Western turbine firms in the doldrums

US and European manufacturers face continued losses up to 2024 due to dwindling orders, project delays and cost inflation

The largest four Western wind turbine OEMs—Vestas, GE, Siemens Gamesa and Nordex—have recorded a combined €1.5bn ($1.52bn) in losses over the first quarter of this year, according to consultancy Wood Mackenzie. And despite a more promising policy outlook in the US, analysts warn losses could continue for the next two years. In addition to the rising cost of materials and logistics, projects have faced significant delays owing to Covid-19 and difficulty in ramping up production and delivery of new turbines. “Many OEMs have stated in their financial reports and investment calls that 2022 is more or less a lost year,” says Endri Lico, senior analyst at Woodmac. Even before the pandemic, competi