Concentrated Solar Power (CSP) Market
Visiongain has published a new report entitled Concentrated Solar Power (CSP) Market Report 2025-2035 (Including Impact of U.S. Trade Tariffs): Forecasts by Project Type (Small/Medium Scale, Large Scale), by Storage Type (Thermal Energy Storage, Molten Salt Storage, Steam Accumulators), by Application (Utility-scale CSP Plants, Industrial Heating and Desalination, Residential and Commercial Heating, Other), by Components (Solar Collectors, Solar Thermal Storage, Power Block, Heat Transfer Fluid, Other), by Technology (Parabolic Trough, Solar Tower, Fresnel Reflectors, Dish Stirling, Heliostat, Other) AND Regional and Leading National Market Analysis PLUS Analysis of Leading Companies.
The global concentrated solar power (CSP) market is estimated at US$5,903.8 million in 2025 and is projected to grow at a CAGR of 6.9% during the forecast period 2025-2035.
Impact of US Trade Tariffs on the Global Concentrated Solar Power (CSP) Market
The U.S. Department of Commerce announced substantial tariffs on solar panel imports from Cambodia, Malaysia, Thailand, and Vietnam, with rates ranging from 250% to as high as 3,521%. These measures stem from investigations into alleged dumping and unfair subsidies by Chinese-backed manufacturers operating in Southeast Asia. While the primary focus is on photovoltaic (PV) modules, the ripple effects extend to the concentrated solar power (CSP) sector, which relies on similar supply chains for components like mirrors, receivers, and thermal storage systems. The tariffs aim to bolster domestic solar manufacturing but may inadvertently disrupt global supply chains, leading to increased costs and reduced availability of essential components. Southeast Asia, a significant manufacturing hub, faces potential job losses and economic challenges due to decreased exports. Simultaneously, U.S. solar developers might encounter project delays and higher expenses, potentially slowing the nation’s renewable energy transition.
Tariff Impact: V-shaped Recovery
In a V-shaped recovery, the concentrated solar power market experiences a sharp but short-lived disruption. Initial supply chain shocks and price hikes cause temporary setbacks in project timelines and budgets. However, rapid adaptation by global manufacturers—such as shifting production to countries not affected by the tariffs, like Indonesia and India, or increasing domestic manufacturing—helps stabilize the market. Government incentives and policy support further accelerate this recovery, with the market rebounding to pre-tariff levels within 12 to 18 months.
Policy Support and Renewable Energy Targets
Government policies and national renewable energy targets have been instrumental in supporting CSP deployment, particularly in sun-rich regions such as North Africa, the Middle East, China, India, Spain, and Chile. Policymakers recognize CSP’s strategic role in achieving emissions reductions and enhancing energy security. Several nations have introduced financial incentives, favourable tariffs, and technology-specific procurement mechanisms to promote CSP.
China’s National Energy Administration (NEA) has included CSP in its solar thermal development roadmap, supporting projects under its demonstration program. Leading companies such as Shouhang High-Tech Energy and SUPCON Solar have benefited from this policy backing. Similarly, the United Arab Emirates has incorporated CSP into its clean energy strategy, with the Mohammed bin Rashid Al Maktoum Solar Park’s fourth phase featuring a 700 MW CSP component developed by DEWA and ACWA Power. These policies not only drive capacity additions but also provide long-term visibility to investors, spurring innovation and local industry development.
How will this Report Benefit you?
Visiongain’s 389-page report provides 123 tables and 186 charts/graphs. Our new study is suitable for anyone requiring commercial, in-depth analyses for the concentrated solar power (CSP) market, along with detailed segment analysis in the market. Our new study will help you evaluate the overall global and regional market for concentrated solar power (CSP). Get financial analysis of the overall market and different segments including project type, storage type, application, components, and technology, and capture higher market share. We believe that there are strong opportunities in this fast-growing concentrated solar power (CSP) market. See how to use the existing and upcoming opportunities in this market to gain revenue benefits in the near future. Moreover, the report will help you to improve your strategic decision-making, allowing you to frame growth strategies, reinforce the analysis of other market players, and maximise the productivity of the company.
What are the Current Market Drivers?
Advancements in Thermal Energy Storage and Hybridization
Technological innovation, particularly in thermal energy storage (TES) systems and hybrid CSP-PV configurations, has significantly enhanced CSP’s performance and cost competitiveness. Modern TES solutions, such as two-tank molten salt storage, enable CSP plants to operate independently of solar irradiation, increasing capacity factors and improving grid flexibility. Research efforts into high-temperature storage mediums, phase change materials, and integrated solar fuels also indicate promising advancements in the sector.
Hybrid CSP-PV projects are gaining traction as they combine the cost-effectiveness of PV with CSP’s storage capabilities, enabling round-the-clock renewable power. An example is the Cerro Dominador complex in Chile, which integrates a 100 MW CSP plant with a 100 MW PV system, developed by EIG Global Energy Partners. This hybrid model not only reduces levelized cost of electricity (LCOE) but also mitigates intermittency, demonstrating how technological convergence is enhancing CSP’s viability and appeal to developers and utilities.
Increasing Focus on Decarbonization and Climate Commitments
Global climate goals, including the Paris Agreement and national commitments to net-zero emissions, have placed decarbonization at the core of energy planning. Governments and corporations alike are seeking zero-carbon technologies that can provide both reliability and scale. CSP aligns well with these ambitions, particularly in industrial decarbonization and remote off-grid applications where electrification is challenging.
For example, CSP can deliver high-temperature heat for industrial processes such as desalination, chemical production, and mining. Companies like GlassPoint Solar have targeted the oil and gas sector, providing solar steam for enhanced oil recovery (EOR) in Oman’s Amal field with support from Petroleum Development Oman. These use cases demonstrate CSP’s potential to address emissions across sectors, reinforcing its strategic relevance in the broader energy transition. As climate policies tighten and carbon pricing becomes more prevalent, CSP’s role in hard-to-abate sectors is expected to gain further traction.
Where are the Market Opportunities?
Dispatchable Renewable Energy for Grid Stability
One of the most compelling opportunities for CSP lies in its inherent capability to provide firm, dispatchable renewable power. Unlike solar PV, which generates electricity only during daylight hours, CSP equipped with thermal energy storage—typically using molten salts—can supply power well into the evening or during periods of cloud cover. This makes CSP particularly valuable for grids with high shares of intermittent renewables like PV and wind, which require backup or balancing solutions to maintain reliability.
Countries such as Spain, Morocco, and the UAE have demonstrated the effectiveness of CSP in this role. The Noor Ouarzazate complex in Morocco, for example, uses molten salt storage to supply electricity for up to 7 hours after sunset, reducing reliance on fossil fuel peaker plants. As more grids approach higher levels of renewable penetration, the demand for technologies like CSP that can stabilize supply is expected to grow significantly, especially in sunbelt regions.
Hybridization with Other Renewable and Conventional Technologies
Another promising avenue for CSP is hybridization with other energy technologies to enhance system efficiency, reduce costs, and improve reliability. CSP can be paired with PV systems to create hybrid solar plants that optimize energy generation across various times of the day. It can also be integrated with gas turbines or biomass boilers to ensure consistent baseload supply, especially in remote or off-grid applications.
Projects like the Noor Midelt complex in Morocco exemplify this hybrid approach, combining PV for daytime generation and CSP with storage for night-time dispatch. This model not only improves overall capacity factors but also aligns with utility procurement trends favoring hybrid systems for 24/7 renewable power. As markets move toward performance-based tariffs and firm capacity auctions, hybrid CSP models are poised to gain traction globally.
Competitive Landscape
The major players operating in the concentrated solar power (CSP) market are Aalborg CSP, Abengoa CSP, ACWA Power, Alsolen, Atlantica Yield, BrightSource Energy, Chiyoda Corporation, Enel Green Power, General Electric, Glass Point Solar, Heliogen, Inc., Solastor, Torresol Energy, and TSK Flagsol Engineering GmbH. These major players operating in this market have adopted various strategies comprising M&A, collaborations, investment in R&D, regional business expansion, partnerships, and new product launch.
Recent Developments
Notes for Editors
If you are interested in a more detailed overview of this report, please send an e-mail to contactus@visiongain.com or call +44 207 336 6100.
About Visiongain
Visiongain is one of the fastest-growing and most innovative independent media companies in Europe. Based in London, UK, Visiongain produces a host of business-to-business reports focusing on the automotive, aviation, chemicals, cyber, defence, energy, food & drink, materials, packaging, pharmaceutical and utilities sectors.
Visiongain publishes reports produced by analysts who are qualified experts in their field. Visiongain has firmly established itself as the first port of call for the business professional who needs independent, high-quality, original material to rely and depend on.
