The U.S. Green Tech Market is moving at High Growth Rates

The U.S. green tech market is experiencing significant growth in 2024, driven by substantial investments in renewable energy and clean technology.

Given the significant increase in investments, projections estimate that clean energy technology investments will reach nearly $800 billion in 2024, with further growth pushing investments to $1 trillion by 2030. Solar energy is leading this charge, accounting for approximately 55% of total investment, while onshore wind energy follows closely. The fastest-growing sectors, however, are battery energy storage and hydrogen technology, as the country prioritizes innovation in energy storage and decarbonization.

Offshore wind is also experiencing unprecedented growth, with 60 GW of new capacity set to be auctioned in various markets, reflecting the global push towards renewable energy solutions. Despite rising costs, investments in offshore wind remain robust, with technological advancements and policy support playing pivotal roles.

The market is characterized by a competitive landscape, with manufacturers facing pressure from oversupply, especially in solar and battery sectors, leading to price reductions and market consolidation. Larger companies are focusing on innovation and differentiation to maintain profitability, while smaller players are challenged by shrinking margins. The U.S. government's commitment to clean energy, through policies like the Inflation Reduction Act (IRA), is further fueling the market, especially in areas like carbon capture and hydrogen.

Overall, the U.S. green tech market is well-positioned for long-term growth, supported by increased investment, technological advancements, and evolving regulatory frameworks that prioritize sustainability and clean energy transition.

Green-Tech growth is driven by the growing adoption of sustainability-driven business model transformation across sectors, building up a vast opportunity of US$45-55 Billion every year, and expected to grow at 25-30% annually over the next five years.

Co-author/source: BCG