Offshore wind in APAC: opportunities, challenges and emerging players

The Asia-Pacific region is entering a decisive phase in offshore wind development. While several countries have advanced from policy frameworks and pilot projects to actual construction, some challenges remain surrounding permitting, vessel supply, and local industrial capacity.

Taiwan continues to stand out as the region’s most advanced offshore wind market outside of China, supported by a clear allocation process and sustained policy planning. Japan and South Korea are moving forward with ambitious targets and regulatory reforms, though infrastructure and permitting constraints remain. Australia, India, and the Philippines are at earlier stages, concentrating on feasibility studies, leasing rounds, and building enabling infrastructure.

As deployment scales up, the region has the potential to become a global growth engine for offshore wind. Realizing this potential will depend on how effectively individual countries align policy, infrastructure, and supply chain capacity with long-term targets.

‍Taiwan—leading the way for offshore wind in APAC

After a period of rapid growth in the early part of the decade Taiwan has cemented itself as the leading offshore wind country in the APAC region (excluding China). There are several commercial-scale projects under construction with multiple international developers active including Ørsted, Corio Generation, TotalEnergies, and EDF. 

Almost 48 GW of capacity is in the potential pipeline for Taiwan with just over 3 GW already fully commissioned. Under construction projects account for 2.2 GW of capacity with all existing projects using bottom-fixed technology. 

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There are several reasons behind the success of Taiwan’s offshore wind industry. At the forefront is the country’s well-structured allocation process and years of sustained policy and grid planning. 

Despite these success factors, there remain some challenges. While there have been some indications of a shifting stance in local content requirements, some projects continue to slip through the net. In May, Taiwan’s Ministry of Economic Affairs revoked development rights for Corio’s Haiding 1 and Enervest’s Deshuai wind farms under Phase 3-2. They had a combined capacity of 600 MW. Both companies had submitted their applications on time, but failed the review. 

Beyond local content, Taiwan must also contend with geopolitical constraints that impact vessel supply. By relying on equipment and vessels from European or South Korean suppliers, developers in Taiwan face higher costs and complex logistics. Efforts to build the domestic supply chain are going some way to alleviating this pressure, however, with recent manufacturing plant openings and the launch of Green Jade, a Taiwan-built offshore installation vessel. 

‍Japan—recent moves could bring momentum 

Despite being well-placed for a successful offshore wind sector, Japan has historically faced significant challenges related to infrastructure, regulatory frameworks, and local partnerships. However, with a long-term official target of 30-45 GW by 2040, changes had to be made in order to see this as a realistic possibility. As such, Japan has taken a major legislative step by passing a bill that allows offshore wind development in its Exclusive Economic Zone (EEZ). 

This move is significant, as Japan’s deep coastal waters and limited nearshore space make EEZ development essential to scaling up capacity. Therefore, this move has potential to bring renewed momentum to the domestic wind sector.

The sector received a boost recently, when the turbine installation phase was completed at the Kitakyushu Hibikinada wind farm in Fukuoka Prefecture. Domestic contractor Penta-Ocean’s entire heavy-lift fleet was mobilized for the project, including WTIV CP 16001 undertaking her maiden campaign. Installation performance was in line with European offshore wind projects. With all 25 of Vestas’ V174-9.6 nacelles and blades manufactured and transported from Europe, the logistical achievement also highlights Japan’s current dependence on long and complex international offshore wind supply chains.

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Some additional progress barriers remain. Japan has a limited number of installation vessels, strict cabotage rules and a lack of domestic turbine OEM’s—each of these contribute to slow progress. Moving forward Japan’s strategy now relies on carefully managed leasing rounds and stronger local content policies that will build a viable long-term supply chain. 

‍South Korea—ambitions remain high despite headwinds

South Korea’s offshore wind ambitions remain high, with a target of 14.3 GW by 2030. However, the country also faces its share of challenges from lengthy permitting procedures, local opposition, and a limited pool of qualified offshore wind vessels. 

While several major projects have been announced, moving them towards the construction phase remains sluggish. A prime example was the Yeonggwang Nakwol project, where the Chinese heavy lift vessel Shun Yi 1600, now renamed as Hansan 1, was idle for months due to cabotage restrictions, leaving construction on hold. The vessel has since been acquired by a South Korean company and reflagged. Construction has resumed with turbine installation now underway. Hyundai Engineering & Construction’s WTIV, Hyundai Frontier, is also at work on the project—the vessel’s third turbine installation campaign offshore South Korea after Jeju Hallim and Jeonnam 1.  

South Korea holds a significant strategic advantage with its well-established shipbuilding industry. A number of world-class yards are located in-country and are capable of producing large vessels and offshore infrastructure. This industrial capacity, paired with a growing interest in floating wind, leaves South Korea well-poised to play a leading role in offshore wind. However, this is only if its regulatory alignment and grid development can keep pace.  

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Australia—a cautious up-and-comer in offshore wind

Australia is continuing its structured and cautious approach to offshore wind development. 

As of 2024, Feasibility Licenses have been awarded to six projects across the Gippsland zone, including projects led by major developers such as Copenhagen Infrastructure Partners, RWE, and Orsted. In parallel, the Novocastrian Wind and Spinifex offshore wind projects secured feasibility licenses in March, expanding the country’s early-stage pipeline. 

While international interest remains strong, several developers are reassessing their portfolios in light of inflationary pressures and ongoing supply chain uncertainties. Furthermore, the recent news that the state of Victoria has decided to delay its upcoming wind auction (initially planned for this September) further highlighted potential setbacks. In this case, it was reported that Energy Minister Lily D’Ambrosio had stated the main delay factors as being, “setbacks in the approval of feasibility licences, the rejection of the initial referral for the Port of Hastings, and global uncertainty.”  

Australia’s phased strategy prioritizing environmental, social, and technical assessments before moving into construction, means that a full-scale buildout is unlikely before the 2030s. 

‍India—commited to offshore wind but needs infrastructure investment 

Expectations of a thriving domestic offshore wind sector remain high in India. The first auction, in Tamil Nadu, is expected to be held by the end of 2025 and the government has reaffirmed its commitment to the sector with a clear national strategy and high-level policy backing. 

As with other countries in the region, there are some headwinds. Developers are cautious due to the country’s lack of experience in offshore wind and there is a limited supply chain readiness. 

While India already benefits from a strong offshore oil and gas industry, the infrastructure is unlikely to translate as key O&G hubs are located far from identified offshore wind zones. Aligning industrial assets and building port and grid infrastructure remain key preconditions for success. 

‍The Philippines—making its debut on the global wind stage

After years of assessments and mapping, The Philippines is making its official offshore wind debut with its first leasing round to take place before the end of 2025. The country is aiming to install its first turbines by 2028, focusing on high-wind-speed sites in deep waters. 

This upcoming auction marks a turning point and there are early indications of strong developer interest from the likes of Copenhagen Infrastructure Partners and BlueFloat Energy. However, bringing projects to fruition will depend heavily on port infrastructure upgrades and grid integration planning. Both elements are currently under development. 

As offshore wind in Asia-Pacific moves from ambition to delivery, reliable intelligence will be essential to navigating shifting policies, infrastructure bottlenecks, and evolving supply chains. Spinergie’s comprehensive offshore wind Market Intelligence solution, paired with in-depth long-term forecasts, provide the market visibility needed to anticipate risks, identify opportunities, and support informed decision-making in this fast-changing sector. Click here to find out more. 

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