Thursday, 11 May 2023 12:30

Supply chain snarls that strangled wind power are nearly gone

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The World Health Organization declared an official end to the Covid-19 global emergency earlier this month, but supply chain disruptions caused by the pandemic may take longer to subside. That's the prediction of Henrik Andersen, CEO of Vestas Power Systems, one of the world's largest wind turbine manufacturers. While supply chains are stretched, the cost of key items like steel — the main material used in wind turbines — has soared during the pandemic. As a result, profits at Vestas' wind turbine business will roughly halve in 2021 compared to 2020. Getting fully back on track will require continued easing of global supply chains, especially in China, which only eased its Covid-zero policy in December.

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