On January 16, 2026, the UK government awarded a record breaking 8.4 gigawatts of offshore wind development capacity in the seventh round of contract for difference allocation. This largest offshore wind auction in European history will not only drive the UK towards its 2030 target of 43 gigawatts of offshore wind capacity, but also provide a clear growth signal for the global supply chain, especially for Chinese wind power manufacturing companies that have already deeply established their presence in the European market.

8.4 GW project landing, UK offshore wind power accelerates operation

This auction is a milestone in the development of offshore wind power in the UK. The capacity of 8.4 gigawatts is expected to supply power to approximately 12 million households, and its determined implementation price is significantly lower than the replacement cost of new natural gas power plants, highlighting the economic competitiveness of offshore wind power. 

Among them, the German Rheinland Group won nearly 7 GW of fixed project contracts at a price of approximately 0.85 RMB/kWh, becoming the biggest winner; SSE Renewable Energy Company has been awarded a phased contract for 1.38 GW of its Berik Bank project. In addition, it also includes two floating wind power projects with a contracted electricity price of approximately RMB 2.03 per kilowatt hour.

The ambitious road to 43 gigawatts

The background of this large-scale auction is the ambitious goal set by the UK Labour government: to achieve a cumulative installed capacity of 43 gigawatts of offshore wind power by 2030. However, the current installed capacity of offshore wind power in the country is only 16.6 gigawatts, which means that significant annual growth is required in the coming years. The successful allocation of AR7 has injected strong impetus into the acceleration process, but it also puts higher demands on the delivery capability, project execution efficiency, and infrastructure support of the supply chain.

Supply chain enterprises welcome clear benefits

Analysis generally believes that the release of this huge order has opened up a broader market space for China's wind power industry chain, especially for high-end manufacturing enterprises such as towers, pipe piles, and foundations. Chinese companies like Daikin Heavy Industries, which have already ventured into European offshore wind power and established partnerships with major developers such as Rheinland Group, are in a particularly advantageous position. Public information shows that Daikin Heavy Industries has been included in SSE Renewable Energy's qualified supplier list, and its experience in collaborating with international developers will be an important advantage in obtaining new project orders. Keywords: wind power new energy, wind power new energy news

As these 8.4 GW projects gradually enter the construction phase, the global offshore wind power supply chain will usher in a new wave of demand boom. For Chinese manufacturing companies that have accumulated advantages in technology, cost, and delivery, this not only means an increase in orders, but also a key window period for deep participation in global energy transformation and increasing international market share. Editor/Yang Beihua