Onshore Wind Energy Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Onshore Wind Energy Market is projected to expand from USD 48.13 Billion in 2025 to USD 85.36 Billion by 2031, registering a compound annual growth rate of 10.02%. This sector involves utilizing land-based wind turbines to capture kinetic energy and convert it into electricity for grid distribution. The market is primarily propelled by global commitments to decarbonization and the urgent need to bolster national energy security in the face of volatile fossil fuel markets. Additionally, the established cost competitiveness of land-based wind power supports its widespread adoption as a key renewable energy source. According to the Global Wind Energy Council, the global onshore wind sector successfully installed 109 GW of new capacity during the year preceding 2025.

Despite this positive growth trajectory, the market faces significant challenges that may hinder rapid expansion. A primary obstacle is the complexity of permitting processes and delays in grid interconnection, which create substantial bottlenecks for new project deployment. These administrative hurdles often result in extended development timelines and increased financial risk for developers. Furthermore, constraints within the supply chain and limitations in grid infrastructure remain critical issues that must be addressed to ensure the sector achieves its long-term capacity targets.

Market Drivers

Supportive government policies and regulatory incentives serve as the primary catalyst for the expansion of the onshore wind sector, providing developers with necessary financial stability and long-term visibility. National strategies aimed at accelerated decarbonization and net-zero emission targets have led to the implementation of mechanisms such as Feed-in Tariffs (FiTs), Contracts for Difference (CfDs), and renewable energy auctions. These frameworks mitigate investment risks and directly stimulate capacity additions in key regions. For example, strong regulatory environments in Europe have sustained deployment rates; according to WindEurope, in 2024, the EU-27 installed a record 16.2 GW of new wind energy capacity, heavily weighted toward onshore infrastructure. This policy-driven momentum is critical for meeting future climate goals, with the Global Wind Energy Council's 'Global Wind Report 2024' projecting the addition of approximately 653 GW of new onshore capacity between 2024 and 2028.

Technological advancements in turbine capacity and efficiency significantly influence the market by lowering the Levelized Cost of Energy (LCOE) and expanding the geographic viability of projects. Manufacturers are consistently deploying turbines with larger rotor diameters and higher hub heights, allowing for increased energy capture even in low-wind locations.

This evolution maximizes power output per unit and reduces the total footprint required for wind farms, thereby addressing land constraint issues. The shift toward larger, more efficient hardware is evident in mature markets; according to the U.S. Department of Energy's 'Land-Based Wind Market Report: 2024 Edition', the average nameplate capacity of newly installed onshore wind turbines in the United States reached 3.4 MW in 2023. These engineering improvements ensure that onshore wind remains one of the most cost-competitive sources of new electricity generation worldwide.

Market Challenges

The complexity of permitting processes and grid interconnection delays acts as a severe constraint on the expansion of the Global Onshore Wind Energy Market. These administrative hurdles create a substantial bottleneck that prolongs project timelines, often transforming the development phase into a multi-year ordeal. Developers frequently encounter opaque approval procedures and inconsistent regulatory frameworks, which escalate financial risk and increase the capital costs associated with onshore installations. As a result, projects that are technically feasible often fail to reach the construction phase promptly, directly stifling the addition of new capacity needed to meet energy demands.

The magnitude of this restriction is evident in the massive volume of proposed capacity currently stranded in regulatory backlogs. According to WindEurope, in 2024, over 500 GW of wind energy capacity was stalled in grid connection queues across major European markets. This figure highlights a critical disparity between high developer interest and the slow pace at which infrastructure is integrated into the grid. Such delays effectively cap the market's growth potential, leaving vast amounts of renewable energy untapped and preventing the industry from realizing its full deployment capability.

Market Trends

Widespread repowering and retrofitting of aging wind fleets is becoming a critical strategy for maintaining generation capacity as early installations reach the end of their operational lifecycles. Rather than decommissioning older sites, developers are increasingly replacing lower-capacity legacy turbines with fewer, more efficient modern units, effectively multiplying energy output while utilizing existing grid connections and land leases. This approach is particularly vital in mature markets where land scarcity restricts greenfield development and offers a sustainable pathway to extend the value of established infrastructure. According to WindEurope’s 'Wind energy in Europe - 2024 Statistics' report from February 2025, the European market successfully commissioned 1.6 GW of repowered capacity in 2024, demonstrating the growing importance of asset modernization in the region’s energy transition strategy.

Simultaneously, the expansion of Corporate Power Purchase Agreements (PPAs) is fundamentally altering the market's demand structure, shifting reliance from government subsidies to private sector procurement. Large-scale energy consumers, particularly within the technology and data center industries, are aggressively signing direct long-term contracts with onshore wind developers to secure reliable, carbon-free electricity for their expanding operations. This surge in non-utility offtake agreements provides developers with the financial certainty needed to advance projects in a volatile economic environment. According to the American Clean Power Association’s 'Clean Power Annual Market Report | 2024' released in April 2025, major technology corporations including Amazon, Microsoft, Meta, and Google collectively contracted 11.3 GW of clean power in 2024 alone, underscoring the pivotal role of corporate buyers in accelerating renewable energy deployment.

Key Players Profiled in the Onshore Wind Energy Market

• Vestas Wind Systems A/S
• Siemens Gamesa Renewable Energy
• Goldwind
• General Electric Company
• Envision Energy
• MingYang
• Nordex
• Enercon
• SUZLON ENERGY LIMITED

Report Scope

In this report, the Global Onshore Wind Energy Market has been segmented into the following categories:

Onshore Wind Energy Market, by Application:

• Peak Power Management
• Power Storage
• Demand Response
• Frequency Response
• System Stability

Onshore Wind Energy Market, by End-User:

• Industrial
• Commercial
• Residential

Onshore Wind Energy Market, by Grid Connectivity:

• Off-Grid On-Grid

Onshore Wind Energy Market, by Wind Capacity:

• High Wind Speed
• Medium Wind Speed
• Low Wind Speed

Onshore Wind Energy Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Onshore Wind Energy Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

This product will be delivered within 1-3 business days.