Industrial Gas Turbine Market

Industrial Gas Turbine Market Size

According to a recent study by Global Market Insights Inc., the global industrial gas turbine market was estimated at USD 7.3 billion in 2024. The market is expected to grow from USD 7.8 billion in 2025 to USD 12.2 billion in 2034, at a CAGR of 5.1%.

• Fast-ramping plant capability in line with the rising renewable penetration will accelerate the demand for these turbines which provide the dispatchable firming needed when solar and wind fluctuate. Coal retirements in association with available brownfields interconnections will spur repowering activities across emerging economies.
  
• An industrial gas turbine is a high-efficiency combustion engine designed to generate mechanical power or electricity for industrial applications. It operates on the Brayton cycle, where compressed air is mixed with fuel, ignited, and expanded through turbine blades to produce rotational energy.
  
• For reference, in June 2025, GE Vernova’s joint venture announced that Harbin Electric and Harbin Electric GE Gas Turbine signed a long-term service agreement with Guangdong Yuedian Daya Bay Energy. The agreement covers the combined-cycle units of two GE Vernova 9HA.01 heavy-duty gas turbines deployed at the Guangdong Province.
  
• Electrification of transport and heating coupled with growing peak-load volatility will drive the procurement of flexible gas turbines fleets to secure multi-hour firm capacity. Moreover, data center proliferation in tandem with urban grid congestion will bolster behind-the-meter and nearby industrial gas turbine deployments where reliability is non-negotiable.
  
• Hydrogen-readiness paired with cleaner hydrogen policy roadmaps will strengthen will augment the adoption of advanced turbine portfolio systems. In addition, demonstration projects for 100% hydrogen or hydrogen blends together with OEM burner upgrades will foster rapid scaling of hydrogen-capable turbine orders.
  
• For instance, in January 2025, GE Vernova announced a strategic investment exceeding USD 160 million to expand its Greenville facility. This initiative is aimed at strengthening the company’s capacity to enhance energy affordability, security, and resilience across the U.S., while simultaneously bolstering domestic manufacturing capabilities.
  
• Predictive maintenance and digital twins coupled with outcome-based service contracts will proliferate lifecycle availability and reduce unplanned outages, improving bankability. Stricter dry-low-NOx combustion in association with stricter local air-quality rules will drive uptake of turbines that cycle deeply while remaining compliant.
  
• Multi-fuel capabilities in line with rapid expansion of oil & gas and power generation facilities across key geographies will bolster the deployment of heavy duty gas turbine units. Black-start capabilities coupled with post-outages resilience mandates will augment the value of turbines to grid operators and critical-infrastructure owners.
  
• Moreover, new pipeline and LNG terminal buildouts together with industrial park growth will spur localized baseload and CHP turbine projects. Ongoing technological innovation in turbine efficiency are reducing fuel consumption and operational costs, strengthening the demand for aeroderivative gas turbine systems.
  
• For illustration, in August 2023, Commonwealth LNG entered a strategic partnership with Baker Hughes to optimize production efficiency and reduce emissions at its upcoming liquefied natural gas facility in Louisiana.
  
• The industrial gas turbine market was valued at USD 5.9 billion in 2019 and grew at a CAGR of over 6.5% through 2024. Extreme-weather frequency paired with insurance and regulatory focus on resilience will drive procurement of turbines as reliable emergency capacity.
  
• Rapid expansion of industrial infrastructure including fertilizers and petrochemical plants with tighter space constraints are driving industry potential. Transmission buildout delays together with high local demand growth will push utilities toward strategically sited turbine capacity to relieve congestion.
  

Industrial Gas Turbine Market Trends

• Growing emphasis on energy efficiency in industrial and utility-scale power systems is pushing demand for gas turbines owing to their high thermal efficiency and combined-cycle integration capability. Industries are increasingly adopting cogeneration and CHP setups to optimize energy use, minimize waste heat, and lower operating costs, which will fuel business outlook.
  
• Stringent emission norms and carbon reduction targets are encouraging end-users to shift from less efficient, carbon-heavy technologies toward optimized turbine systems. Digitalization and smart turbine monitoring systems are being integrated to track performance and enhance optimization in real-time, further proliferating industry scenario.
  
• For reference, in March 2025, Partners Group agreed on behalf of its client to acquire a 1.9 GW portfolio of 11 natural gas power plants in California, along with Middle River Power, the operator of the assets. The portfolio comprises 2 combined-cycle facilities in line with the transaction valued at USD 2.2 billion.
  
• Rising demand for localized power production, particularly in remote industrial zones and areas with weak grid infrastructure, is accelerating the adoption of smaller, modular industrial gas turbines. The push toward microgrids and distributed energy systems highlights the role of gas turbines in ensuring reliable, flexible backup and peak-shaving capacity.
  
• In addition, decentralized power models reduce transmission losses and province autonomy to industrial facilities, boosting efficiency and energy independence. The need for fast-start, high-efficiency generation systems in urban and off-grid regions strengthens the relevance of gas turbines in decentralized frameworks.
  
• For citation, in April 2025, GE Vernova introduced AGP XPAND, the latest advancement in its proven Advanced Gas Path technology. Engineered to significantly enhance gas turbine output and efficiency, AGP XPAND marks a strategic leap in performance optimization, reinforcing GE Vernova’s commitment to innovation in power generation solutions.
  
• Natural gas is increasingly positioned as a transition fuel in global decarbonization efforts, directly benefiting the industrial gas turbine market. Rising availability of LNG and improved gas infrastructure are enhancing the viability of gas-based generation projects worldwide.
  
• Global power demand growth paired with the phasing out coal-fired power plants is fostering investment in advanced gas turbine projects as a cleaner and more efficient alternative. These turbines offer lower emissions compared to coal and oil-based power, aligning with the environmental commitments of both developed and developing economies.
  

Industrial Gas Turbine Market Analysis

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• Based on capacity, the industry is segmented into ≤ 70 MW, > 70 MW - 300 MW, and ≥ 300 MW. The ≤ 70 MW rated industrial gas turbine market holds a share of 38.6% in 2024 and is expected to grow at a CAGR of over 5% through 2034.
  
• Increasing adoption of distributed power generation to meet localized demand for industries and communities are propelling the deployment of these rated turbines. Rising use in backup and peaking power applications, particularly for small utilities and industrial users will boost industry momentum.
  
• The > 70 MW - 300 MW rated industrial gas turbine market was valued at USD 2.6 billion in 2024. Steady demand from medium-sized utilities balancing large baseload units and smaller distributed units will escalate favorable business scenario. Increasing adoption in flexible grid support, meeting intermediate and peak loads with high efficiency will stimulate product installation.
  
• For reference, in April 2025, EnBW marked a key milestone in Germany’s energy transition by officially commissioning the country’s first hydrogen-ready gas turbine power plants at its Stuttgart-Münster site. This development underscores EnBW’s strategic commitment to low-carbon technologies and future-proof energy infrastructure.
  
• The ≥ 300 MW rated industrial gas turbine market will exceed USD 3 billion by 2034. Rapid expansion of mega utility projects across developed and developing nations to meet long-term energy needs along with integration into national grids, ensuring stability and capacity for fast-growing populations are amplifying business potential.
  
• Based on product, the industry is segmented into aero-derivative and heavy duty. The aero-derivative gas turbine market will witness a growth rate of over 5% from 2025 to 2034.
  
• These turbines are witnessing strong adoption propelled by their lightweight design, higher efficiency, and superior flexibility. Their ability to ramp up and down quickly makes them particularly suitable for regions integrating variable renewable energy sources including wind and solar.
  
• For instance, in January 2025, GE Vernova reinforced its strategic commitment to the U.S. energy sector by announcing a USD 600 million investment across its manufacturing facilities over the next two years.
  
• The heavy duty gas turbine market is set to reach over USD 9 billion by 2034. These turbines remain the backbone of large-scale power generation, especially in markets emphasizing baseload and combined-cycle operations. Their ability to generate massive amount of continuous power makes them essential for utilities and industries with high energy demand.
  

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• Based on technology, the industry is segmented into open cycle and combined cycle. The combined cycle segment dominates the market with 82.5% share in 2024 and is anticipated to grow at a CAGR of over 4.5% from 2025 to 2034.
  
• Rising demand for fast-start backup generation in regions with high renewable penetration is fostering adoption of open cycle gas turbines fueled by their quick ramp-up times. Flexibility in operation makes these turbines an attractive choice for grid operators balancing fluctuating wind and solar generation.
  
• For illustration, in April 2025, Duke Energy and GE Vernova announced a strategic partnership focused on the supply of natural gas turbines and associated equipment. As part of this collaboration, the companies plan to advance multiple projects involving up to 11 GE 7HA gas turbines supporting its long-term energy strategy and infrastructure modernization goals.
  
• The open cycle industrial gas turbine market was valued at USD 1.3 billion in 2024. Surging demand for lower carbon intensity electricity is augmenting the shift toward CCGTs as an alternative to coal. In addition, governments and utilities are increasingly favoring these turbines for large-scale capacity additions to meet both decarbonization and reliability goals.
  

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• The U.S. dominated the industrial gas turbine market in North America with around 53.3% share in 2024 and generated USD 573.9 million in revenue. Increasing emphasis on grid reliability is driving utilities to deploy gas turbines as quick-response assets to balance intermittent renewables.
  
• Replacement of aging coal-fired capacity with gas turbines is accelerating, particularly in states with strong decarbonization mandates. Escalating demand for aeroderivative turbine owing to rising deployment for distributed generation projects in airports, military bases, and industrial campuses.
  
• For reference, in September 2024, the U.S. government announced a landmark USD 7.3 billion investment in clean energy initiatives through 16 rural electric cooperatives. Representing one of the most substantial federal commitments to date, this initiative aims to accelerate rural electrification by integrating wind, solar, hydro, and nuclear energy solutions.
  
• The North America industrial gas turbine market will project at a CAGR of over 4.5% till 2034. Modernization of aging power plants across the region is providing momentum for mid-capacity gas turbine installations. Cross-border energy trade is supporting turbine deployments for grid stability and interconnection projects.
  
• For illustration, in January 2025, Shell Energy North America, a subsidiary of Shell plc, finalized the acquisition of a 100% equity in RISEC Holdings. RISEC owns a 609 MW, 2 combined-cycle gas turbine power plant located in Rhode Island, U.S.
  
• The Europe industrial gas turbine market was valued at USD 1.6 billion in 2024. The region’s accelerated coal and nuclear retirements are opening large opportunities for high efficiency combined cycle turbines. Stringent EU emission norms are pushing operators to adopt advanced low-NOx turbine technologies, which in turn will bolster business outlook.
  
• The Asia Pacific industrial gas turbine holds a market share of 32.5% in 2024. Rapid industrialization across the region is fueling demand for mid-capacity turbines in manufacturing and petrochemical sectors. Growing preference for dual-fuel turbines ensures operational flexibility amidst fuel supply uncertainties will influence the product adoption.
  
• For instance, in April 2025, Azad Engineering achieved a significant milestone with the launch of its first dedicated lean manufacturing facility for Mitsubishi Heavy Industries in Hyderabad. This state-of-the-art facility is seamlessly integrated with Azad’s Center for Excellence and Innovation for high-precision component manufacturing.
  
• The Middle East & Africa industrial gas turbine market will exceed USD 2 billion by 2034. Substantial investments in desalination projects are creating demand for turbines integrated into cogeneration systems. Gulf states are increasingly deploying gas turbines in hybrid renewable power plants along with long-term supply chain contract will positively sway business growth.
  
• The Latin America industrial gas turbine market will witness a growth rate of over 5.5% through 2034. The region is experiencing robust growth, propelled by increasing turbine demand to complement its hydro-heavy mix during drought seasons. In addition, surging focus on mid-size gas turbine projects to stabilize their grids under renewable expansion will foster industry dynamics.
  

Industrial Gas Turbine Market Share

• The top 5 companies in the Industrial gas turbine industry are Siemens Energy, Solar Turbines, Mitsubishi Heavy Industries, GE Vernova, and Ansaldo Energia, contributing around 40% of the market in 2024. The market is highly competitive, characterized by a mix of global OEMs and specialized regional players competing across technology, efficiency, and service offerings.
  
• GE Vernova competes through advanced turbine efficiency, digital solutions, and hybrid-ready designs, giving it a strong foothold in high-capacity power generation. The company emphasizes reliability, fuel flexibility, and emission reductions, aligning with global decarbonization targets. Its competitive positioning is reinforced by a strong aftermarket service network and global project execution.
  
• Siemens Energy’s competition in the industrial gas turbine market is shaped by its focus on decarbonization technologies, hydrogen fueled turbines, and combined cycle efficiency. It competes strongly on digital solutions, service agreements, and operational flexibility. The company emphasizes innovation in carbon capture integration and turbine hybridization, setting it apart in energy transition projects.
  
• Ansaldo Energia competes primarily in Europe and emerging markets by offering flexible, mid-sized industrial gas turbines with customizable solutions. Its competitive edge lies in engineering adaptability and the ability to tailor turbines to local regulatory and operational requirements. In comparison with larger rivals, the company’s competition focuses more on niche applications and partnerships in transitioning energy systems.
  
• Mitsubishi Heavy Industries competes through large-scale, hydrogen-ready gas turbines designed for high-efficiency, low-emission power generation. Its stronghold lies in Asia and Middle East, where demand for large-capacity turbines continues to grow.
  
• Over the past 3 years, market concentration in the Industrial gas turbine sector has moved from moderate to moderately fragmented owing to the entry of niche and regional players particularly in modular, electric, and condensing boiler units. The market is uptick in private-label manufacturing, local assembly partnerships, and service-focused regional companies expanding their market presence.
  

Industrial Gas Turbine Market Companies

• In third quarter of 2025, Siemens Energy continued its strong growth trajectory, reporting double-digit revenue expansion to USD 11.3 billion, marking a 13.5% increase on a comparable basis. The company achieved profitability, posting net income of USD 813.5 million for the quarter, compared to a net loss of USD 119.1 million in quarter 3 FY 2024.
  
• In second quarter of 2025, GE Vernova reported strong quarterly performance with revenue reaching USD 9.1 billion, reflecting an 11% year-over-year increase and 12% organic growth, driven by solid momentum across both equipment and services. Net income totaled USD 0.5 billion, translating to a net income margin of 5.4%. Adjusted EBITDA came in at USD 0.8 billion, with an adjusted EBITDA margin of 8.5%.
  
• In the first quarter of 2025, Kawasaki Heavy Industries reported revenue of USD 3.3 billion, reflecting solid business momentum. The company achieved a gross profit of USD 622 million, demonstrating strong operational efficiency. Profit before tax stood at USD 114 million, highlighting continued financial stability and disciplined cost management across its business segments.
  
• In 2024, Baker Hughes reported a robust financial performance, with total revenue rising by USD 2.3 billion, or 9%, to reach USD 27.8 billion. The growth was driven by a USD 268 million increase in its Oilfield Services & Equipment (OFSE) segment and a substantial USD 2.055 billion gain in Industrial & Energy Technology (IET). The company secured USD 28.2 billion in orders, reflecting strong market demand.
  

Major players operating in the industrial gas turbine industry are:

• Ansaldo Energia
• Baker Hughes
• Bharat Heavy Electricals
• Capstone Green Energy
• Destinus Energy
• Doosan
• Flex Energy Solutions
• GE Vernova
• Harbin Electric
• IHI Corporation
• JSC United Engine
• Kawasaki Heavy Industries
• MAN Energy Solutions
• Mitsubishi Heavy Industries
• MTU Aero Engines
• Nanjing Turbine and Electric Machinery
• Rolls Royce
• Siemens Energy
• Solar Turbines
• Vericor
• Wartsila
  

Industrial Gas Turbine Industry News

• In July 2025, GE Vernova announced a landmark agreement with Crusoe, the first vertically integrated AI infrastructure provider, to supply 29 units of its advanced LM2500XPRESS aeroderivative gas turbine packages. The turbines will be deployed to support Crusoe’s rapidly expanding AI data center operations. This agreement highlights the company’s strategic role in enabling scalable, low-emission power generation for energy-intensive digital infrastructure, particularly in the fast-evolving AI landscape.
  
• In June 2025, IHI Corporation in association with GE Vernova announced the completion of a state-of-the-art large-scale combustion test facility at IHI’s Aioi Works in Hyogo Prefecture. The newly commissioned facility is designed to support the development and validation of next-generation combustion technologies, with a particular focus on ammonia, a hydrogen-derived, carbon-free fuel. When utilized in gas turbines, ammonia combustion results in zero net CO2 emissions, aligning with global decarbonization goals.
  
• In May 2025, Baker Hughes announced a significant contract award from Frontier Infrastructure to deliver 16 NovaLT gas turbines for data center developments in Texas and Wyoming. The turbines will deliver up to 270 MW of efficient and reliable power to support Frontier’s behind-the-meter (BTM) energy infrastructure. As part of the agreement, Baker Hughes will provide its advanced NovaLT turbine technology along with supporting equipment, including gear systems and Brush Power Generation four-pole generators.
  
• In March 2025, Siemens Energy secured a contract accounted USD 1.6 billion with Harbin Electric as EPC to supply gas turbines and other key technologies for Nairyah 2 and Rumah 2 combined-cycle gas-fired power plant in Saudi Arabia. The project will add 3.6 GW to the national grid, enough to power about 1.5 million homes, and include 25-year long-term maintenance agreement to ensure reliability.
  

The industrial gas turbine market research reports include in-depth coverage of the industry with estimates & forecast in terms of volume (MW) & revenue (USD Million) from 2021 to 2034, for the following segments:

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Market, By Capacity

• ≤ 70 MW
• > 70 MW - 300 MW
• ≥ 300 MW

Market, By Product

• Aero-derivative
• Heavy duty

Market, By Technology

• Open cycle
• Combined cycle

Market, By Application

• Power generation
• Oil & gas
• Other manufacturing

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
  • Mexico 
• Europe
  • UK
  • Russia
  • Italy
  • Germany
  • France
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Algeria
• Latin America
  • Brazil
  • Argentina