, with their versatility in fuel usage, including natural gas, coal, and biomass, provide a stable solution for energy generation. The need for energy independence has prompted investments in domestic power generation capabilities, further enhancing the demand for steam turbines. As countries strive to secure their energy future, the steam turbine market is likely to benefit from this strategic emphasis on energy resilience.

Increasing Demand for Electricity

The rising demand for electricity across various sectors is a primary driver for the Steam Turbine Market. As urbanization and industrialization continue to expand, the need for reliable and efficient power generation becomes paramount. According to recent data, electricity consumption is projected to grow by approximately 2.5% annually, necessitating the installation of new power generation facilities. Steam turbines, known for their efficiency and ability to operate on various fuels, are increasingly favored in both traditional and renewable energy plants. This trend indicates a robust market for steam turbines, as they play a crucial role in meeting the escalating energy needs of industries and households alike.

Government Initiatives and Policies

Government initiatives aimed at promoting clean energy and reducing carbon emissions significantly influence the Steam Turbine Market. Many countries have implemented policies that encourage the use of renewable energy sources, such as wind and solar, which often require steam turbines for energy conversion. For instance, incentives for combined heat and power (CHP) systems have led to increased installations of steam turbines in industrial applications. Furthermore, regulatory frameworks that mandate emissions reductions are likely to drive investments in more efficient turbine technologies. This supportive policy environment is expected to bolster the steam turbine market as industries adapt to comply with environmental standards.

Technological Innovations in Turbine Efficiency

Technological innovations aimed at enhancing turbine efficiency are pivotal to the Steam Turbine Market. Advances in materials science, computational fluid dynamics, and manufacturing processes have led to the development of high-efficiency steam turbines that can operate at higher temperatures and pressures. These innovations not only improve the overall performance of steam turbines but also reduce operational costs for power plants. The market is witnessing a shift towards turbines that incorporate advanced features such as digital controls and predictive maintenance capabilities. As these technologies become more prevalent, they are expected to drive the adoption of steam turbines in various applications, thereby expanding the market.

Rising Investments in Infrastructure Development

The ongoing investments in infrastructure development, particularly in emerging economies, serve as a significant driver for the Steam Turbine Market. Governments and private sectors are channeling funds into building new power plants, transportation systems, and industrial facilities, which require substantial energy inputs. The International Energy Agency has indicated that infrastructure investments are projected to reach trillions of dollars over the next decade. Steam turbines are integral to these developments, providing the necessary power generation capabilities. As infrastructure projects proliferate, the demand for steam turbines is likely to increase, reflecting the essential role they play in supporting economic growth.

Market Segment Insights

By Type: Condensing (Largest) vs. Noncondensing (Fastest-Growing)

In the Steam Turbine Market, the Condensing segment holds a substantial share, representing a key component in thermal power generation. Its efficiency and ability to convert almost all thermal energy into mechanical energy have solidified its dominance over the years. In contrast, the Noncondensing segment, while smaller, is emerging rapidly, attracting attention for its applications in various industries. This shift reflects a diversification in energy management strategies and the adoption of hybrid systems across different markets. Growth trends for the upcoming years indicate a robust performance for both segments, driven by advancements in technology and environmental regulations. The push for cleaner energy solutions, particularly in noncondensing turbines, is fostering innovations that enhance efficiency and reduce emissions. Additionally, increasing demand for combined heat and power systems is expected to boost the adoption of noncondensing steam turbines, positioning them as a vital part of future energy solutions.

Condensing (Dominant) vs. Noncondensing (Emerging)

The Condensing steam turbines are recognized for their high efficiency and extensive usage in large-scale power plants, where maximizing energy conversion is vital. These turbines capitalize on the condensation of steam to extract maximum energy, making them a staple in traditional energy-generation setups. Their market dominance is attributed to their ability to operate on various fuel types, along with a proven track record. On the other hand, Noncondensing turbines are gaining traction due to their suitability in process industries and small-scale applications. They represent an emerging alternative with advantages in flexibility, reduced capital costs, and simplified operation. As industries seek cost-effective and energy-efficient solutions, the Noncondensing segment is forecasted to experience significant growth in the coming years.

By Rated Capacity: Up to 150 MW (Largest) vs. Above 300 MW (Fastest-Growing)

In the Steam Turbine Market, the segment rated 'Up to 150 MW' holds the largest share, appealing to a wide range of applications, especially in smaller industrial sectors and power generation units. This capacity range benefits from established technology and lower initial investment costs, making it a preferred choice for many operators looking to optimize efficiency in existing operations. In contrast, 'Above 300 MW' is rapidly gaining traction, driven by the push for larger and more efficient power plants, thereby capturing a significant share of the market.

Rated Capacity: Up to 150 MW (Dominant) vs. Above 300 MW (Emerging)

The 'Up to 150 MW' segment is characterized by its focus on efficiency and flexibility, serving industries with lower power requirements. Its dominance is enhanced by the rising demand from renewable energy sectors and cogeneration applications. Conversely, the 'Above 300 MW' segment is emerging as a competitive force, supported by advancements in turbine technology that enable greater efficiency and lower emissions. As large-scale energy projects unfold globally, this segment is expected to witness rapid growth due to its ability to meet the increasing energy demands with advanced, high-capacity solutions.

By Heat Source: Coal (Largest) vs. Biomass (Fastest-Growing)

The heat source segment in the steam turbine market is characterized by its diverse energy inputs. Coal dominates this segment, holding the largest share due to its established infrastructure and consistent energy output. Nuclear power follows closely, contributing significantly to the overall energy mix, while biomass and other sources represent smaller but vital portions of the market. These variations reflect the transition towards cleaner energy, with coal still being a significant player largely due to its widespread availability and low cost. Growth trends in the steam turbine market are heavily influenced by the changing energy landscape and increasing environmental regulations. Biomass is emerging as the fastest-growing heat source, driven by a shift towards renewable energy and sustainability. The regulatory push for reducing carbon footprints is steering investments toward cleaner technologies, making biomass an attractive alternative. In contrast, coal faces challenges due to environmental concerns, but it continues to play a crucial role in regions with less access to alternatives.

Coal (Dominant) vs. Biomass (Emerging)

Coal remains the dominant heat source in the steam turbine market. Its vast reserves and established infrastructure enable efficient and cost-effective energy production. The technologies associated with coal use are also well-developed, contributing to high reliability and operational stability. On the other hand, biomass is emerging as a significant player in the market, particularly as interest in renewable energy sources grows. Biomass uses organic material for fuel, which aligns with global sustainability goals. While it currently holds a smaller market share compared to coal, its growth is accelerated by innovations in conversion technologies and supportive governmental policies promoting renewable energy usage. This shift indicates a potential transformation in the energy landscape, where biomass could increasingly supplement traditional coal-based energy sources.

By End User: Industrial (Largest) vs. Power & Utility (Fastest-Growing)

In the Steam Turbine Market, the 'End User' segmentation reveals that the Industrial sector captures the largest market share. This segment, which includes applications in manufacturing and heavy industry, demonstrates substantial utilization of steam turbines due to its reliability and efficiency in various processing operations. Conversely, the Power & Utility sector, while smaller in terms of share, is showing rapid growth as demand for renewable energy sources increases and the need for efficient power generation solutions becomes more critical. Growth trends indicate that the Steam Turbine Market is being driven by innovations in technology which enhance turbine effectiveness, alongside increasing governmental regulations aimed at reducing emissions. In particular, the Power & Utility segment is benefitting from advancements in combined cycle systems and a shifting focus towards sustainable energy. This adaptability not only contributes to its emergence as the fastest-growing segment but also aligns with global sustainability goals and the transition to cleaner energy solutions.

Industrial (Dominant) vs. Power & Utility (Emerging)

The Industrial segment of the Steam Turbine Market is characterized by its dominant presence, driven primarily by the considerable demand in sectors such as oil and gas, pharmaceuticals, and chemical processing. These industries rely on steam turbines for their high efficiency, robustness, and ability to operate at large scales, making them indispensable in continuous production processes. On the other hand, the Power & Utility segment represents an emerging opportunity, influenced significantly by increasing investments in renewable energy projects and retrofitting of existing plants to enhance efficiency. As utilities transition towards more sustainable practices, steam turbines are being integrated into cogeneration plants and district heating systems, highlighting their evolving role in meeting both traditional and renewable energy demands.

Get more detailed insights about Steam Turbine Market Research Report - Global Forecast to 2035

Regional Insights

North America : Energy Innovation Leader

North America is witnessing robust growth in the steam turbine market, driven by increasing investments in renewable energy and aging infrastructure requiring upgrades. The region holds approximately 40% of the global market share, making it the largest market. Regulatory support for cleaner energy sources and efficiency improvements further catalyze demand, particularly in the U.S. and Canada, which are leading the charge in adopting advanced turbine technologies. The competitive landscape is dominated by key players such as General Electric and Siemens, who are innovating to meet the rising demand for efficient and sustainable energy solutions. The U.S. remains the largest market, followed by Canada, which is also investing heavily in renewable energy projects. The presence of established manufacturers and ongoing technological advancements position North America as a critical hub for steam turbine development and deployment.

Europe : Sustainable Energy Transition

Europe is undergoing a significant transition towards sustainable energy, with steam turbines playing a crucial role in this shift. The region accounts for approximately 30% of the global market share, making it the second-largest market. Regulatory frameworks, such as the European Green Deal, are driving investments in cleaner technologies and enhancing the demand for efficient steam turbines across member states, particularly in Germany and France. Leading countries like Germany, France, and the UK are at the forefront of this transition, with major players such as Siemens and Alstom leading the market. The competitive landscape is characterized by a focus on innovation and sustainability, with companies investing in R&D to develop advanced turbine technologies. The presence of strong regulatory support and a commitment to reducing carbon emissions further solidifies Europe's position in the steam turbine market.

Asia-Pacific : Emerging Market Potential

The Asia-Pacific region is emerging as a powerhouse in the steam turbine market, driven by rapid industrialization and increasing energy demands. This region holds approximately 25% of the global market share, with countries like China and India leading the charge. Government initiatives aimed at enhancing energy efficiency and transitioning to cleaner energy sources are significant growth drivers, particularly in the context of rising urbanization and industrial activities. China is the largest market in the region, with substantial investments in renewable energy projects and infrastructure upgrades. Key players such as Mitsubishi Heavy Industries and Toshiba are actively participating in this growth, focusing on innovative solutions to meet the increasing energy demands. The competitive landscape is evolving, with both established and emerging companies vying for market share, making Asia-Pacific a dynamic and competitive environment for steam turbine technologies.

Middle East and Africa : Resource-Rich Opportunities

The Middle East and Africa region is witnessing a gradual but steady growth in the steam turbine market, driven by increasing energy demands and investments in infrastructure. This region holds approximately 5% of the global market share, with countries like Saudi Arabia and South Africa leading the way. Regulatory initiatives aimed at diversifying energy sources and enhancing efficiency are key catalysts for market growth, particularly in the context of ongoing economic development and urbanization. Saudi Arabia is focusing on diversifying its energy portfolio, while South Africa is investing in renewable energy projects. The competitive landscape includes key players such as Ansaldo Energia and Doosan Heavy Industries, who are actively engaging in projects to meet the region's energy needs. The presence of abundant natural resources and a growing focus on sustainable energy solutions position the Middle East and Africa as a region with significant potential for steam turbine market expansion.

Key Players and Competitive Insights

The Steam Turbine Market is currently characterized by a dynamic competitive landscape, driven by increasing demand for energy efficiency and the transition towards renewable energy sources. Major players such as General Electric (US), Siemens (DE), and Mitsubishi Heavy Industries (JP) are strategically positioning themselves through innovation and technological advancements. These companies are not only focusing on enhancing the efficiency of steam turbines but are also investing in digital transformation initiatives to optimize operations and reduce costs. The collective strategies of these key players contribute to a moderately fragmented market structure, where competition is intensifying as firms seek to differentiate themselves through advanced technologies and sustainable practices.

In terms of business tactics, companies are increasingly localizing manufacturing to reduce lead times and enhance supply chain resilience. This approach allows them to respond more effectively to regional demands while optimizing operational costs. The competitive structure of the Steam Turbine Market appears to be moderately fragmented, with several key players exerting significant influence. The interplay between these companies fosters a competitive environment where innovation and operational efficiency are paramount.

In August 2025, General Electric (US) announced a partnership with a leading renewable energy firm to develop hybrid steam turbine systems that integrate with solar and wind energy sources. This strategic move underscores GE's commitment to sustainability and positions the company to capitalize on the growing trend of hybrid energy solutions. By leveraging its technological expertise, GE aims to enhance the efficiency of energy generation while reducing carbon emissions, thereby aligning with global sustainability goals.

In September 2025, Siemens (DE) unveiled its latest digital twin technology for steam turbines, which allows for real-time monitoring and predictive maintenance. This innovation is expected to significantly reduce downtime and maintenance costs for operators. Siemens' focus on digitalization reflects a broader industry trend towards integrating advanced technologies into traditional energy systems, enhancing operational efficiency and reliability.

In July 2025, Mitsubishi Heavy Industries (JP) completed the acquisition of a smaller firm specializing in advanced materials for turbine manufacturing. This acquisition is likely to bolster Mitsubishi's capabilities in producing high-performance steam turbines, enabling the company to meet the increasing demand for more efficient and durable energy solutions. Such strategic acquisitions are indicative of a trend where larger firms seek to enhance their technological prowess through targeted investments.

As of October 2025, the competitive trends in the Steam Turbine Market are increasingly defined by digitalization, sustainability, and the integration of artificial intelligence. Strategic alliances are becoming more prevalent, as companies recognize the need to collaborate in order to innovate and meet evolving market demands. Looking ahead, it appears that competitive differentiation will increasingly hinge on technological advancements and supply chain reliability, rather than solely on price. The shift towards innovation-driven competition suggests that companies that prioritize research and development, alongside sustainable practices, will likely emerge as leaders in this evolving market.

Key Companies in the Steam Turbine Market market include

Industry Developments

In January 2023, Bharat Heavy Electricals Limited (BHEL) has signed a contract for the renovation and modernisation (R&M) of steam turbines at Ukai Thermal Power Station (TPS) in Gujarat
In February 2022, EDF and GE announced an exclusive agreement for EDF to acquire a portion of GE Steam Power's nuclear power activities. The proposed transaction would combine GE's nuclear steam turbine technology and services expertise with EDF's commitment to the nuclear power sector, resulting in the formation of an industry-leading global steam turbine equipment and services provider within the EDF Group.
In December 2021, Ansaldo Energia has begun construction on the EP Produzione thermoelectric plant. The company will build a new combined cycle plant with a capacity of approximately 800 MW. Ansaldo Energia will be in charge of the entire construction of the new production unit, from the foundations to the start-up: the GT36 H-Class gas turbine, two generators, and a steam turbine form the heart of the combined cycle. Furthermore, the agreement includes a multi-year contract for turbine maintenance.

Future Outlook

Steam Turbine Market Future Outlook

The Steam Turbine Market is projected to grow at a 2.4% CAGR from 2024 to 2035, driven by increasing energy demands, technological advancements, and a shift towards renewable energy sources.

New opportunities lie in:

Development of hybrid steam turbine systems for enhanced efficiency.
Expansion into emerging markets with tailored solutions.
Investment in digital monitoring technologies for predictive maintenance.

By 2035, the Steam Turbine Market is expected to solidify its position as a key player in the global energy landscape.

Market Segmentation

Steam Turbine Market Type Outlook

Condensing
Noncondensing

Steam Turbine Market End User Outlook

Industrial
Power & Utility

Steam Turbine Market Heat Source Outlook

Coal
Nuclear
Biomass
Others

Steam Turbine Market Rated Capacity Outlook

Up to 150 MW
151-300 MW
Above 300 MW

Report Scope

MARKET SIZE 2024	23.9(USD Billion)
MARKET SIZE 2025	24.47(USD Billion)
MARKET SIZE 2035	31.03(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	2.4% (2024 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	Market analysis in progress
Segments Covered	Market segmentation analysis in progress
Key Market Opportunities	Integration of advanced digital technologies enhances efficiency in the Steam Turbine Market.
Key Market Dynamics	Technological advancements and regulatory pressures drive innovation and efficiency in the steam turbine market.
Countries Covered	North America, Europe, APAC, South America, MEA