South Korea Wind Energy Market Size Insights Forecasts to 2033

• The Market is Growing at a CAGR of 2.7% from 2023 to 2033
• The South Korea Wind Energy Market Size is Expected to Hold a Significant Share by 2033

The South Korea Wind Energy Market Size is Anticipated to Hold a Significant Share by 2033, Growing at a CAGR of 2.7% from 2023 to 2033.

Market Overview

Wind energy generates electricity from wind turbines with both onshore and offshore installations. It is indeed one of the fastest-growing sectors in the renewable energy industry. The widespread demand for clean and sustainable sources of energy, technological advancement, and decline in the cost of producing wind energy explain the growth of this market. According to a report recently published by the Global Wind Energy Council, offshore wind energy will significantly augment the country's economy by leaps and bounds along the coastlines, with estimated investments said to reach as high as 87 trillion won, and the creation of over 770,000 jobs. The report calculates that achieving the ambitious goal of 14.3 GW of offshore wind capacity by 2030 is essential for local economic revitalization in strategic coastal cities, like Incheon, Gunsan, and Mokpo. While great economic benefits are felt only 150 MW of the target has been installed up to now, mainly due to permitting procedures lasting up to 10 years. The report considers that the GWEC has placed high emphasis on the need for the government to streamline those permitting procedures to unlock the full potential of offshore wind development in support of the country's objectives of growth and net-zero emissions. It also outlines a framework for harmonious coexistence of offshore wind farms with the fishing industry.

Report Coverage

This research report categorizes the market for South Korea wind energy market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the South Korea wind energy market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the South Korea wind energy market.

Driving Factors

Offshore wind in South Korea is booming due to a few key trends: increased participation from local and international players, supported by incentives offered by governments to encourage competitiveness and innovation; more efforts are being dedicated to grid integration to minimize the penalty of variable renewable energy; and increased scrutiny over permitting and environmental impacts in an effort to build public acceptance for these projects while preserving marine ecosystems. Geographical barriers are overcome with accelerated floating offshore wind project deployment, making South Korea a pioneer in this field of technology. Finally, an ever-increasing demand for local talent requires training programs to meet the emerging industry needs.

Restraining Factors

The limited availability of land is a significant restriction in the market. Moreover, poor investment due to the low rate of return on invested capital is likely to restrain the growth of the market during the forecast period.

Market Segment

The South Korea wind energy market share is classified into type and end-use.

• The offshore segment is expected to hold the largest market share through the forecast period.

The South Korea wind energy market is segmented by type into offshore and onshore. Among these, the offshore segment is expected to hold the largest market share through the forecast period. This is attributed to the offshore wind is highly promising, especially along South Korea's coast line, where the winds are more constant and stronger than elsewhere and thus can support large-scale ventures. Highly extensive efforts are being geared towards the development of offshore wind power, primarily offshore the southwest coast, where massive floating wind farms are expected to be developed.

• The industrial segment is expected to hold the largest market share through the forecast period.

The South Korea wind energy market is segmented by end-use into industrial, commercial, and residential. Among these, the industrial segment is expected to hold the largest market share through the forecast period. This is attributed to a surge in demand for renewable energy sources in industrial applications since governments have been portraying that their policies emphasize sustainability and transitional move towards clean energy. Industrial applications are more likely to invest in large-scale wind energy projects than the commercial and residential segments as they usually require extensive installations.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the South Korea wind energy market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Equinor ASA
• Vestas Wind Systems A/S
• Siemens Gamesa Renewable Energy SA
• Global Wind Energy Co. Ltd
• Hyosung Heavy Industries Corporation
• Ørsted A/S
• Total Eren SA
• Elenergy Co. Ltd
• TUV SUD
• 4o mini
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• In September 2024, EDF Renewables has acquired the entirety of Shell's stake in West Sea Energy, the company behind an offshore project that will take material shape off the southwestern coast of South Korea with a capacity of up to 1.5GW.

• In September 2024, Mammoet Joins Forces with Samyang Marine Group to Meet Transport Requirements for South Korea's Offshore Wind Sector.

• In March 2024, Vestas has won an order of 77 MW with GS E&R for the YD1 wind farm in Gyeongsang-do, South Korea, which is based on supply and installation supervision of 18 V136-4.2 MW turbines that will be delivered at 4.3 MW operating mode.

Market Segment

This study forecasts revenue at regional, and country levels from 2022 to 2033. Spherical Insights has segmented the South Korea wind energy market based on the below-mentioned segments

South Korea Wind Energy Market, By Type

• Offshore
• Onshore

South Korea Wind Energy Market, By End-Use

• Industrial
• Commercial
• Residential