Steam Turbine Market Report 2026

Steam Turbine Market Overview

• Steam Turbine market size has reached to $17.11 billion in 2025 • Expected to grow to $18.78 billion in 2030 at a compound annual growth rate (CAGR) of 1.9% • Growth Driver: The Role Of Steam Turbines In Meeting The Rising Demand For Renewable Energy • Market Trend: Strategic Collaborations In The Steam Turbine Market • Western Europe was the largest region in 2025 and Asia-Pacific is the fastest growing region.

What Is Covered Under Steam Turbine Market?

The steam turbine refers to a machine that converts thermal energy from pressurized steam and transforms it into mechanical work on a rotating output shaft. It uses heat sources such as gas, coal, nuclear, and solar to heat water at extremely high temperatures until it is converted into steam. The main parts of stream turbines are rotors and blades. The main types of plant types using steam turbines are gas, coal, nuclear, and others. The gas steam turbines use gas as a source to generate steam. Gas is used to heat water to extremely high temperatures until it is converted into steam. Steam turbines usually come in two designs, namely reaction and impulse, and have the capacities of rated power (60 MW), rated power (60–200 MW), and rated power (> 200 MW). Steam turbines use technologies such as steam cycle, combined cycle, and cogeneration and are used in end-use industries such as power, utility, and industrial.

What Is The Steam Turbine Market Growth Forecast?

The steam turbine market size is expected to see marginal growth in the next few years. It will grow to $18.78 billion in 2030 at a compound annual growth rate (CAGR) of 1.9%. The growth in the forecast period can be attributed to rising investments in clean and efficient power generation, modernization of aging power plant infrastructure, increasing adoption of cogeneration systems in industries, growth of waste to energy and biomass plants, rising electricity demand in emerging economies. Major trends in the forecast period include rising demand for high efficiency steam turbines, growing adoption of combined cycle power plants, increasing use of steam turbines in industrial cogeneration, expansion of steam turbines in renewable and waste to energy plants, higher focus on turbine durability and load flexibility.

Tariff Impact On Steam Turbine Market

Tariffs have impacted the steam turbine market by increasing the cost of imported steel, precision components, blades, and control systems used in turbine manufacturing. These higher costs have affected project economics for power utilities and industrial users, particularly in regions dependent on imported turbine equipment such as Asia Pacific and parts of the Middle East. Large capacity and high efficiency steam turbines are the most affected segments due to higher material and engineering intensity. At the same time, tariffs are encouraging local manufacturing, regional supply chain development, and long term investments in domestic turbine production capabilities.

Global Steam Turbine Market Segmentation

1) By Plant Type: Gas, Coal, Nuclear, Other Plant Types 2) By Capacity: Rated Power (<60MW), Rated Power (60-200MW), Rated Power (>200MW) 3) By Technology: Steam Cycle, Combined Cycle, Cogeneration 4) By Design: Reaction, Impulse 5) By End-Use Industry: Power And Utility, Industrial Subsegments: 1) By Gas: Combined Cycle Gas Plants, Simple Cycle Gas Plants 2) By Coal: Pulverized Coal Plants, Fluidized Bed Coal Plants 3) By Nuclear: Pressurized Water Reactors (PWR), Boiling Water Reactors (BWR) 4) By Other Plant Types: Biomass Plants, Geothermal Plants, Waste-To-Energy Plants

What Is The Driver Of The Steam Turbine Market?

The increase in focus on renewable energy is expected to propel the growth of the steam turbine market. Renewable energy, also identified as clean energy, provides consistent power supplies and fuel diversification, improving energy security and reducing the risk of fuel spills. The primary focus on renewable energy is to advance economic development, improve energy security, enhance access to power, and mitigate climate change. The increasing focus on renewable energy creates demand for steam turbines as these are a source of clean energy to produce electricity with no/less environmental impact. For instance, in January 2024, according to the U.S. Energy Information Administration, a US-based agency of federal statistical system, U.S. solar power generation is forecast to jump 75%, expanding from 163 billion kWh in 2023 to 286 billion kWh by 2025. During this timeframe, wind power generation is anticipated to increase by 11%, rising from 430 billion kWh in 2023 to 476 billion kWh in 2025. Therefore, increasing focus on renewable energy will drive the growth of the steam turbine industry.

What Is The Driver Of The Steam Turbine Market?

The increase in focus on renewable energy is expected to propel the growth of the steam turbine market. Renewable energy, also identified as clean energy, provides consistent power supplies and fuel diversification, improving energy security and reducing the risk of fuel spills. The primary focus on renewable energy is to advance economic development, improve energy security, enhance access to power, and mitigate climate change. The increasing focus on renewable energy creates demand for steam turbines as these are a source of clean energy to produce electricity with no/less environmental impact. For instance, in January 2024, according to the U.S. Energy Information Administration, a US-based agency of federal statistical system, U.S. solar power generation is forecast to jump 75%, expanding from 163 billion kWh in 2023 to 286 billion kWh by 2025. During this timeframe, wind power generation is anticipated to increase by 11%, rising from 430 billion kWh in 2023 to 476 billion kWh in 2025. Therefore, increasing focus on renewable energy will drive the growth of the steam turbine industry.

Global Steam Turbine Market Trends and Insights

Major companies operating in the steam turbine market are adopting a strategic partnership approach to maximize the utilization and harness the energy content of syngas through the generation of steam. Strategic partnerships refer to a process in which companies leverage each other's strengths and resources to achieve mutual benefits and success. For instance, in June 2023, Imerys S.A., a France-based mining company, partnered with E.ON SE, a Germany-based electric utility company. Through this partnership, E.ON is set to construct an advanced energy recovery facility at the Imerys site. The primary objective is to maximize and harness the energy content of syngas through steam production. The plant will employ a high-efficiency steam turbine with a capacity of up to 29 MWel to generate electricity. In addition to fulfilling Imerys' local energy requirements, the produced electricity will be fed into the public grid, catering to the energy needs of approximately 40,000 households. E.ON also envisions exploring the prospect of utilizing the residual heat from the power plant as a potential source for a district heating network in the future.

What Are Latest Mergers And Acquisitions In The Steam Turbine Market?

In May 2025, EthosEnergy, a US-based provider of power generation services, acquired Turbine Services, Ltd., for an undisclosed amount. With this acquisition, EthosEnergy aims to expand its service offerings in turbine maintenance and repair, strengthen its presence in the US power generation market, enhance operational capabilities, and drive long-term growth. Turbine Services, Ltd., is a US-based company specializing in turbine maintenance, repair, and overhaul services for the energy industry.

Regional Outlook

Western Europe was the largest region in the steam turbine market share in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in this market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Steam Turbine Market?

The steam turbine market consists of sales of the steam turbine including back-pressure steam turbines, extraction steam turbines, and condensing steam turbines. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified). The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What Key Data and Analysis Are Included in the Steam Turbine Market Report 2026?

The steam turbine market research report is one of a series of new reports from The Business Research Company that provides market statistics, including industry global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the steam turbine industry. The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.