US Expected To Install Over 7 GW of Wind Capacity In 2025, 36% More Than 2024

The United States is expected to add more than 7 gigawatts (GW) of wind power capacity in 2025, a 36% increase from the previous year, according to the latest U.S. Wind Energy Monitor report released by Wood Mackenzie and the American Clean Power Association (ACP).

Despite a challenging market environment, the report said the U.S. remains on track to install 46 GW of new wind capacity between 2025 and 2029, with the five-year outlook unchanged from the previous quarter. However, installations are expected to be increasingly back-loaded, with capacity additions peaking in 2026 and 2027 at 10.7 GW and 12.7 GW, respectively, as projects progress through the development pipeline.

Momentum To Pick Up 

Wind installations in the third quarter came in 23% below forecasts at 932 megawatts (MW), but momentum is expected to pick up toward the end of the year. About 3.8 GW of capacity is queued for the fourth quarter of 2025, accounting for more than half of total installations expected this year, in line with typical commissioning timelines.

Turbine order activity rebounded in the third quarter, with more than 2 GW of firm commitments, marking the strongest intake in nine months and a 79% increase from the previous quarter. However, visibility remains limited as original equipment manufacturers disclose fewer project details and more “start-of-construction” activity shifts to off-site manufacturing.

Looking further ahead, the outlook weakens in 2029 following project cancellations and inactive designations for late-decade capacity, driven by permitting delays and broader development challenges.

Mounting Strain 

“The U.S. power market is facing mounting strain after a decade of flat demand, with utilities committing to around 160 GW of large-load additions,” said Leila Garcia da Fonseca, director of research at Wood Mackenzie. “This creates a significant opportunity for wind, given its strengthened economics and competitive levelised cost of energy, although elevated turbine costs and policy uncertainty remain key risks.”

Power demand growth through 2029 is expected to average about 3%, compared with 0.7% over the past decade, with data centres accounting for roughly 59 GW of the projected 90 GW increase in peak demand, the report said.

Onshore wind

The five-year onshore wind outlook remains unchanged at 39.8 GW of new capacity. All projects in the 2025–2027 pipeline have secured turbine orders, with more than 60% already commissioned or under construction.

Western states such as Wyoming and New Mexico are expected to account for 34% of activity over the period. Key projects include Pattern Energy’s 3.5-GW SunZia project in New Mexico and Invenergy’s 998-MW Towner Energy Center in Colorado, expected to be the largest onshore project commissioned in 2027.

Geographic expansion continues, with Arkansas commissioning its first utility-scale onshore wind project through Cordelio’s Crossover Wind development. The repowering segment is also expected to remain strong, with 18 projects adding around 2.5 GW of capacity over the next three years.

Offshore wind

Offshore wind installations are expected to slow in the fourth quarter of 2025 due to winter weather, pushing some capacity into 2026. Vineyard Wind connected 15 turbines in the third quarter and delivered about 200 gigawatt-hours of electricity in the first nine months of the year.

“U.S. offshore wind momentum is diverging,” Garcia da Fonseca said, noting that projects under construction with commercial operation dates targeted for 2026 continue to progress, while developments planned beyond 2027 face delays due to vessel constraints and rising costs.

Tariffs and costs

The report said uncertainty around tariffs poses a key risk to the sector. Wood Mackenzie expects tariffs to push turbine costs higher in 2026 before moderating later in the decade, with U.S. onshore wind capital expenditure projected to rise by about 5% through 2029.

“Despite domestic manufacturing overcapacity relative to permitted project volumes after 2028, onshore wind costs are expected to remain elevated due to tariff exposure on raw materials and components,” Garcia da Fonseca said.