Gas Turbine Market: Current Analysis and Forecast (2023-2030)

A gas turbine is defined as an internal combustion engine that is driven by expanding gases from the combustion chamber. It consists of components such as a compressor, a combustion chamber, and a turbine. The pressure of a burning mixture of fuel and air drives the turbine, converting the energy into mechanical power. Gas turbines are versatile and find applications in various industries, including power generation, aviation, and oil and gas. They are known for their efficiency and lower emissions compared to conventional power plants.

The Gas Turbine market is expected to grow at a steady rate of around 4% owing to the increased electricity demand coupled with the increasing demand for power generation. Major companies in the market offer gas turbine facilities for power generation, mechanical drive, aero-derivative, and electrical purposes to cater to different industrial and corporate clients and associations. For instance, in April 2023, GE's Gas Power business completed the acquisition of Nexus Controls, a leading aftermarket controls business, from Baker Hughes. With the addition, GE Gas Power created a single, full-service controls business line responsible for further developing GE's proprietary Mark Vle controls systems platform, the implementation of the OnCore system, as well as streamlining and improving the delivery and service of its controls offerings for customers.

Based on design type, the market is segmented into heavy duty and aeroderivative. The aeroderivative segment is expected to grow with a robust CAGR during the forecast period. This is mainly owing to the high expansion of captive-generating power stations coupled with the rising demand for electricity across the industrial sector leading to the growth of the market. Moreover, advanced aircraft engines and space technologies have been used to provide maintainable, flexible, lightweight, and compact aeroderivative gas turbines. Thus, increasing the use of aeroderivative gas turbine in the market.

Based on technology, the market is divided into open cycle and combined cycle. The combined cycle segment is expected to grow with a robust CAGR during the forecast period. This is mainly due to the efficient waste heat utilization, proximity to the environment, and operational effectiveness offered by a combined cycle over open cycle. In addition, the high demand from the power plants are also increasing the market for gas turbine.

Based on application, the market is divided into power generation, oil & gas, and others. Power generation segment is expected to grow with a robust CAGR during the forecast period. This is mainly due to multiple factors such as governments across the globe trying to make steps to reduce carbon emissions which have the potential to render opportunities for an increase in demand for gas turbines for power generation. In addition, due to an increase in investment by the government in setting up gas-based in China owing to which more gas-fired power capacity was sanctioned than coal. Moreover, the gas-based power generation is cheaper to install than the nuclear power plant. and urgency to reduce carbon emissions have fostered the demand for gas turbines across the world.

Based on rated capacity, the market is divided into four segments 1-40 MW, 40-120 MW, 120-300 MW and above 300 MW. Above 300 MW held the major share in the global market in 2022. This is mainly due to the shift from coal to gas-based power plants in some of the major countries across the globe such as the U.S., China, and India. Additionally, rise in power generation activities across the globe due to an increase in demand for electricity, Moreover, population growth and rapid urbanization is expected to increase the market for gas turbine across the globe.

For a better understanding of the market adoption of the gas turbine industry, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. North America is likely to grow at a substantial growth rate during the forecast period. This is due to the need for reliable and efficient power generation, the desire to reduce greenhouse gas emissions, and the availability of abundant natural gas resources. Gas turbines are well-suited for power generation in North America due to their high efficiency, flexibility, and ability to operate on a variety of fuels. Also, North America has the potential to reduce greenhouse gas emissions. Gas turbines are a cleaner-burning alternative to traditional fossil fuels, and they can help to reduce emissions from power generation. Additionally, gas turbines can be fueled by renewable natural gas, such as biogas and syngas, which can further reduce emissions. Thus, such factors are increasing the demand for gas turbines in the North America region.

Some of the major players operating in the market include: Wartsila; Bharat Heavy Electricals Limited; MITSUBISHI HEAVY INDUSTRIES, LTD; Harbin Electric Corporation Co. Ltd; Siemens; MAN Energy Solutions SE; General Electric; Kawasaki Heavy Industries, Ltd; Solar Turbines Incorporated; and Ansaldo Energia. The market is diversified with many global and regional market players.