Siemens Energy and global gas turbine demand hit record levels

Global demand for gas turbines is reaching record levels, driven largely by the expansion of AI data centers and the relocation of manufacturing, particularly in the United States. Siemens Energy reported a gas services backlog of 69 GW, with sales in its gas services division rising 62% year-over-year to €10 billion. To meet demand, the company has added 30 medium-sized gas turbine manufacturing units and plans to expand its transformer and switchgear capacity by 50% by 2030.

Industry-wide, new orders for gas turbines reached 38 GW in the second quarter of 2026, a 71% increase compared to the same period in 2025. Major manufacturers include Siemens Energy, which secured 12.5 GW in new orders, General Electric with 11.3 GW, and Mitsubishi Power with 5.3 GW.

The surge in demand has created supply shortages and extended lead times. Delivery times for turbines for new combined-cycle gas power plants have increased to five years, up from three and a half years in 2023. Analysts suggest that turbine prices could rise significantly by 2027 due to this supply-demand imbalance, as global manufacturing capacity remains below total order volumes.