China Wind Energy Update: 20 GW Offshore Tender Opens – Key Takeaways

The Chinese government has officially opened a new round of offshore wind tenders totaling 20 gigawatts (GW) in capacity, the largest single-year allocation in the country’s history. This tender, announced jointly by the National Energy Administration (国家能源局, NEA, Guójiā Néngyuán Jú) and several coastal provincial governments, targets completion by 2027 and represents a 220% increase over the 6.3 GW of offshore wind capacity China added in 2023. For foreign executives monitoring China’s clean energy market, this tender signals a decisive acceleration in the world’s largest offshore wind pipeline, with investment requirements estimated at ¥240 billion (approximately $33 billion) over the project lifecycle.

1. The 20 GW Tender: Scope and Scale

Unlike previous year-by-year allocations, this tender adopts a multi-provincial framework that bundles 20 GW across five coastal provinces. To put this in perspective, China’s total cumulative offshore wind capacity at the end of 2023 stood at approximately 37 GW — meaning this single tender represents a 54% increase in the national fleet. The tender covers both fixed-bottom and floating wind technologies, with at least 3 GW reserved for floating offshore wind pilot projects in deep-water zones beyond 50 meters depth.

The bidding process requires developers to commit to local content ratios of at least 75% for turbine components and 60% for foundation structures, reflecting Beijing’s continued push for domestic supply chain self-sufficiency. Foreign-invested enterprises (外商投资企业, wàishāng tóuzī qǐyè) are permitted to bid, but must partner with a Chinese state-owned enterprise (SOE) as the lead contractor under the new Guiding Opinions on Foreign Participation in Energy Infrastructure released in March 2025.

Price caps have been set at ¥0.45 per kilowatt-hour (kWh) for fixed-bottom projects and ¥0.55/kWh for floating projects — levels that are 10-15% below the average strike price in the 2023 tender round. This downward pressure on tariffs is consistent with China’s broader strategy to drive levelized cost of energy (LCOE) below grid parity thresholds.

2. Provincial Breakdown and Key Players

The 20 GW allocation is distributed unevenly across participating provinces, with Guangdong and Jiangsu taking the largest shares due to their superior wind resources and existing port infrastructure. The table below summarizes the provincial breakdown and key bidding parameters.

State-owned giants China Three Gorges, China Energy Engineering Group, and CNOOC are expected to dominate bidding, but several international players — including Ørsted, Equinor, and Siemens Gamesa — have reportedly formed joint ventures with local partners to compete. The tender also introduces a new “technology bonus” scoring mechanism that awards extra points for projects using turbines with ratings above 16 MW, offering an edge to manufacturers like MingYang Smart Energy and Goldwind.

3. Cost Trends and LCOE Implications

The ¥0.45/kWh tariff ceiling represents a 31% decline from the average tariff of ¥0.65/kWh in China’s first large-scale offshore wind tender in 2021. This aggressive cost reduction has been driven by turbine upscaling — average rotor diameters have grown from 140 meters in 2020 to 220 meters in 2025 — and by standardization of foundation designs across projects.

China’s offshore wind LCOE has dropped from ¥0.76/kWh in 2019 to an estimated ¥0.38-0.42/kWh for new projects in 2025, according to data from the China Wind Energy Association (中国风能协会, CWEA, Zhōngguó Fēngnéng Xiéhuì). At this level, offshore wind is now competitive with coal-fired power in coastal provinces, where on-grid coal tariffs average ¥0.40-0.45/kWh. The 20 GW tender is expected to push LCOE below ¥0.35/kWh by 2028, achieving true grid parity without subsidies.

However, foreign developers face a structural cost disadvantage. Imported turbines and components attract tariffs of 5-8%, and foreign-led joint ventures must allocate 15-20% of project costs to technology transfer and localization programs. These additional costs can add ¥0.03-0.05/kWh to LCOE compared to purely domestic bidders, narrowing profit margins for international players.

Key Takeaways for Foreign Executives

This tender represents both an opportunity and a challenge for foreign companies. On the opportunity side, China’s offshore wind market is scaling at a pace unmatched globally — total installations are projected to reach 80 GW by 2030, up from 37 GW in 2023. On the challenge side, the tender’s local content rules and technology bonus mechanisms create a structural tilt in favor of domestic firms.

Foreign enterprises seeking to participate should evaluate the following decision framework: If your company can offer turbines above 16 MW with a proven track record of >10 GW installations globally, choose a joint venture with a Tier-2 Chinese manufacturer such as CSIC Haizhuang or Shanghai Electric, as these firms need advanced technology to compete with market leaders. If your expertise lies in floating wind technology or subsea cables, choose a direct partnership with a SOE developer like China Three Gorges, which has publicly stated its interest in foreign technology partners for deep-water projects.

NEXT STEPS

1. Evaluate your technology fit: Review the tender’s technical requirements against your turbine or component portfolio. Read our guide on How to Select a Chinese Offshore Wind Partner for a step-by-step assessment framework.
2. Secure a local partner early: The tender requires lead contractor designation by September 2025. Use our SOE Partner Database to identify candidates with offshore wind EPC experience in the target province.
3. Prepare localization documentation: CWEA requires certified proofs of local content for each subsystem. Download our Local Content Compliance Checklist to organize your submission package.

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