Facing Radical Change the Wind Energy Sector Is Growing Throughout the World

Wind Energy turbine manufacturers

A technician of the German-Indian manufacturer Kenersys prepares a gear wheel for assembly. Photo: Jens Büttner/dpa Facing radical change The wind energy sector is growing throughout the world. Vestas and Gamesa are changing New factories are primarily being built in North America the fastest and Asia, while factories in Europe are being closed Vestas invested almost € 800 million in the past year, especially in the US and China. A large slice of this down. Relocating production is in line with international investment went into increasing V112-3.0 MW production, as their new annual report states. It also market trends. emphasizes that regionalization of production is to continue on a “for the region by the region” basis. The purpose of shifting manufacturing capacities to China and the US is to cut production and transporta- tion costs radically. The company says that another orld-wide manufacturers of wind turbines benefit is to be closer to customers, politicians and are setting up new sites, specifically dedi- markets. This is a sign that everywhere in the world Wcated to rotor blade manufacturing, nacelle the regulatory parameters are very important to wind assembly and tower production. The big production power utilization. This year Vestas intends to increase centres that formerly supplied the whole world are the share of production in the region, often referred losing in importance. Danish world market leader to as local production, up to 80 or 90 %. Vestas and Spanish manufacturer Gamesa have Only a small amount of production is still carried shifted their focus of production most significantly. out in Denmark. And the relocation process is contin- Both companies are reducing their capacities in uing. In October 2010 the executive board decided to Europe and intensifying their commitment in North close down four factories in Denmark and one in America and Asia considerably. Sweden and to shed 3,000 jobs. Currently, jobs are

148 Sun & Wind Energy 6/2011 Who watches over its product quality as closely as over its processes?

Modern wind turbines already generate 5 MW of power and more – a trend that will continue to grow for years. Accordingly, expectations placed on system excellence and operational reliability will also continue to rise. As the leading global supplier of drive train components for wind turbines, we apply the highest quality standards to our products and our processes. That’s expertise you can rely on. To learn more, visit www.winergy-group.com or call us at +49 (0) 2871 924

WI_AZ_Motiv_1-4_A4_E_mit_MH.indd 1 02.05.11 10:35 Wind Energy turbine manufacturers

Denmark Germany / Austria

Powerwind R Siemens N REpower Enercon Nordex Eno Energy N N N N Bard R R R N N Enercon T N R N Vestas R Kenersys N Areva Vestas N R Siemens REpower N N REpower N Siemens Enercon GE Energy Vestas T R N T Enercon T N R Fuhrländer Vestas Vestas T N R Vestas WinWinD N

N Vensys

Fuhrländer Clipper T Enercon N Wind- Vergnet N Suzlon R power R T DeWind Nordic Windpower N N N Vestas R N Acciona N Enercon Siemens R R Vestas R R N R N Gamesa Vestas T N Nordex N Leitwind N R N Mitsubishi N T N GE Energy GE Energy Unison N Mitsubishi Enercon India R N N GE Energy Gamesa DeWind Portugal / Spain N Inox Wind R Vestas N T R R T Suzlon N Gamesa N R Alstom Gamesa N Vestas N R T R T T R N Gamesa N Ghodawat Energy Enercon R T Vestas T R Gamesa Global Windpower N R N Alstom R T R N Suzlon Acciona R N T T Gamesa N Gamesa N Alstom N REpower N Suzlon R N Vestas Gamesa N N Winwind R Leitwind Gamesa N N Gamesa T Gamesa R N RRB Energy

GE Energy N

Vestas R Gamesa R N Acciona R China Enercon Gamesa T

Fuhrländer T N Gamesa GE Energy R Dongfang N N Enercon Guodian N R N N Goldwind N R Goldwind N N N N N N N World map of wind turbine REpower N R R R N Sinovel Sinovel Suzlon manufacturers N Vestas Nordex R Nordex 153 production sites in 18 countries Vestas Siemens R Publisher: Sun & Wind Energy Dongfang N www.sunwindenergy.com Windflow N Layout: Eilers-Media www.eilers-media.de Dongfang N N CSIC Date: May 2011 Source: company data, own research N Mingyang N Avantis Caption N nacelle assembly N under construction R rotor blade productionR under construction T tower construction T under construction

150 Sun & Wind Energy 6/2011 Denmark Germany / Austria

N Vensys

GE Energy N

Vestas R Gamesa R N Acciona R China Enercon Gamesa T

Sun & Wind Energy 6/2011 151 Wind Energy turbine manufacturers

Vestas – 12 % more than the year before. Vestas says in its annual report that it will continue to put “people before megawatts”. The reason is that the costs of keeping too many skilled employees would be cheap- er than the cost of potentially avoidable mistakes if in times of strong growth, staff had to be recruited too hastily. That is why downsizing the workforce in Europe is not proceeding as rapidly as it had initially been feared. Gamesa shuts down domestic factories

In view of the sluggish domestic market, Spanish market leader Gamesa is now stepping up its efforts to gain ground in overseas markets because the company suffered a sharp decline in sales in the past year. The company was only able to realize 2.4 GW global- Nordex employees in Rostock ly, or 24 % less than the year before. Gamesa is now (Northern Germany) are work primarily being created in the US. Recently, an as- pushing for growth in order to turn the tide. Between ing on a rotor blade. sembly plant and a tower factory have been built in 2011 and 2013, some € 750 million are to be invest- Photo: Bernd Wüstneck/dpa Colorado. This year a factory is to be constructed that ed in manufacturing development in order to launch will produce rotor blades for the V112-3.0 MW. In five new product lines at the same time. The company China Vestas developed a second site last year: one wants sales to grow to almost 4 GW by 2013. of the company’s largest manufacturing centres is in The company is facing radical change, as hardly Tianjin. Recently, Vestas has also been producing any other wind turbine manufacturer had concentrat- rotor blades and nacelles in Hohhot (Mongolia). ed its production on the domestic market so strong- In spite of the company shut-downs in Europe, ly. Several factories will have to be closed down, the global workforce therefore continued to grow. In because today Gamesa already gains 90 % of its late 2010 some 23,252 employees were working for sales outside Spain. Manufacturing capacity is to be Wind forecasting ad (90x125mm)_Wind forecasting ad (90x125mm) 19/04/201 expanded significantly in the Americas and Asia. Gamesa is confident of increasing sales overseas in terms of installed capacity by 2013: up to 500 MW in www.greenpowerconferences.com +44 (0)20 7099 0600 South America, up to 800 MW respectively in North America and India and up to 1,000 MW in China. In the same period, market volume in Europe will shrink from about 2,000 to about 800 MW. These five markets will then be of roughly equal importance to Gamesa – which means even distribution of produc- 5 July 2011, Dexter House, London, UK tion among these regions. The company already produces rotor blades, Predicting the Next Phase for a Mature Wind Energy Market drives, generators and nacelles with a capacity of Key reasons to attend � The debates and 1,000 MW in Tianjin (China) today. A second site with presentations will help you � The conference is part of the an output about half as large is envisaged for the engage with the latest Investing in Renewables Week developments in this fast- northern province of Jilin. In Chennai (India), where of events, enabling you to moving industry and ensure Gamesa already assembles nacelles, a rotor blade fa- target your specific area of that your strategy takes into cility has been set up recently. In Brazil the company interest and network with the account recent and people you want to meet: a upcoming changes plans to build a nacelle assembly facility. However, tailored approach, saving the Spanish company is also poised to invest in you time � The conference will bring together the renewable Europe. In the UK they are planning to set up an off- � Is offshore wind the energy community with shore technology center and rotor blade production. future? Learn the answer to investment professionals; The goal is to equip the offshore wind farms of the this and more benchmark your competitors future with the rotor blades. and meet future partners Official Offset Partner: Organised By: Siemens and GE are taking their time

Siemens is extending its manufacturing capabilities at For more information or to book please visit much slower pace than Vestas and Gamesa. Siemens www.greenpowerconferences.com/windforecast or email [email protected] quoting ref SWE1 traditionally produces the vast majority of rotor blades and nacelles that are used globally in Denmark. The www.greenpowerconferences.com/windforecast first production site outside Denmark was the rotor

152 Sun & Wind Energy 6/2011 blade factory in Iowa, US, which was constructed two atively small. This applies to the sites in Brazil and years ago. Nacelle assembly in Kansas (US) and a Sweden, as well as in Turkey. An exception is Portugal rotor blade factory in Shanghai (China) followed last where Enercon has set up a production centre. While year. The momentum will step up slightly as six more rotor blades and towers are manufactured in the port factories are expected to follow in the coming three of Viana do Castelo, generators and nacelles are made years. From 2014 Siemens aims to produce at 13 sites in neighbouring Lanheses. The site on the coast makes in eight countries around the world. These sites do not exports to overseas markets possible. take into account further Siemens Group’s factories that supply products for the wind energy industry and Waiting for the Chinese to come include drive and generator production, as well as plant engineering. Relative to their size, Chinese manufacturers have The same is true for General Electric (GE). The US been very reserved to date. Sinovel, Goldwind and group has very few sites that exclusively produce for Dongfang have not opened a factory outside their wind energy. The two largest ones are Tehachapi homeland yet. However, it is just a question of time be- (California) and Salzbergen (Germany). In Salzbergen fore expansion begins. Initially, Chinese manufac some 700 machine housings for the 2.5 MW class can turers will base themselves in the US. Sinovel and be fabricated annually. This is sufficient for the whole Goldwind have already put out their feelers. Should of Europe. As a result, GE Energy was able to shut they be successful there, they will soon set their sights down the factory in Noblejas (Spain) last year. The on the European market as well. third assembly factory is Shenyang (China). The com- South Korean manufacturers Samsung and pany’s remaining sites, shown on the world map, pro- Hyundai are also very interested in producing in the duce components such as generators for the other US. The reason is that this market is far more expansive sectors of the GE group. Because these processes are than its European counterpart. The Japanese Mitsubishi divided up within the company, founding new facto- Group also plans to produce in the US shortly. This ries is not a pressing issue. project has been temporarily slowed down due to a Enercon is the only leading company to rule out patent dispute with GE. However, because patent pro- supplying wind turbines to China and the US. However, tection will soon expire, Mitsubishi will be able to man- by opening a tower factory in Canada, the company ufacture in the US as well. Global production in the could still quickly supply the US in future. But the com- wind energy sector is on a growth track. pany’s production capacities outside Germany are rel- Detlef Koenemann

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