US Onshore Wind Energy Market Overview:
As per MRFR analysis, the US Onshore Wind Energy Market Size was estimated at 15.79 (USD Billion) in 2023. The US Onshore Wind Energy Market Industry is expected to grow from 17(USD Billion) in 2024 to 36 (USD Billion) by 2035. The US Onshore Wind Energy Market CAGR (growth rate) is expected to be around 7.059% during the forecast period (2025 - 2035).
Key US Onshore Wind Energy Market Trends Highlighted
The US onshore wind energy market is witnessing significant growth driven by several key market drivers. The increasing demand for renewable energy to combat climate change has propelled the expansion of wind energy as a primary energy source in the United States. Federal tax incentives, such as the Production Tax Credit (PTC) and Investment Tax Credit (ITC), have encouraged investments in wind energy projects, making them financially attractive. Additionally, states are setting ambitious renewable energy targets, which further stimulates growth in the market. Opportunities to be explored within the US onshore wind energy market are abundant.
The push for energy independence has led to investments in wind energy infrastructure, especially in states with vast land resources and favorable wind conditions like Texas, Iowa, and Oklahoma. Advancements in turbine technology are also opening avenues for more efficient energy generation and lower operational costs. Companies focusing on innovative solutions, including energy storage systems that pair with wind farms, can enhance overall energy reliability and attract further investment.
Trends in recent times indicate a noticeable shift towards larger wind farms and higher capacity turbines, which support economies of scale and maximize output.The integration of wind energy into existing energy grids is being prioritized, along with increased investment in transmission infrastructure to support the growing capacity of wind-generated electricity. Community engagement initiatives are enhancing local support for wind projects, and public awareness of the benefits of wind energy continues to rise. Overall, the US onshore wind energy market is poised for sustained growth, driven by evolving technologies, supportive policies, and a collective focus on sustainable energy development.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
US Onshore Wind Energy Market Drivers
Government Policies and Incentives
The US Onshore Wind Energy Market Industry is significantly influenced by government policies and incentives aimed at promoting renewable energy sources. The federal government has implemented several tax credits and incentives such as the Production Tax Credit (PTC) and Investment Tax Credit (ITC) that have directly encouraged investments in wind energy projects. According to the American Wind Energy Association, projections indicate that the onshore wind market can generate about 1 million jobs across the US by 2030 due to such favorable policies.Additionally, various states have set ambitious renewable energy mandates with goals that often exceed 50% renewable energy by 2030. The strong legal framework and state-level Renewable Portfolio Standards (RPS) further enhance the investment environment for the US Onshore Wind Energy Market, encouraging developers to establish new projects.
Advancements in Technology
Technological innovations in turbine design and operational efficiency are driving the growth of the US Onshore Wind Energy Market Industry. Improved wind turbine technology has resulted in increased capacity factors, allowing for more energy generation per unit of installed capacity. According to the US Department of Energy, the capacity factor of new wind projects increased to 47% in 2021 from 33% in 2010. This advancement not only makes wind energy more competitive against fossil fuels but also encourages more developers to invest in the industry, further propelling market growth.
Increasing Demand for Renewable Energy
The global shift towards sustainability and reducing carbon footprints significantly drives the US Onshore Wind Energy Market Industry. According to the US Energy Information Administration, the share of wind energy in total US electricity generation rose from 4.4% in 2015 to over 9% in 2020, with expectations to continue growing as states and businesses commit to carbon neutrality. Major organizations such as Google have pledged to operate on 100% renewable energy, leading to increased demand for onshore wind energy as a preferred clean energy source.This demand influences market dynamics favorably towards growth.
Public Awareness and Support for Clean Energy
Public awareness around the need for clean energy and climate change mitigation has played an essential role in propelling the US Onshore Wind Energy Market Industry. A report by the Pew Research Center indicated that approximately 70% of Americans support increasing funding for renewable energy sources, showing a strong public inclination towards sustainable energy solutions. This rise in support translates into increased political pressure on lawmakers to create supportive frameworks for renewable energy, enhancing growth prospects for wind energy projects in the coming years.
US Onshore Wind Energy Market Segment Insights:
Onshore Wind Energy Market Turbine Type Insights
The US Onshore Wind Energy Market is significantly influenced by various types of turbines which vary in design and functionality, primarily including Horizontal Axis Wind Turbines, Vertical Axis Wind Turbines, Small Wind Turbines, Offshore Turbines, and Distributed Wind Turbines. Among these, Horizontal Axis Wind Turbines dominate due to their high efficiency and better performance in harnessing wind energy at various heights.
This type is essential for large-scale wind farms and contributes substantially to the overall energy generation in the US.Vertical Axis Wind Turbines, while less commonly used in major wind farms, offer advantages in urban settings where space is limited and wind directions fluctuate more dramatically. Their design allows for easier maintenance and a lower center of gravity, making them a suitable choice for smaller applications. Small Wind Turbines serve as a pivotal segment in residential and rural areas as they provide a sustainable energy solution without the need for large infrastructure.
The growing interest in renewable energy has spurred significant investments in this area, facilitating easier access to energy for remote communities.Offshore Turbines, typically referenced in discussions about renewable energy strategies, play a critical role in the broader wind energy landscape, although this segment leans towards offshore rather than onshore developments. Distributed Wind Turbines harness localized wind energy production, further supporting community-based renewable energy initiatives and enhancing grid resilience.
The increase in distributed energy resources offers consumers more control over their energy consumption while catering to the growing demand for sustainable energy solutions.Overall, the diversity in Turbine Type not only underpins the US Onshore Wind Energy Market but also drives innovation, enhances energy security, reduces carbon emissions, and ultimately aligns with national goals for clean energy transition. The segmentation in this market reflects a variety of applications, making it adaptable and integral to the US energy strategy.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Onshore Wind Energy Market Technology Insights
The Technology segment of the US Onshore Wind Energy Market represents a crucial component in enhancing efficiency and performance within the renewable energy sector. Gear Drive Technology is notable for its ability to convert low-speed turbine rotor energy into high-speed rotating energy, making it essential for maximizing energy output. Direct Drive Technology, on the other hand, eliminates the need for a gearbox, resulting in reduced maintenance costs and enhanced reliability, which positions it as a preferred choice among developers.
Superconducting Technology is garnering attention due to its potential for high efficiency and reduced weight, which may lead to significant advancements in turbine design and energy generation capabilities.Variable Speed Technology plays a vital role by enabling turbines to operate across a range of wind speeds, which not only optimizes power generation but also helps in reducing mechanical stress on systems. As the US aims to increase its renewable energy capacity, the growth and evolution of these technologies are crucial for driving innovation in the US Onshore Wind Energy Market and achieving sustainability goals. The integration of these advanced technologies supports research and development initiatives aimed at further enhancing wind energy efficiency and underscores the commitment to a greener energy future in the region.
Onshore Wind Energy Market Installation Type Insights
The Installation Type segment of the US Onshore Wind Energy Market is crucial as it represents various approaches to harnessing wind energy, thereby contributing significantly to the market's overall growth. Onshore Installations have remained prominent due to their lower costs and quicker implementation timelines, making them a preferred choice for energy companies across the United States. Hybrid Installations, combining wind energy with other renewable sources, are gaining traction as they enhance energy reliability and efficiency, catering to the increasing demand for sustainable energy solutions.
Repowering Installations, which involve upgrading existing wind farms with modern technology, play a vital role in maximizing energy output from older setups, aiding in meeting the growing energy demands without the need for new land development. Overall, the increasing focus on renewable energy and advancements in technology are driving these installation types toward significant growth, reflecting the US Onshore Wind Energy Market's potential in contributing to energy sustainability and reduction of carbon emissions. The US government has set ambitious climate goals, which further solidifies the necessity for these installations as a vital component of the renewable energy landscape.
Onshore Wind Energy Market Application Insights
The Application segment of the US Onshore Wind Energy Market plays a crucial role in meeting the renewable energy goals set forth by the government and enhancing energy security across the nation. This segment is divided into three key areas: Utility Scale, Community Scale, and Distributed Generation, each contributing uniquely to the market landscape. Utility Scale installations typically dominate the market due to their large capacity that can significantly contribute to grid stability and energy supply for vast populations.
Community Scale projects foster localized energy production, allowing smaller communities to harness wind resources effectively and reduce dependence on traditional fossil fuels.Meanwhile, Distributed Generation represents a growing trend as it enables customers to generate their own energy from wind resources, promoting sustainability and energy independence. The US government continues to support these segments through incentives and policies, driving advancements in technology and infrastructure. As the need for cleaner energy sources intensifies, the varied applications within the Onshore Wind Energy Market highlight the versatility and scalability of wind energy solutions in addressing environmental concerns and fulfilling energy demands.
US Onshore Wind Energy Market Key Players and Competitive Insights:
The US Onshore Wind Energy Market has emerged as a vibrant and rapidly evolving segment within the renewable energy landscape, driven by increasing demand for sustainable energy sources, technological advancements, and supportive government policies. The competition in this market is characterized by a diverse array of stakeholders, including large energy companies, project developers, and specialized service providers, all vying for a share of the growing market. Key players are leveraging their experience, financial resources, and innovative technologies to enhance their market positions and contribute to the expansion of wind energy generation capabilities across the country.
As market dynamics continue to shift due to policies focused on reducing carbon emissions and enhancing energy independence, competitive strategies are being realigned, making this a key area of interest for both investors and regulatory bodies.Energias de Portugal, with its strong presence in the US Onshore Wind Energy Market, exemplifies a company that has effectively leveraged its global expertise to capitalize on opportunities in renewable energy generation.
The company is known for its robust portfolio of onshore wind projects across multiple states, supported by a commitment to sustainability and innovation. Energias de Portugal's strengths lie in its advanced technological capabilities, extensive experience in project financing, and strong stakeholder relationships, which enable it to navigate the complexities of the competitive landscape efficiently. By focusing on operational excellence and sustainability initiatives, the company has positioned itself as a reliable partner for local and regional entities looking to expand their renewable energy footprints, thereby increasing its competitiveness in the market.
First Wind has established a noteworthy reputation in the US Onshore Wind Energy Market as a developer and operator of wind energy projects, focusing on harnessing the country's abundant wind resources. The company specializes in the development, construction, and operation of wind farms, offering a range of services that facilitate the entire lifecycle of wind projects. First Wind's strengths include its established presence in key wind-rich regions, deep industry knowledge, and solid relationships with local communities and stakeholders.
The company has undergone strategic mergers and acquisitions, enhancing its operational capabilities and expanding its market reach. By pursuing innovative technological solutions and focusing on sustainability, First Wind remains a significant player in the US wind energy sector, contributing to the growth of renewable energy generation while meeting the rising energy demands of its clientele.
Key Companies in the US Onshore Wind Energy Market Include:
- Energias de Portugal
- First Wind
- Invenergy
- Avangrid
- Duke Energy
- Constellation Energy
- Pattern Energy
- Vestas
- GE Renewable Energy
- NextEra Energy
- Xcel Energy
- EDF Renewables
- Brookfield Renewable Partners
- Siemens Gamesa
US Onshore Wind Energy Market Industry Developments
The US Onshore Wind Energy Market has witnessed significant developments in 2023, including an increase in installations and technological advancements. Companies like NextEra Energy and Avangrid have been notably active in scaling up operations to meet growing energy demands. In May 2023, Duke Energy announced plans for a substantial wind project in Texas, aiming to add over 1,200 megawatts of capacity. Meanwhile, GE Renewable Energy has been working on innovative turbine technology to enhance efficiency, responding to market competition from Siemens Gamesa and Vestas.
Merger and acquisition activity remains relevant, with Pattern Energy and Brookfield Renewable Partners discussing potential synergies to expand their market presence, yet no definitive acquisitions have been publicly confirmed as of now. The market valuation of key players has notably increased due to favorable federal incentives and a shift towards cleaner energy portfolios. In the past two years, the US has also seen a growth of about 20% in wind energy capacity installations, which has reinforced the industry's position as a leading source of renewable energy, contributing significantly to the country’s energy mix and job creation in various states.
US Onshore Wind Energy Market Segmentation Insights
- Onshore Wind Energy Market Turbine Type Outlook
- Horizontal Axis Wind Turbine
- Vertical Axis Wind Turbine
- Small Wind Turbine
- Offshore Turbine
- Distributed Wind Turbine
- Onshore Wind Energy Market Technology Outlook
- Gear Drive Technology
- Direct Drive Technology
- Superconducting Technology
- Variable Speed Technology
- Onshore Wind Energy Market Installation Type Outlook
- Onshore Installations
- Hybrid Installations
- Repowering Installations
- Onshore Wind Energy Market Application Outlook
- Utility Scale
- Community Scale
- Distributed Generation
| Report Attribute/Metric Source: |
Details |
| MARKET SIZE 2018 |
15.79(USD Billion) |
| MARKET SIZE 2024 |
17.0(USD Billion) |
| MARKET SIZE 2035 |
36.0(USD Billion) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) |
7.059% (2025 - 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 |
Energias de Portugal, First Wind, Invenergy, Avangrid, Duke Energy, Constellation Energy, Pattern Energy, Vestas, GE Renewable Energy, NextEra Energy, Xcel Energy, EDF Renewables, Brookfield Renewable Partners, Siemens Gamesa |
| SEGMENTS COVERED |
Turbine Type, Technology, Installation Type, Application |
| KEY MARKET OPPORTUNITIES |
Rising demand for renewable energy, Technological advancements in turbines, Federal and state incentives, Expansion of offshore wind integration, Increasing corporate renewable purchasing |
| KEY MARKET DYNAMICS |
regulatory policies, technology advancements, investment trends, environmental concerns, grid integration challenges |
| COUNTRIES COVERED |
US |
Frequently Asked Questions (FAQ) :
The US Onshore Wind Energy Market is expected to be valued at 17.0 billion USD in 2024.
By 2035, the US Onshore Wind Energy Market is projected to reach 36.0 billion USD.
The market is expected to grow at a CAGR of 7.059 percent from 2025 to 2035.
In 2024, the Horizontal Axis Wind Turbine is expected to account for 8.5 billion USD of the market.
By 2035, the Vertical Axis Wind Turbine is projected to be valued at 6.5 billion USD.
The Small Wind Turbine segment is expected to be valued at 2.0 billion USD in 2024.
The Distributed Wind Turbine market is expected to grow to 3.5 billion USD by 2035.
Major players in the market include companies like NextEra Energy, Duke Energy, and GE Renewable Energy.
The market faces challenges including regulatory hurdles and supply chain constraints affecting growth.
Emerging trends include technological advancements in turbine efficiency and increased investment in renewable energy.
