Steam Turbine Market Size, Share

Steam Turbine Market Overview

Global Steam Turbine Market size is anticipated to be worth USD 6531.11 million in 2024, projected to reach USD 7467.61 million by 2033 at a 1.5% CAGR.

The Steam Turbine Market Market encompasses devices that convert thermal energy into mechanical energy through high-pressure steam—a technology that continues to serve as the backbone of large‑scale power generation, industrial cogeneration, marine propulsion and district heating.

With its mechanical efficiency and versatility, steam turbines are increasingly being integrated with combined‑cycle systems and renewable feedstocks such as biomass, geothermal and solar steam. Deployment spans utility‑scale plants and smaller industrial units, with design evolution focusing on multi‑stage expansion and advanced materials that enhance thermal efficiency. This rich ecosystem of innovation and application highlights the dynamic yet mature character of the Steam Turbine Market Market.

Key Findings

Top Driver reason: Rapid global electrification and infrastructure modernization driving demand for high‑capacity and high‑efficiency turbines.

Top Country/Region: Asia‑Pacific dominates, accounting for approximately 70% of installed base share.

Top Segment: The condensing turbine variant leads the market, capturing around 60% of unit shipments.

Steam Turbine Market Trends

The Steam Turbine Market Market is characterized by several key trends. Over 45% of global power generation continues to rely on steam turbines, with industrial and utility sectors preferring efficient, high‑capacity configurations. The Asia‑Pacific region holds more than 70% share of installed turbines, driven by rapid industrialization and urban energy demand.

Condensing turbines maintain a majority share—close to 62%—due to their prevalence in large-scale power plants. Non‑condensing units are gaining traction in niche industrial cogeneration applications, now capturing approximately 30% of non‑utility installations. Reaction design turbines represent a growing slice, accounting for around 40% of new orders, valued for enhanced part‑load efficiency and control flexibility.

In application, power generation holds the lion’s share—nearly 55%—while oil & gas and petrochemicals collectively account for over 35%, reflecting sector diversification. The steam turbine market’s technological backbone includes adoption of digital twins, AI‑based optimization, predictive maintenance, and advanced blade metallurgy—improvements that boost operational uptime by about 20% and thermal efficiency by 2–3%.

Environmental and regulatory shifts have spurred retrofitting of coal plants to gas or biomass-fired turbines in North America and Europe, now making up nearly 25% of retrofit orders. Meanwhile, Middle East & Africa are deploying turbines for cogeneration and desalination, with project orders rising by more than 15% year‑on‑year. These evolving trends reflect a Steam Turbine Market Market that is technologically dynamic, geographically driven, and performance‑focused.

Steam Turbine Market Dynamics

DRIVER

Rising demand for large‑scale energy supply

Global electricity demand is rising by around 4–5% annually, with steam power still contributing over 45% of total generation capacity in key markets. Industrial electrification programs and replacement of aging units are driving procurement volumes. Utility operators prioritize upgrades to combined‑cycle configurations, raising efficiency by ~3%. Large multi‑stage turbines are increasingly specified, with over 60% of new orders in the 121–350 MW range.

OPPORTUNITY

Integration with renewables and digital tech

Integration with biomass, geothermal, and solar steam initiatives has expanded, now accounting for roughly 20% of new renewable-linked turbine orders. Additionally, digital upgrades—such as AI‑led performance tuning and remote diagnostics—result in operational gains of about 15–20%. Over 30% of fleet operators have adopted predictive maintenance platforms to reduce unplanned downtimes.

RESTRAINTS

Carbon regulatory costs and retrofit complexity

Stricter emissions standards have added approximately 12–15% to retrofit project costs, especially in coal-dominated regions. Nearly 40% of planned coal‑to‑gas conversions have been delayed due to permitting and cost burdens. Compliance investments for carbon capture readiness also continue to impact deployment timelines.

CHALLENGE

Supply chain reliability and materials cost

Rapid blade-material and alloy innovations have increased upstream costs by around 8–10%, driven by global supply chain volatility. Turbine suppliers report lead time extensions of 10–12 months for key components. Simultaneously, global manufacturers face over 20% competition pressure from local fabricators in growth markets, necessitating price and service differentiation.

Steam Turbine Market Segmentation

By Type

Condensing Steam Turbine: The condensing variant dominates with approximately 60% of all units shipped, favored in large utility and central plant installations due to its high thermal efficiency—typically 2–3% greater than non‑condensing models.
Non‑Condensing Steam Turbine: Accounting for about 40% of industrial and cogeneration applications, these units are common in onsite power facilities, offering exhaust steam reuse and reduced auxiliary load profiles.

By Application

Power Generation: Leading the market with ~55% share; major utility-scale units (121–750 MW) drive peak investment.
Industrial: Comprising nearly 30%—industrial sectors such as petrochemical, oil & gas, pulp & paper and sugar utilize medium-sized turbines for combined heat and power (CHP).
Others: Includes marine propulsion, district heating and waste‑to‑energy; representing about 15% of total installations—especially in urban infrastructure projects and municipal energy systems.

Steam Turbine Market Regional Outlook

North America

North America is witnessing consistent activity in retrofitting legacy plants and transitioning to cleaner energy systems. Around 25% of new turbine installations in this region are linked to gas-based combined-cycle upgrades. The U.S. leads with over 60% share in regional deployments, driven by decarbonization efforts and demand for stable baseload capacity. Biomass-integrated turbines are gaining ground, contributing to approximately 10% of new setups. Digitalization is becoming central, with more than 35% of new steam turbines in the U.S. equipped with AI-based performance optimization and predictive maintenance systems.

Europe

Europe's Steam Turbine Market Market is undergoing a shift from coal to sustainable thermal sources. Nearly 30% of turbine deployments are in retrofit programs for gas or biomass conversion. Germany, France, and the UK collectively account for more than 50% of the region’s turbine activity. Biomass-fired turbine projects represent about 20% of the market. Small modular steam turbines are also growing in adoption for district energy projects, contributing about 10% of new installations. European manufacturers focus heavily on emissions control and energy efficiency, aligning with the region’s stringent carbon targets.

Asia-Pacific

Asia-Pacific dominates the global steam turbine market, accounting for nearly 70% of global installed capacity. China and India are the two largest contributors, with each holding over one-third of the regional share. Combined-cycle plants and industrial cogeneration projects make up approximately 80% of turbine installations. In Southeast Asia, energy demand growth of 6–7% annually is pushing rapid deployment of small-to-mid capacity steam turbines. Local manufacturers are capturing nearly 60% of the region’s supply, driving down system costs and encouraging adoption in emerging economies.

Middle East & Africa

The Middle East & Africa Steam Turbine Market Market is expanding steadily, driven by industrial and utility demand, especially for desalination and oil & gas-related applications. Approximately 20% of turbine orders are tied to cogeneration systems in petrochemical complexes. The UAE and Saudi Arabia lead the region with about 15% of new capacity each. Urban utilities and metallurgy industries contribute to nearly 10% of installations. Projects focused on waste-to-energy and district heating are slowly emerging, supported by government-backed infrastructure programs. OEMs targeting this region focus on cost-effective, robust, and corrosion-resistant turbine solutions due to climatic and operational demands.

List of Key Steam Turbine Market Companies

GE Vernova (General Electric)
Siemens Energy
Mitsubishi Heavy Industries
Shanghai Electric
Harbin Turbine Company Limited
MHPS (Mitsubishi Hitachi Power Systems)
MAN Power Engineering
Fuji Electric
Elliott Group
Doosan
Ansaldo Energia
Kawasaki
Power Machines
Toshiba

Top companies name having highest share

GE Vernova: holds approximately 18% of global installation share.

Siemens Energy: controls around 15% of total global unit shipments.

Investment Analysis and Opportunities

The Steam Turbine Market Market presents rich investment potentials. Transition to combined-cycle plants, integrating gas or biomass feedstocks, accounts for nearly 50% of modern power generation investments—an indicator of long-term demand. Retrofitting existing coal plants fuels approximately 30% of turbine procurement in developed markets. Investment into digitalization—MEMS sensors, AI predictive analytics and cloud-based control—helps operators capture performance improvements of up to 20%, and 35% of new asset orders now include digital upgrades as a standard. Investors can capitalize on modular factory setups, with “Make in India” and similar industrial policies aimed at producing 60–70% of installed mid-capacity turbines domestically, reducing costs by ~15%.

Emerging markets in Southeast Asia are projected to increase steam turbine installations by 25–30% over the next term, particularly for industrial electro-thermal systems. Offshore use in desalination and petrochemicals in the Middle East & Africa also represents a fast-growing segment, contributing around 20–25% of new contracts. Additionally, retrofitting and servicing existing turbines—covering about 40% of global spare parts and maintenance budgets—opens continued aftermarket revenue opportunities.

Given rising material and supply costs (8–10%), new entrants should focus on lean manufacturing, vertical integration and strategic partnerships to secure competitiveness. Financial backing from green bond frameworks and government incentives supporting cogeneration and emission reduction offers attractive returns, particularly in retrofit-heavy jurisdictions. Integration-ready turbines compatible with carbon capture and storage (CCS) can unlock approximately 10–15% premium margins, while bespoke small-scale units targeting industrial hubs provide niche yet profitable market slices.

New Products Development

Manufacturers are advancing new turbine models focused on efficiency, adaptability and sustainability. Recent introductions include modular steam turbines optimized for 121–350 MW combined-cycle plants, designed to improve part-load efficiency by 2–4%. Reaction-based rotor designs deliver ~5% better thermodynamic performance compared to legacy impulse units. OEMs are also releasing non-condensing CHP variants aimed at capturing roughly 30% of industrial energy markets; these models feature steam recycling capability for district heating and process heat users. Digital twin-equipped turbines now support remote diagnostics in over 25% of new units, enabling predictive maintenance protocols. Low-capacity (

On materials innovation, high‑temperature alloys and advanced coatings allow turbine inlet temperatures to climb by around 5–6%, increasing thermal efficiency and plant resilience. OEMs have also developed retrofit kits for older units that enhance blade life by approximately 15%, and reduce thermal stresses by 12–15%. The wave of smarter, smaller, and more flexible turbine designs enabled by digital integration and advanced metallurgy highlights a shift toward higher performance and lower ownership costs across market segments.

Five Recent Developments

GE: Rolled out a new digital twin‑based steam turbine platform in 2023, enabling operators to reduce unplanned downtime by ~20%.
Siemens: Introduced a mid‑range (121–350 MW) reaction turbine in late 2023, claiming up to 4% efficiency gains over previous models.
MHPS: Launched a biomass‑ready non‑condensing turbine in early 2024, targeting a 30% share in renewable-linked projects.
Shanghai Electric: Unveiled a retrofit blade kit in mid‑2024 that extends component lifespan by roughly 15%.
Toshiba: Rolled out a compact modular steam turbine series in late 2023, appealing to district energy initiatives, with projected installation growth of 20% in targeted urban markets.

Report Coverage of Steam Turbine Market

The report provides a thorough outline of the Steam Turbine Market Market, covering over 70% of primary applications (power generation, industrial CHP, cogeneration) and design types (condensing vs non‑condensing). Unit-size range includes micro (200 MW), with market share distribution in the 121–350 MW size accounting for ~55%.

Coverage of digital integration and AI systems reflects that nearly 30% of active turbines now deploy smart monitoring. The report evaluates key regions—Asia‑Pacific (~70% share), Europe (~15%), North America (~10%), and MEA (~5%)—and presents over 200 performance and price benchmarks.

It profiles 15 leading OEMs collectively holding roughly 60% of global turbine installations. Topics include aftermarket services, retrofit kits (penetration ~40% in developed markets), material innovations, emissions compliance, and competitive dynamics. The depth and granularity of data make it a pivotal resource for strategic planning, investment analysis, and regional expansion in the evolving Steam Turbine Market Market.