Driven by a huge domestic market and unrivalled industrial capabilities, Chinese manufacturers are shaking up the European wind power market. Here are some insight and analysis from the experts at AURIS Finance, a merger and acquisition consultancy.
At a time when the concept of European economic sovereignty is once again at the heart of all debates, one sector seems to be completely bypassing the Old Continent: wind power. In this market, the dominance of Chinese companies is now a reality.
Industry concentration
In 2024, the world’s top three wind turbine manufacturers were Chinese: Goldwind, Envision and Mingyang. For the third consecutive year, Goldwind maintained its position as the global leader in wind turbine manufacturing, with a turnover of €7.18 billion. This global presence is supported by a record domestic market, with over 80 GW installed in 2024, representing 60% of global capacity. This industrial production capacity enables China to offer turbines at prices up to 50% lower than those charged by European manufacturers. Some companies are offering turbines at prices that are up to four times lower than their European competitors. Consequently, players like Mingyang are securing more and more contracts in the eurozone. The Chinese manufacturer is present in Italy, with an offshore wind farm equipped with Chinese turbines since 2022, and in Germany, with a 16-turbine wind farm project agreed in 2024.
Defiant Europe
According to a report by the German Ministry of Defence quoted in the French daily newspaper Les Échos, the presence of Chinese-made turbines could potentially compromise European political stability and the national security of member states. The newspaper reveals that these wind turbines could be used for data collection purposes. Beyond suspicions of espionage, the primary concern is the safety of the installations. There have been several incidents in China: a fire was triggered by a poorly installed electrical relay, and a giant turbine reportedly collapsed. According to Les Échos, the average lifespan of a Chinese wind turbine is 20 years, compared with 25 years for a wind turbine from a European manufacturer.
Europe’s slow awakening
Six Chinese manufacturers now dominate the top 10 list of global manufacturers. Alongside the six Chinese companies are Denmark’s Vestas, Germany’s Nordex Group, the US’s GE Vernova and the binational (Spain and Germany) Siemens Gamesa. In recent years, the market share of European manufacturers has declined in favour of Chinese manufacturers, who have been able to offer lower costs for higher capacities. At present, no French company is represented on the global podium. Denmark’s Vestas continues to compete on the global stage, currently holding fourth position. In response to the increasing presence of Chinese manufacturers in the European market, the European Commission has initiated an investigation into subsidies granted by Beijing. These subsidies are suspected of distorting competition, potentially impacting European businesses. The possibility of raising customs duties could also be considered. However, this approach may hinder the European environmental transition.
Our experts at your service
In light of the growing influence of Chinese corporations, Europe must intensify its efforts to support its industrial leaders and ensure the security of its energy supply. While the wind energy sector requires heavy investment, there are opportunities, particularly for the most innovative companies. AURIS Finance’s experts are specialised by sector. Our teams provide comprehensive support throughout the project lifecycle, from identifying financial partners to fundraising.
