China’s Goldwind Science & Technology Co., the world’s largest wind turbine maker, reported a rise in first-half profit as the rapid expansion of renewable energy in China boosted demand.
Net profit rose to 1.39 billion yuan ($195 million) in the six months to June, up 11 percent from 1.25 billion yuan in the same period in 2023, the Chinese company said in a statement on Friday.
China added about 26 gigawatts of wind power in the first half, up 12% from a year earlier, according to the National Energy Administration, boosting record installed capacity by 2023. However, fierce competition among domestic turbine makers and low prices have squeezed companies’ margins, limiting their ability to benefit from the installation boom.
Wind turbine prices in the country stabilized in the first half of the year while the rest of the world saw an increase, according to BloombergNEF. More Chinese manufacturers are hoping to increase exports to benefit from higher margins and are pricing their products well below those of foreign competitors including Vestas Wind Systems A/S and General Electric Co., BNEF said in a report late last month.
Chinese wind farm manufacturers mainly export to Asia, Africa, Latin America and the Middle East, while their Western counterparts are more focused on the US and European markets.
2024-08-23 22:11:04