Gas Turbine Market News
Tracking the 2026 gas turbine market: AI data-center power demand, OEM production backlog, spare parts lead times, and procurement signals. Curated for turbine operators, MRO professionals, and energy strategists.
Deep Dive: 2026 Gas Turbine Market & Parts Procurement Guide →GE Vernova Backlog Hits 100 GW — Production Booked to 2031
GE Vernova’s Q1 2026 report reveals gas power orders + reservations reached 100 GW, up from 83 GW at end-2025. Order value surged 97.4% YoY. CEO Scott Strazik expects 110+ GW by year-end, with 2029-2030 capacity nearly sold out. Per-kW pricing rose from $2,500 to $3,000, with 10-20% further upside on reservation agreements.
Meta & Entergy Sign Deal for 7 Gas Power Plants in Louisiana — 7.5 GW Total
Meta partnered with Entergy to build 7 gas-fired power plants in Louisiana, adding to 3 previously approved units. Total capacity reaches 7.5 GW, boosting local grid capacity by 30%+. This is among the largest single-tenant power procurement deals in US data center history, directly driven by AI compute demand.
Hallador Energy Bypasses OEM Backlog with $350M Secondary-Market Turbine Deal
The Merom simple-cycle gas project in Indiana secured an unfired turbine through secondary-market procurement — one of the first large-scale power deals built around used turbine acquisition. This directly responds to OEM delivery windows now stretching to 2030, signaling growing demand for refurbished and secondhand gas turbines.
US AI Power Demand to Reach 100 GW by 2028 — CAGR of 73%
CITIC Securities reports revised projections: North American AI power demand will hit 17/33/66/100 GW for 2025-2028, a 73% compound annual growth rate. The 2028 forecast was raised 42% from prior estimates. Global turbine supply gap estimated at 16-19 GW annually through 2028, creating sustained demand for alternative and refurbished equipment.
Mitsubishi Power: 31 Large Turbine Orders, +94% YoY
MHI booked 31 large-class gas turbine contracts in the first three quarters of FY2025, up 94% from 16 units in the prior year. Most orders came from North America and Asia. MHI raised its energy segment order forecast from ¥3.2T to ¥3.6T and announced plans to double production capacity within two years to address record backlogs.
US Electricity Demand Surge: 8.7% Growth Since 2021 vs 1% in Prior 16 Years
US Energy Information Administration data reveals electricity demand growth of 8.7% since 2021, compared to just 1% cumulative growth from 2005-2021. AI data center deployment is the primary driver. Data center electricity share is projected to rise from 2% (2018) to 10%+ by 2028, fundamentally reshaping US power infrastructure investment.
Global Turbine Orders Hit 110 GW — Supply Capacity Only 60-70 GW/Year
Wood Mackenzie reports global gas turbine system orders reached 110 GW by end-2025, while annual manufacturing capacity is limited to 60-70 GW. The 40-50 GW supply gap is driving prices to record highs — projected to reach $600/kW by end-2027, a 195% increase from 2019 levels. Market logic has shifted from "fuel economics" to "procurement strategy."
US Grid Interconnection Queues Exceed 4 Years — DOE Launches $10.5B "Spark" Plan
North American grid interconnection timelines now average over 4 years, with most regional grid reserve margins below 15%. The DOE has launched the "Spark" grid upgrade program with $10.5 billion in financing over 5 years, but new transmission lines require 10+ years to build. This forces data center operators toward off-grid gas turbine solutions.
Morgan Stanley: US Data Centers Face 47 GW Power Gap Through 2028
Morgan Stanley's AI Power Summit report predicts a 47 GW cumulative power shortfall for US data centers from 2025-2028, equivalent to the combined electricity consumption of 15 Philadelphia-sized cities. Even with all "fast power" solutions deployed, developers face 10-20% supply deficits starting 2026, entering high-risk period by 2027-2028.
Chinese Turbine Manufacturers Capture Global Market — Jereh Secures $700M+ in US Orders
Jereh Group signed six gas turbine generator set contracts with US customers since November 2025, totaling over ¥5 billion ($700M+). Yingliu Supplies reports batch deliveries to GE, Dongfang Electric, and Shanghai Electric. Chinese manufacturers leverage 30%+ faster delivery and cost advantages to capture demand spillover from OEM backlog constraints.
Natural Gas to Maintain 39-40% of US Power Generation Through 2027
US EIA forecasts natural gas will remain the dominant power generation source at 39-40% of total US electricity output through 2025-2027. With abundant domestic supply and competitive pricing, gas-fired generation continues to be the preferred baseload for data center operators. Over one-third of US gas generation capacity under construction is dedicated to data center supply.
CCTV Reports: China's Turbine Makers at Full Capacity — Production Booked to 2028
CCTV reports that Chinese gas turbine manufacturers including AECC and Dongfang Electric are operating at full capacity. AECC's Taihang-25 turbine production is booked to end-2028. Dongfang's G50 heavy-duty turbine can power ~7,700 AI training servers at full load. Domestic manufacturers are actively building new supply chains to address explosive demand from data center and offshore platform sectors.
SB Energy's $33 Billion, 9.2 GW Gas Power Project — 24-30 Heavy-Duty Turbines Needed
SB Energy's Portsmouth Power land-based project, launched February 2026, represents one of the largest single-site gas generation builds globally. The $33 billion, 9.2 GW facility will require 24-30 heavy-duty gas turbines for initial construction alone. Projects of this scale highlight the unprecedented demand surge and the critical supply bottleneck facing OEM manufacturers.