Global Energy Contract Manufacturing Market 2025-2035
Description
Energy Contract Manufacturing Market Size, Share & Trends Analysis Report by Source Type (Renewable Energy Sources, and Non-Renewable Energy Sources) by Services (Manufacturing, Design & Engineering, Assembly, Testing & Inspection, and Maintenance) and by End User (Commercial, and Government) Forecast Period (2025-2035)
Industry Overview
Energy contract manufacturing market was valued at $168.9 billion in 2024 and is projected to reach $308.3 billion by 2035, growing at a CAGR of 5.2% during the forecast period (2025–2035). The market growth is driven by factors such as the increasing demand for renewable energy, technological advancements in manufacturing, and the strategic shift toward outsourcing for asset-light operating models. Key factors influencing this growth include the expansion of renewable energy sectors like solar and wind, the demand for efficient and specialized battery production for electric vehicles, and the increasing need for outsourcing to optimize costs and manage supply chain risks.
Market Dynamic
Rapid Scale-Up of Renewables and Grid/Storage Buildout
Global policy and corporate commitments to decarbonize are producing an unprecedented pipeline of solar, wind, and energy-storage projects — and that demand is being met largely through specialized contract manufacturers. Large-scale modules, inverter, nacelle, tower, and component assembly are being outsourced to shorten time-to-market, capture economies of scale, and shift CAPEX off OEM balance sheets. Oversupply in some PV segments has driven aggressive cost-optimization and outsourcing strategies, while national industrial policies (China, India, EU, US incentives) continue to redirect manufacturing capacity toward renewable supply chains.
Electrification of Transport and the Surge in Battery Manufacturing
Electrification of vehicles and increasing deployment of stationary storage have created a booming demand for battery cell, module, and pack production. OEMs and new entrants are partnering with contract manufacturers for cell formation, module assembly, and pack integration to accelerate capacity additions and manage supply-chain complexity (critical minerals, cell chemistry, safety testing). This specialization makes contract manufacturers a central growth node in the wider energy ecosystem because batteries are both high-volume and highly technical, enabling contract manufacturers to capture an outsized share of future energy-manufacturing spend.
Supply-chain resilience, reshoring, and Industry 4.0 capabilities
Geopolitical shifts, trade tensions, and the need for resilient local supply chains are pushing energy firms to diversify manufacturing footprints, hiring contract manufacturers to reshore or regionalize production quickly. At the same time, Industry-4.0 investments (automation, digital twins, advanced testing & inspection, traceability) are making contract partners more attractive because they can deploy high-capex, standardized production lines across geographies faster than many project developers or OEMs can on their own. The combined effect: faster ramp-ups, lower fixed-cost exposure for developers, and higher margins for specialized CM firms
Market Segmentation
Among all the segments, Renewable Energy Sources is expected to hold the largest share and lead the global energy contract manufacturing market. This dominance is driven by the accelerated deployment of solar, wind, and energy storage projects worldwide. Renewables require large-scale manufacturing, assembly, testing, and maintenance services, which are increasingly outsourced to contract manufacturers to optimize costs, scale production, and reduce time-to-market. Policies supporting clean energy adoption, corporate net-zero commitments, and declining renewable technology costs further strengthen the segment’s leadership position.
Manufacturing: A Key Segment in Market Growth
Among the Services segment of the global energy contract manufacturing market, Manufacturing stands out as the key growth driver. This is primarily due to the rising demand for large-scale production of renewable energy equipment such as solar panels, wind turbine components, inverters, and energy storage systems. Contract manufacturers are increasingly relied upon to handle high-volume production efficiently while maintaining stringent quality standards. The adoption of advanced manufacturing technologies, automation, and Industry 4.0 practices further enhances output, reduces costs, and ensures faster time-to-market, making manufacturing services an attractive and scalable solution for energy developers and OEMs.
Regional Outlook
The global energy contract manufacturing market is further divided by region, including North America (the US and Canada), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).
North America Maintains Strong Market Position
North America holds a significant share; the US dominates the global energy contract manufacturing market, holding a major share due to its advanced technological infrastructure, robust renewable energy policies, and strong industrial base. The country has been at the forefront of renewable energy adoption, particularly in solar, wind, and energy storage projects, creating a substantial demand for contract manufacturing services. US-based energy developers and OEMs increasingly rely on specialized contract manufacturers for high-volume production, assembly, testing, and maintenance to accelerate project timelines and optimize costs. Government incentives, such as the Inflation Reduction Act, and federal and state-level subsidies for clean energy deployment further stimulate investments in manufacturing capacities. Additionally, the US has a well-established network of commercial and industrial end-users actively investing in energy storage solutions and renewable infrastructure, which fuels the demand for outsourced manufacturing. The country’s focus on energy security, supply-chain resilience, and technological innovation, including advanced battery production, automated assembly lines, and Industry 4.0 integration, reinforces its leadership position. Moreover, several leading global energy contract manufacturing companies are headquartered or operate large facilities in the US, making it a central hub for the development, testing, and large-scale production of renewable and non-renewable energy components. These factors collectively ensure that the US retains its dominant share in the global energy contract manufacturing market.
Market Players Outlook
The major companies operating in the global energy contract manufacturing market include ABB Ltd., Eni S.p.A., General Electric Co. (GE), Hyundai Heavy Industries Co., Ltd., Marubeni Corp., among others. Market players are leveraging partnerships, collaborations, mergers, and acquisition strategies for business expansion and innovative product development to maintain their market positioning.
Recent Developments
Industry Overview
Energy contract manufacturing market was valued at $168.9 billion in 2024 and is projected to reach $308.3 billion by 2035, growing at a CAGR of 5.2% during the forecast period (2025–2035). The market growth is driven by factors such as the increasing demand for renewable energy, technological advancements in manufacturing, and the strategic shift toward outsourcing for asset-light operating models. Key factors influencing this growth include the expansion of renewable energy sectors like solar and wind, the demand for efficient and specialized battery production for electric vehicles, and the increasing need for outsourcing to optimize costs and manage supply chain risks.
Market Dynamic
Rapid Scale-Up of Renewables and Grid/Storage Buildout
Global policy and corporate commitments to decarbonize are producing an unprecedented pipeline of solar, wind, and energy-storage projects — and that demand is being met largely through specialized contract manufacturers. Large-scale modules, inverter, nacelle, tower, and component assembly are being outsourced to shorten time-to-market, capture economies of scale, and shift CAPEX off OEM balance sheets. Oversupply in some PV segments has driven aggressive cost-optimization and outsourcing strategies, while national industrial policies (China, India, EU, US incentives) continue to redirect manufacturing capacity toward renewable supply chains.
Electrification of Transport and the Surge in Battery Manufacturing
Electrification of vehicles and increasing deployment of stationary storage have created a booming demand for battery cell, module, and pack production. OEMs and new entrants are partnering with contract manufacturers for cell formation, module assembly, and pack integration to accelerate capacity additions and manage supply-chain complexity (critical minerals, cell chemistry, safety testing). This specialization makes contract manufacturers a central growth node in the wider energy ecosystem because batteries are both high-volume and highly technical, enabling contract manufacturers to capture an outsized share of future energy-manufacturing spend.
Supply-chain resilience, reshoring, and Industry 4.0 capabilities
Geopolitical shifts, trade tensions, and the need for resilient local supply chains are pushing energy firms to diversify manufacturing footprints, hiring contract manufacturers to reshore or regionalize production quickly. At the same time, Industry-4.0 investments (automation, digital twins, advanced testing & inspection, traceability) are making contract partners more attractive because they can deploy high-capex, standardized production lines across geographies faster than many project developers or OEMs can on their own. The combined effect: faster ramp-ups, lower fixed-cost exposure for developers, and higher margins for specialized CM firms
Market Segmentation
- Based on the source type, the market is segmented into renewable energy sources and non-renewable energy sources.
- Based on the grid services, the market is segmented into manufacturing, design & engineering, assembly, testing & inspection, and maintenance.
- Based on the end user, the market is segmented into Commercial and Government.
Among all the segments, Renewable Energy Sources is expected to hold the largest share and lead the global energy contract manufacturing market. This dominance is driven by the accelerated deployment of solar, wind, and energy storage projects worldwide. Renewables require large-scale manufacturing, assembly, testing, and maintenance services, which are increasingly outsourced to contract manufacturers to optimize costs, scale production, and reduce time-to-market. Policies supporting clean energy adoption, corporate net-zero commitments, and declining renewable technology costs further strengthen the segment’s leadership position.
Manufacturing: A Key Segment in Market Growth
Among the Services segment of the global energy contract manufacturing market, Manufacturing stands out as the key growth driver. This is primarily due to the rising demand for large-scale production of renewable energy equipment such as solar panels, wind turbine components, inverters, and energy storage systems. Contract manufacturers are increasingly relied upon to handle high-volume production efficiently while maintaining stringent quality standards. The adoption of advanced manufacturing technologies, automation, and Industry 4.0 practices further enhances output, reduces costs, and ensures faster time-to-market, making manufacturing services an attractive and scalable solution for energy developers and OEMs.
Regional Outlook
The global energy contract manufacturing market is further divided by region, including North America (the US and Canada), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).
North America Maintains Strong Market Position
North America holds a significant share; the US dominates the global energy contract manufacturing market, holding a major share due to its advanced technological infrastructure, robust renewable energy policies, and strong industrial base. The country has been at the forefront of renewable energy adoption, particularly in solar, wind, and energy storage projects, creating a substantial demand for contract manufacturing services. US-based energy developers and OEMs increasingly rely on specialized contract manufacturers for high-volume production, assembly, testing, and maintenance to accelerate project timelines and optimize costs. Government incentives, such as the Inflation Reduction Act, and federal and state-level subsidies for clean energy deployment further stimulate investments in manufacturing capacities. Additionally, the US has a well-established network of commercial and industrial end-users actively investing in energy storage solutions and renewable infrastructure, which fuels the demand for outsourced manufacturing. The country’s focus on energy security, supply-chain resilience, and technological innovation, including advanced battery production, automated assembly lines, and Industry 4.0 integration, reinforces its leadership position. Moreover, several leading global energy contract manufacturing companies are headquartered or operate large facilities in the US, making it a central hub for the development, testing, and large-scale production of renewable and non-renewable energy components. These factors collectively ensure that the US retains its dominant share in the global energy contract manufacturing market.
Market Players Outlook
The major companies operating in the global energy contract manufacturing market include ABB Ltd., Eni S.p.A., General Electric Co. (GE), Hyundai Heavy Industries Co., Ltd., Marubeni Corp., among others. Market players are leveraging partnerships, collaborations, mergers, and acquisition strategies for business expansion and innovative product development to maintain their market positioning.
Recent Developments
- In August 2025, Fluence opened a 35 GWh battery factory in Vietnam, following delays in US production. The joint venture between Siemens, AES Corporation, and ACE Engineering aims to manufacture Fluence's energy storage solutions, including Gridstack Pro and Smartstack.
- In July 2025, Enphase launched its fourth-generation energy system with a 7.08-kW battery called the IQ Battery 10C, made in the USA. The battery offers 10 kWh of usable energy and delivers 7.08 kW of continuous power. It has a smaller footprint and uses lithium-iron phosphate chemistry for safety and longevity. The battery has a DC round-trip efficiency of 96% and an AC round-trip efficiency of 90%. Enphase plans to increase single-day deployments and recommends installing multiple batteries for home backup.
- Market value data analysis of 2024 and forecast to 2035.
- Annualized market revenues ($ million) for each market segment.
- Country-wise analysis of major geographical regions.
- Key companies operating in the global energy contract manufacturing market. Based on the availability of data, information related to new products and relevant news is also available in the report.
- Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
- Analysis of market-entry and market expansion strategies.
- Competitive strategies by identifying ‘who-stands-where’ in the market.
Table of Contents
179 Pages
- 1. Report Summary
- Current Industry Analysis and Growth Potential Outlook
- Global Energy Contract Manufacturing Market Sales Analysis – Source Type | Services | End-User ($ Million)
- Energy Contract Manufacturing Market Sales Performance of Top Countries
- 1.1. Research Methodology
- Primary Research Approach
- Secondary Research Approach
- 1.2. Market Snapshot
- 2. Market Overview and Insights
- 2.1. Scope of the Study
- 2.2. Analyst Insight & Current Market Trends
- 2.2.1. Key Energy Contract Manufacturing Market Trends
- 2.2.2. Market Recommendations
- 2.3. Porter's Five Forces Analysis for the Energy Contract Manufacturing Market
- 2.3.1. Competitive Rivalry
- 2.3.2. Threat of New Entrants
- 2.3.3. Bargaining Power of Suppliers
- 2.3.4. Bargaining Power of Buyers
- 2.3.5. Threat of Substitutes
- 3. Market Determinants
- 3.1. Market Drivers
- 3.1.1. Drivers For Global Energy Contract Manufacturing Market: Impact Analysis
- 3.2. Market Pain Points and Challenges
- 3.2.1. Restraints For Global Energy Contract Manufacturing Market: Impact Analysis
- 3.3. Market Opportunities
- 3.3.1. Opportunities For Global Energy Contract Manufacturing Market: Impact Analysis
- 4. Competitive Landscape
- 4.1. Competitive Dashboard – Energy Contract Manufacturing Market Revenue and Share by Manufacturers
- Energy Contract Manufacturing Service Comparison Analysis
- Top Market Player Ranking Matrix
- 4.2. Key Company Analysis
- 4.2.1. ABB Ltd.
- 4.2.1.1. Overview
- 4.2.1.2. Product Portfolio
- 4.2.1.3. Financial Analysis (Subject to Data Availability)
- 4.2.1.4. SWOT Analysis
- 4.2.1.5. Business Strategy
- 4.2.2. Eni S.p.A.
- 4.2.2.1. Overview
- 4.2.2.2. Product Portfolio
- 4.2.2.3. Financial Analysis (Subject to Data Availability)
- 4.2.2.4. SWOT Analysis
- 4.2.2.5. Business Strategy
- 4.2.3. General Electric Co. (GE)
- 4.2.3.1. Overview
- 4.2.3.2. Product Portfolio
- 4.2.3.3. Financial Analysis (Subject to Data Availability)
- 4.2.3.4. SWOT Analysis
- 4.2.3.5. Business Strategy
- 4.2.4. Hyundai Heavy Industries Co., Ltd.
- 4.2.4.1. Overview
- 4.2.4.2. Product Portfolio
- 4.2.4.3. Financial Analysis (Subject to Data Availability)
- 4.2.4.4. SWOT Analysis
- 4.2.4.5. Business Strategy
- 4.2.5. Marubeni Corp.
- 4.2.5.1. Overview
- 4.2.5.2. Product Portfolio
- 4.2.5.3. Financial Analysis (Subject to Data Availability)
- 4.2.5.4. SWOT Analysis
- 4.2.5.5. Business Strategy
- 4.3. Top Winning Strategies by Market Players
- 4.3.1. Merger and Acquisition
- 4.3.2. Product Launch
- 4.3.3. Partnership And Collaboration
- 5. Global Energy Contract Manufacturing Market Sales Analysis by Source Type ($ Million)
- 5.1. Renewable Energy Sources
- 5.2. Non-Renewable Energy Sources
- 6. Global Energy Contract Manufacturing Market Sales Analysis by Services ($ Million)
- 6.1. Manufacturing
- 6.2. Design & Engineering
- 6.3. Assembly
- 6.4. Testing & Inspection
- 6.5. Maintenance
- 7. Global Energy Contract Manufacturing Market Sales Analysis by End-User ($ Million)
- 7.1. Commercial
- 7.2. Government
- 8. Regional Analysis
- 8.1. North American Energy Contract Manufacturing Market Sales Analysis – Source Type | Services | End-User | Country ($ Million)
- Macroeconomic Factors for North America
- 8.1.1. United States
- 8.1.2. Canada
- 8.2. European Energy Contract Manufacturing Market Sales Analysis – Source Type | Services | End-User | Country ($ Million)
- Macroeconomic Factors for Europe
- 8.2.1. UK
- 8.2.2. Germany
- 8.2.3. Italy
- 8.2.4. Spain
- 8.2.5. France
- 8.2.6. Russia
- 8.2.7. Rest of Europe
- 8.3. Asia-Pacific Energy Contract Manufacturing Market Sales Analysis – Source Type | Services | End-User | Country ($ Million)
- Macroeconomic Factors for Asia-Pacific
- 8.3.1. China
- 8.3.2. Japan
- 8.3.3. South Korea
- 8.3.4. India
- 8.3.5. Australia & New Zealand
- 8.3.6. ASEAN Countries (Thailand, Indonesia, Vietnam, Singapore, And Other)
- 8.3.7. Rest of Asia-Pacific
- 8.4. Rest of the World Energy Contract Manufacturing Market Sales Analysis – Source Type | Services | End-User | Country ($ Million)
- Macroeconomic Factors for the Rest of the World
- 8.4.1. Latin America
- 8.4.2. Middle East and Africa
- 9. Company Profiles
- 9.1. ABB Ltd.
- 9.1.1. Quick Facts
- 9.1.2. Company Overview
- 9.1.3. Product Portfolio
- 9.1.4. Business Strategies
- 9.2. B&W Energy Services
- 9.2.1. Quick Facts
- 9.2.2. Company Overview
- 9.2.3. Product Portfolio
- 9.2.4. Business Strategies
- 9.3. Black & Veatch Holding Co.
- 9.3.1. Quick Facts
- 9.3.2. Company Overview
- 9.3.3. Product Portfolio
- 9.3.4. Business Strategies
- 9.4. Bladt Industries A/S
- 9.4.1. Quick Facts
- 9.4.2. Company Overview
- 9.4.3. Product Portfolio
- 9.4.4. Business Strategies
- 9.5. Bruce Power Limited Ltd.
- 9.5.1. Quick Facts
- 9.5.2. Company Overview
- 9.5.3. Product Portfolio
- 9.5.4. Business Strategies
- 9.6. Edison S.p.A.
- 9.6.1. Quick Facts
- 9.6.2. Company Overview
- 9.6.3. Product Portfolio
- 9.6.4. Business Strategies
- 9.7. Engie SA
- 9.7.1. Quick Facts
- 9.7.2. Company Overview
- 9.7.3. Product Portfolio
- 9.7.4. Business Strategies
- 9.8. Eni S.p.A.
- 9.8.1. Quick Facts
- 9.8.2. Company Overview
- 9.8.3. Product Portfolio
- 9.8.4. Business Strategies
- 9.9. First Solar, Inc.
- 9.9.1. Quick Facts
- 9.9.2. Company Overview
- 9.9.3. Product Portfolio
- 9.9.4. Business Strategies
- 9.10. Flexenergy, Inc.
- 9.10.1. Quick Facts
- 9.10.2. Company Overview
- 9.10.3. Product Portfolio
- 9.10.4. Business Strategies
- 9.11. General Electric Co.
- 9.11.1. Quick Facts
- 9.11.2. Company Overview
- 9.11.3. Product Portfolio
- 9.11.4. Business Strategies
- 9.12. Hyundai Heavy Industries Co., Ltd.
- 9.12.1. Quick Facts
- 9.12.2. Company Overview
- 9.12.3. Product Portfolio
- 9.12.4. Business Strategies
- 9.13. Jabil, Inc.
- 9.13.1. Quick Facts
- 9.13.2. Company Overview
- 9.13.3. Product Portfolio
- 9.13.4. Business Strategies
- 9.14. Marubeni Corp.
- 9.14.1. Quick Facts
- 9.14.2. Company Overview
- 9.14.3. Product Portfolio
- 9.14.4. Business Strategies
- 9.15. Mitsubishi Heavy Industries, Ltd.
- 9.15.1. Quick Facts
- 9.15.2. Company Overview
- 9.15.3. Product Portfolio
- 9.15.4. Business Strategies
- 9.16. Ontario Power Generation, Inc.
- 9.16.1. Quick Facts
- 9.16.2. Company Overview
- 9.16.3. Product Portfolio
- 9.16.4. Business Strategies
- 9.17. PJSC (Public Joint Stock Co.)
- 9.17.1. Quick Facts
- 9.17.2. Company Overview
- 9.17.3. Product Portfolio
- 9.17.4. Business Strategies
- 9.18. Sinopec Group
- 9.18.1. Quick Facts
- 9.18.2. Company Overview
- 9.18.3. Product Portfolio
- 9.18.4. Business Strategies
- 9.19. SoEnergy, Inc.
- 9.19.1. Quick Facts
- 9.19.2. Company Overview
- 9.19.3. Product Portfolio
- 9.19.4. Business Strategies
- 9.20. SunPower Corp.
- 9.20.1. Quick Facts
- 9.20.2. Company Overview
- 9.20.3. Product Portfolio
- 9.20.4. Business Strategies
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