The global heat recovery steam generator market is expected to grow with a CAGR of 4.5% from 2025 to 2031. The major drivers for this market are the increasing focus on energy efficiency improvement, the rising adoption of combined cycle power plants, and the growing demand for waste heat utilization systems.
The future of the global heat recovery steam generator market looks promising with opportunities in the utility, chemical, refinery, and pulp & paper markets.
Drivers such as CCPP and regulations propel heat recovery steam generators toward green prominence. Challenges like corrosion demand resilient innovations to leverage strengths. Net, robust ascent prevails through adaptation. This sculpts a fortified path for efficient power roles.
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
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The future of the global heat recovery steam generator market looks promising with opportunities in the utility, chemical, refinery, and pulp & paper markets.
- Within the design category, horizontal drum is expected to witness higher growth over the forecast period.
- Within the end use category, utility is expected to witness the highest growth.
- In terms of region, APAC is expected to witness the highest growth over the forecast period.
Emerging Trends in the Heat Recovery Steam Generator Market
Trends in the heat recovery steam generator market reflect efficiency gains and sustainability amid combined-cycle surges. Focus on modular tech, low-NOx designs, and IoT monitoring counters emission and cost hurdles. These evolutions broaden from utilities to industrials. They enable optimized, on-demand heat recovery globally.- Modular Design Adoption: Factory-built modules cut installation time 50%, suiting rapid deployments in renewables. Hybrid configurations enhance flexibility. Impact accelerates commissioning, lowers civil costs, and boosts 44% trailer share, fostering scalability in remote sites.
- Low-Emission Innovations: NOx controls and ceramic exchangers meet Stage V regs, integrating with AUSC for 90% efficiency. Supplementary firing aids peaks. This complies mandates, qualifies subsidies, and reduces footprints, driving 5.4% CAGR in green power.
- IoT Predictive Analytics: Sensors enable real-time optimization, extending life 20% via AI diagnostics. Digital twins predict failures. The trend minimizes downtime, integrates EVs, and transforms operations into responsive systems.
- Cogeneration Integration Surge: CHP pairings recover 40% waste heat for district systems, suiting micro-grids. Governmental incentives amplify. Impact enhances yields, cuts emissions, and expands industrials, aligning with net-zero.
- Hybrid Renewable Pairings: HRSGs buffer solar-wind with 15-20% steam boosts, handling intermittency. On-demand firing stabilizes. This maximizes assets, minimizes curtailments, and accelerates clean scaling in APAC.
Recent Developments in the Heat Recovery Steam Generator Market
The heat recovery steam generator market developments highlight modular pilots and emission breakthroughs for grid demands. From launches to expansions, they address efficiency and integration hurdles. These milestones blend R&D with policy for scalability. They mark a sector maturing toward resilient, on-demand recovery.- VEGA Boiler Launch: Kawasaki deploys high-efficiency waste heat system in cement, capturing preheater exhaust for steam. First Japan install validates. Impact greens industrials, cuts fuel 40%, and models global cogeneration.
- BHEL AUSC Commission: India activates 800 MW coal plant with HRSGs for 9 GW thermal, using advanced recovery. NTPC partnership optimizes. This unlocks capacity, lowers emissions, and sets benchmarks for renewables.
- NEM Energy Acquisition: Mutares acquires Siemens heat transfer tech, supplying 520 MW Turkey plant by 2025 with DrumPlus. Fast-cycling tech suits. The move enhances R&D, expands CHP, and promotes modular efficiency.
- Emerson Digital Upgrade: Emerson integrates IoT for HRSG monitoring in U.S. CHP, enabling predictive analytics. Boosts 55% cycle efficiency. Impact extends life, reduces downtime, and inspires smart grids.
- Hitachi GIS Order: China secures 1100 kV HRSG-linked GIS for PV backbone, balancing regions. Enables 380 GW addition. Consequences cut losses, heighten exports, and advance UHV supergrids.
Strategic Growth Opportunities in the Heat Recovery Steam Generator Market
Growth opportunities in the heat recovery steam generator market capitalize on recovery for high-demand sectors. From utilities to industrials, they leverage cogeneration for penetration. These strategies merge tech with applications, unlocking revenues. They propel scaling in electrified, sustainable economies.- Combined-Cycle Power: High-capacity HRSGs boost 55% efficiency in gas turbines, suiting 100 MW+ plants. Modular fits upgrades. Impact maximizes output, cuts fuel 40%, and dominates utilities.
- Cogeneration Industrials: Waste heat pairings for chemicals recover 40% energy, reducing footprints. Incentives for CHP amplify. This optimizes processes, qualifies subsidies, and expands refineries.
- Renewable Hybrid Buffering: HRSGs stabilize solar-wind with steam peaks, handling 380 GW additions. Eco-oils suit offshore. Growth enhances yields, minimizes intermittency, and accelerates clean scaling.
- District Heating Networks: CHP-linked units supply urban steam, integrating with micro-grids. Low-NOx aids compliance. The opportunity greens cities, boosts ROI, and embeds in infrastructure.
- Oil & Gas Recovery: Rugged HRSGs capture exhaust in refineries, suiting 36.3% share. Predictive monitoring fits. This lowers costs, supports extraction, and opens high-revenue contracts.
Heat Recovery Steam Generator Market Driver and Challenges
The heat recovery steam generator market balances technological, economic, and regulatory forces. Drivers like cogeneration fuel efficiency quests, while corrosion tests durability. These dynamics spur adaptive strategies. They frame a high-potential, evolving landscape.The factors responsible for driving the heat recovery steam generator market include:
- 1. Combined-Cycle Adoption: CCPP surges demand 58.4% share, recovering 40% waste for 55% efficiency. Policies incentivize. Implications boost capacity, cut emissions, and scale clean power.
- 2. Cogeneration Incentives: CHP pairings extend life via recovery, with subsidies for industrials. 4.5% utilities CAGR. This stabilizes grids, enables arbitrage, and grows renewables.
- 3. Emission Regulations: Low-NOx mandates favor advanced exchangers, aligning with net-zero. Tech evolutions hasten. The driver enhances outputs, reduces fines, and positions HRSGs as compliant enablers.
- 4. Industrial Expansion: Refineries (36.3%) seek recovery for 90% thermal gains. Efficiency specs evolve. Consequences optimize ops, secure supplies, and diversify utilities.
- 5. Investment in AUSC Tech: 800 MW plants with HRSGs cut footprints, backed by funds. Recycling matures. This complies regs, draws eco-funds, and promotes circular practices.
Challenges in the heat recovery steam generator market are:
- 1. Flow Accelerated Corrosion: Oxide layers erode tubes, demanding costly alloys. Maintenance hikes 20%. This shortens life, confines to premiums, and urges material overhauls.
- 2. High Capital Burdens: AUSC upfronts strain budgets amid peaks. Scale inefficiencies persist. Implications temper adoptions, favor leaders, and require subsidies.
- 3. Supply Chain Volatilities: Steel fluctuations disrupt, geopolitics worsens. Logistics persist. The challenge heightens expenses, delays projects, and necessitates diversification.
Drivers such as CCPP and regulations propel heat recovery steam generators toward green prominence. Challenges like corrosion demand resilient innovations to leverage strengths. Net, robust ascent prevails through adaptation. This sculpts a fortified path for efficient power roles.
List of Heat Recovery Steam Generator Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies heat recovery steam generator companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base.Some of the heat recovery steam generator companies profiled in this report include:
- Siemens
- Mitsubishi Hitachi Power Systems
- Sofinter
- General Electric Company
- Thermax Limited
- Alstom
- Foster Wheeler
- Technology Transfer Services
- Mitsubishi Heavy Industries
- Bharat Heavy Electricals
Heat Recovery Steam Generator Market by Segment
The study includes a forecast for the global heat recovery steam generator market by design, application, end use, and region.Design [Value from 2019 to 2031]:
- Horizontal Drum
- Vertical Drum
Application [Value from 2019 to 2031]:
- Cogeneration
- Combined Cycle
End Use [Value from 2019 to 2031]:
- Utility
- Chemicals
- Refineries
- Pulp & Paper
Region [Value from 2019 to 2031]:
- North America
- Europe
- Asia Pacific
- The Rest of the World
Country-Wise Outlook for the Heat Recovery Steam Generator Market
The heat recovery steam generator market advances with emphasis on efficiency and emissions reduction in combined-cycle plants amid renewable shifts. Innovations in modular designs and advanced materials tackle waste heat recovery for sustainable power. Key nations drive progress through investments and policies. These efforts enhance energy yields, supporting global decarbonization goals.- United States: U.S. HRSG deployments surge in combined-cycle upgrades, with DOEs CHP program promoting recovery in gas turbines for 55-60% efficiency. Horizontal units dominate at 57.6% share, backed by incentives for industrial cogeneration. This boosts thermal plants, cuts fuel use, and aligns with emission mandates, fostering resilient power infrastructure.
- China: Chinas rapid grid expansion integrates HRSGs in 380 GW PV-linked plants, leveraging state funds for high-capacity units in AUSC tech. Market captures 38.9% APAC share, with investments in eco-oils for coal transitions. This accelerates clean energy, lowers costs, and solidifies manufacturing dominance in global exports.
- Germany: Germanys Energiewende deploys low-emission HRSGs in wind-integrated cycles, achieving 47.9% renewables via R&D in recyclable designs. EU directives spur cogeneration for district heating, with 4.5% utilities CAGR. This enhances stability, reduces gas reliance, and promotes efficiency in decentralized systems.
- India: India commissions 9 GW thermal via BHEL-NTPC AUSC plants with HRSGs for 800 MW output, backed by subsidies for Green Corridors. 6.3% CAGR reflects rural electrification and 500 GW non-fossil targets. This unlocks capacity, cuts losses, and integrates renewables in infrastructure.
- Japan: Japan's VEGA boiler launch by Kawasaki recovers cement waste heat for power, extending to 36% renewable mix. Precision HRSGs for offshore wind and cogeneration emphasize high-efficiency turbines. This prolongs assets, supports GX exports, and advances clean tech in industrial applications.
Features of this Global Heat Recovery Steam Generator Market Report
- Market Size Estimates: Heat recovery steam generator market size estimation in terms of value ($B).
- Trend and Forecast Analysis: Market trends (2019 to 2024) and forecast (2025 to 2031) by various segments and regions.
- Segmentation Analysis: Heat recovery steam generator market size by design, application, end use, and region in terms of value ($B).
- Regional Analysis: Heat recovery steam generator market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
- Growth Opportunities: Analysis of growth opportunities in different designs, applications, end uses, and regions for the heat recovery steam generator market.
- Strategic Analysis: This includes M&A, new product development, and competitive landscape of the heat recovery steam generator market.
- Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
This report answers the following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the heat recovery steam generator market by design (horizontal drum and vertical drum), application (cogeneration and combined cycle), end use (utility, chemicals, refineries, and pulp & paper), and region (North America, Europe, Asia Pacific, and the Rest of the World)?Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
This product will be delivered within 1-3 business days.
Table of Contents
1. Executive Summary
2. Market Overview
3. Market Trends & Forecast Analysis
4. Global Heat Recovery Steam Generator Market by Design
5. Global Heat Recovery Steam Generator Market by Application
6. Global Heat Recovery Steam Generator Market by End Use
7. Regional Analysis
8. North American Heat Recovery Steam Generator Market
9. European Heat Recovery Steam Generator Market
10. APAC Heat Recovery Steam Generator Market
11. RoW Heat Recovery Steam Generator Market
12. Competitor Analysis
13. Opportunities & Strategic Analysis
14. Company Profiles of the Leading Players Across the Value Chain
15. Appendix
List of Figures
List of Tables
Companies Mentioned
- Siemens
- Mitsubishi Hitachi Power Systems
- Sofinter
- General Electric Company
- Thermax Limited
- Alstom
- Foster Wheeler
- Technology Transfer Services
- Mitsubishi Heavy Industries
- Bharat Heavy Electricals
Methodology
The analyst has been in the business of market research and management consulting since 2000 and has published over 600 market intelligence reports in various markets/applications and served over 1,000 clients worldwide. Each study is a culmination of four months of full-time effort performed by the analyst team. The analysts used the following sources for the creation and completion of this valuable report:
- In-depth interviews of the major players in the market
- Detailed secondary research from competitors’ financial statements and published data
- Extensive searches of published works, market, and database information pertaining to industry news, company press releases, and customer intentions
- A compilation of the experiences, judgments, and insights of professionals, who have analyzed and tracked the market over the years.
Extensive research and interviews are conducted in the supply chain of the market to estimate market share, market size, trends, drivers, challenges and forecasts.
Thus, the analyst compiles vast amounts of data from numerous sources, validates the integrity of that data, and performs a comprehensive analysis. The analyst then organizes the data, its findings, and insights into a concise report designed to support the strategic decision-making process.
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