The world's biggest wind turbine maker Vestas warned that it expected a slowdown in its key U.S. market next year, overshadowing robust third-quarter results and an upgrade to its 2016 sales forecast, Reuters reported today. The Danish company and its peers are benefiting from a new focus on renewables, encouraged by the Paris Agreement on climate change and a five-year extension of a key U.S. Production Tax Credit (PTC). However, while extension of the PTC is positive for the wind power industry, it would hit its U.S. business in the near term as it gives investors more time to build their wind farm projects, reducing pressure to get projects built next year. The company said 2016 had proven to be an "extraordinary" year and that it now expects sales to grow to 10 billion to 10.5 billion euros this year. The operating margin is now seen at 13-14 percent for the year, up from 12.5 percent in the earlier guidance. The U.S. has generated more orders than any other country for Vestas this year.
