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Global Gas Turbine Orders Hit Record High as Power Demand Surges

Tue, August 11, 2026 at 10:45 AM GMT+3 2 min read

Global orders for gas turbines have hit a record high as demand for power generation surges, according to JP Morgan.

New gas turbine orders in the second quarter stood at 38 GW, which was 29% higher than orders in the first quarter of the year, the bank said, as quoted by Bloomberg. The increase in second-quarter orders was much higher on an annual basis, too, at 71%, JP Morgan also reported.

Of the three big gas turbine makers, Siemens Energy saw the most new orders in the second quarter, at a total of 12.5 GW. General Electric booked orders for 11.3 GW, and Mitsubishi Power saw orders of 5.3 GW.

The United States accounted for half of these new turbine orders, the bank said, as demand for electricity surges with the proliferation of data centers. The growth is set to average about 2% each year over the next decade, making new electricity generation capacity critical to supporting the advance in AI and the onshoring of manufacturing. This has led to shortages and long wait times as gas turbine manufacturers don't hold inventory of the machinery.

The lead time for new combined-cycle gas power plants jumped to five years in 2025 from three and a half years back in 2023, with costs soaring by 49%, according to BloombergNEF data.

Earlier this year, Wood Mackenzie said it expected that gas turbine prices would skyrocket by 195% by 2027, reaching $600 per kilowatt due to a supply squeeze "Driven by increased electrification demand, especially around the expansion of data centers."

In the same report, Wood Mac said that at the end of 2025 global gas turbine orders stood at 110 GW, while global manufacturing capacity was only between 60 and 70 GW. "Turbine orders are expected to peak in 2026 as developers attempt to secure equipment for 63 GW of gas capacity additions from 2026 to 2030," the consultancy also said.

By Irina Slav for Oilprice.com

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