China Gas Turbines Market Size, Share, Opportunities, And Trends By Power Rating (<100 MW, >100 MW - <300 MW, >300 MW), By Type (Gas Cycle, Combined Cycle, Cogeneration), And By Application (Power Generation, Oil & Gas, Others) - Forecasts From 2025 To 2030

The China gas turbine market is projected to grow at a CAGR of 3.81% over the forecast period, increasing from US$1,090.266 million in 2025 to US$1,345.211 million by 2030.

China's rapidly growing economy requires more power generation. Gas turbines, known for their efficiency and flexibility, are well-positioned to meet this rising demand. Additionally, the Chinese government's commitment to carbon emission reduction is well-aligned with the lower environmental impact of gas turbines compared to coal-fired power plants. This policy push is driving the adoption of gas turbines as a cleaner energy source.

The expansion in China's industrial sector, from oil and gas to steel to chemicals, has also put up demand for gas turbines as these sectors need secure power and process heat and are well-serviced by the gas turbine. In this regard, data from the National Energy Administration shows that China's total installed power generation capacity reached 3.16 billion kilowatts by the end of September 2024, a 14.1 percent increase from a year ago.

Moreover, from January to July 2024, major power enterprises in China invested a total of 415.8 billion yuan (about 58.27 billion U.S. dollars) in power supply projects, a 2.6 percent increase over the same period in 2023. China's investment in power grid projects reached 294.7 billion yuan during the first seven months, up 19.2 percent year on year.

Moreover, advances in gas turbine technology have improved efficiency, reliability, and reduced emissions. These technological advancements are increasing the attractiveness of gas turbines for power generation.

What are the drivers of the China gas turbine market?

Growing demand for power generation owing to the increasing energy economy in China is fueling the gas turbine market.

• Rising Natural Gas Production

Rising domestic natural gas production in China fuels the demand for gas turbines in the nation since increased domestic gas supplies boost requirements for gas-fired power plants. so demand for gas turbines would augment. As per EIA, China is one of the major pipeline natural gas-importing countries and is also the world's largest LNG importer. Over the past 10 years, the Chinese government actively promoted the development of unconventional natural gas resources to reduce dependence on imported supplies and ensure enhanced energy security.

China domestically produced 232.4 bcm in 2023, which was 12.3 bcm, or 5.6 percent, more than in 2022. This met 59% of the total demand for the country and thus maintained import dependence at 41%, the same level as in 2022. As reported, 43 percent of domestic gas production came from unconventional sources, reaching 97 bcm. Following this, industries such as manufacturing and petrochemicals, which are increasingly using natural gas for their processes, will be inclined to use gas turbines both for power generation and heating processes.

Manufacturers further focus on developing more energy-efficient and environmentally eco-friendly gas turbines for the growing demand, strictly adhering to environmental regulations. Four new technologies are worth noting. The first two are to support energy transition and emission reduction, whereas the last two are in the quest for oil and gas exploration and development, either in deepwater settings or deep-seated reservoirs:

• Simultaneous power generation using geothermal energy from hot water encountered in deep oil and gas development wells.
• Power generation using pressure difference from natural gas. This is alleged to be a net zero-emission technology.
• Independently developed a "Hai-Jing" system to bring noise levels down for ultra-deepwater 3D seismic surveys (>3,000m) such as the South China Sea.
• Automated rigs for ultra-deep (>12,000 m) drilling, deployed in the Tarim Basin in western China.

This expanding market presents opportunities for both domestic and international gas turbine manufacturers. Domestic manufacturers can capitalize on the growing demand to capture a larger market share, while international players will see increased export opportunities as China becomes a major natural gas exporter.

What are the key trends shaping the China gas turbine market?

• Manufacturers and operators are increasingly focusing on higher efficiency and lower emissions in gas turbines. This is mainly because of environmental regulations and cost reduction in operating expenses.
• Digital technologies, such as IoT and AI, are revolutionizing the gas turbine industry. These technologies allow for predictive maintenance, optimized operations, and overall performance improvement.

The oil and gas segment has a significant share within application segment.

• The Chinese gas turbine market, by application, is segmented into power generation, oil and gas, and others.
• The demand for clean and efficient power generation technologies and the extension of natural gas infrastructure primarily drives the China gas turbine market.
• Moreover, reducing carbon emissions reduction and upgrading the country's energy infrastructure contribute significantly to the market’s growth. of the market.

China's upstream, midstream, and downstream operations continue to boost demand for reliable and efficient energy solutions in the oil and gas sector. Gas turbines are now finding more applications in power generation, mechanical drives, and compression processes due to the nation’s rising oil and gas exploration activities and infrastructure development. in the country. Technological advancement, energy efficiency focus, and efforts by the government to enhance domestic energy security will further boost gas turbine usage in this sector.

The demand drivers for gas turbines in China's oil and gas sector are increased internal focus on energy security, infrastructure build-out for natural gas, and embracing the best-in-class turbine technologies. The increasing production of crude oil will is expected to positively impact the demand for gas turbines in the coming years. For instance, according to the National Bureau of Statistics of China, the production of crude petroleum oil maintained steady growth. In August 2024, industrial enterprises with the designated size produced 17.83 million tons of crude petroleum oil, up 2.1 percent yearly, with an average daily output of 575,000 tons. Imports of crude petroleum oil came in at 49.10 million tons, down 7.0 percent from the previous year.

From January to August, 142.79 million tons of crude petroleum oil were produced by industrial enterprises above the designated size, up 2.1 percent over a year earlier. At 366.91 million tons, crude petroleum oil imports decreased by 3.1 percent year over year. Hence, with the rising production of petroleum in the projected period, the market for gas turbines is anticipated to propel in China.

Key developments in the China gas turbines market:

The market leaders for the China gas turbines market are General Electric Company, Mitsubishi Hitachi Power Systems Ltd, Kawasaki Heavy Industries Ltd, Solar Turbines, Harbin Electric International Company Limited, Shanghai Electric, MTU Aero Engines Ag,  Siemens Energy,  Ansaldo Energia, and Dongturbo Electric Company Ltd. The key players in the market implement growth strategies such as product launches, mergers, acquisitions, etc. to gain a competitive advantage over their competitors. For Instance,

• In October 2024, Mitsubishi Heavy Industries, Ltd. held a commemorative ceremony to mark reaching cumulative orders for 150 gas turbine units through Dongfang Turbine Co., Ltd. (Deyang, Sichuan Province), a subsidiary of Dongfang Electric Corporation, MHI's partner for the gas turbine business in China.
• In October 2024, GE Vernova Inc. announced that the Dongguan Ningzhou combined cycle power plant started operations in the Guangdong province, China. The plant, which is to be powered by three 9HA.02 gas turbines, injected as much as 2.4 GW of power in addition to the 1.34 GW of power already being delivered into the grid by the GE Vernova HA-powered Huizhou power plant.
• In October 2023, GE Vernova would provide two GE 9HA.02 gas turbines for the Zhoushan Combined Cycle Power Plant in Zhoushan, Zhejiang Province of China. This new power plant aimed to bolster the supply of reliable electricity to Zhoushan’s grid.

China's gas turbines market is analyzed into the following segments:

• By Power Rating
  • <100 MW
  • >100 MV-<300 MV
  • >300 MV
• By Type
  • Gas Cycle
  • Combined Cycle
  • Cogeneration
• By Application
  • Power Generation
  • Oil and Gas
  • Others

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key benefits for the stakeholders

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Process

2.3. Data Validation

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Supplier

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. CHINA GAS TURBINES MARKET BY POWER RATING

5.1. Introduction

5.2. <100 MW

5.3. >100 MV-<300 MV

5.4. >300 MV

6. CHINA GAS TURBINES MARKET BY TYPE

6.1. Introduction

6.2. Gas Cycle

6.3. Combined Cycle

6.4. Cogeneration

7. CHINA GAS TURBINES MARKET BY APPLICATION 

7.1. Introduction

7.2. Power Generation

7.3. Oil and Gas

7.4. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Emerging Players and Market Lucrativeness

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. General Electric Company

9.2. Mitsubishi Hitachi Power Systems Ltd

9.3. Kawasaki Heavy Industries Ltd

9.4. Solar Turbines

9.5. Harbin Electric International Company Limited

9.6. Shanghai Electric

9.7. MTU Aero Engines Ag

9.8. Siemens Energy

9.9. Ansaldo Energia

9.10. Dongturbo Electric Company Ltd. 

General Electric Company

Mitsubishi Hitachi Power Systems Ltd

Kawasaki Heavy Industries Ltd

Solar Turbines

Harbin Electric International Company Limited

Shanghai Electric

MTU Aero Engines Ag

Siemens Energy

Ansaldo Energia

Dongturbo Electric Company Ltd.