Goldwind Lands 13 North American Wind Power Contracts

Are Western Wind Turbine Manufacturers In Trouble?

Written by Brian Hicks
Posted January 18, 2012

Xinjiang Goldwind Science and Technology Co (Goldwind) is the second largest Chinese wind turbine producer and amongst the top 5 wind turbine companies in the world. But Goldwind's stock has also been punished along with other Chinese wind turbine stocks as a fierce price war in the Chinese market has led to nosediving margins and revenues.

Today, there is massive overcapacity in the Chinese wind market as there are around 100 producers of wind turbines with 7 out of the 15 top global wind turbine makers. Chinese Government policies have been changed to weed out the smaller inefficient wind turbine makers, however the competition still remains quite high just like the Solar Panel Industry.  And other global heavywieghts like Vestas, Gamesa ,Suzlon are facing bankruptcy concerns as the 20-30% cheaper Chinese wind turbines take a big toll.

Goldwind has been trying to expand internationally by doing an IPO to raise funds, and has invested heavily in the North American market, where the U.S. market is the second largest wind market in the world. Its investments have paid off as it has managed to bag 13 wind farm projects and get marquee customers like Enel Green Power.

Chinese Wind Energy Dominance

The Chinese have not only captured most of the top rankings of the biggest solar panel producers in the world,they have extended their lead into Wind Energy as well. Seven of the top 15 positions in Global Wind Turbine Producers are Chinese according to a new ranking. Sinovel and Goldwind have become the No.2 and No.4 ranked in the world with more than 10% global marketshare each. Dongfang is the other top Chinese wind power company with a 7% market share. United Power is number ten.  Other top Chinese wind energy companies include Mingyang, Sewind and XEMC China.