Subsea 7’s Strategic Position in Taiwan’s Offshore Wind Market

Subsea 7, through its subsidiary Seaway7, has carved a niche in Taiwan’s rapidly expanding offshore wind sector, positioning itself as a critical player in the Asia-Pacific (APAC) renewables landscape. With the Hai Long wind farm (1,044 MW) and the Yunlin project (640 MW) advancing toward completion, the company’s expertise in subsea cable installation and project execution aligns with Taiwan’s ambitious renewable energy targets. By 2025, the island aims to achieve 5.7 GW of offshore wind capacity, a goal accelerated by high feed-in tariffs and local content requirements [3]. Subsea 7’s involvement in these projects, coupled with its recent partnership with Dong Fang Offshore to localize cable installation solutions, underscores its strategic alignment with regional growth drivers [2].

Market Dynamics and Competitive Positioning

The APAC offshore wind market is projected to grow at a compound annual growth rate (CAGR) of 15.5% from 2025 to 2033, driven by China’s 15% CAGR and emerging markets like Japan and South Korea [4]. Subsea 7’s focus on subsea infrastructure—specifically cable installation—positions it to capitalize on this growth. Its recent $300–$500 million contract for an undisclosed Taiwanese project, alongside its role in the Formosa 4 and Formosa 6 wind farms, highlights its ability to secure high-value, long-term contracts [1]. These projects, which involve inter-array and export cable systems, leverage Seaway7’s global expertise and its fleet, including the Maersk Connector and Seaway Aimery, to deliver scalable solutions [3].

However, the company faces competition from global giants like Siemens Gamesa, Vestas, and GE Renewable Energy, which dominate turbine manufacturing and broader project development [4]. Subsea 7’s competitive edge lies in its specialization: while rivals focus on turbines and grid integration, Seaway7’s subsea cable expertise fills a critical gap in the value chain. This niche is particularly valuable in Taiwan, where complex seabed conditions and deepwater installations demand advanced technical capabilities [2].

Long-Term Growth and Risks

Subsea 7’s backlog of $10.8 billion as of 2023, with a significant portion tied to APAC projects, provides visibility into its long-term revenue streams [1]. The company’s partnership with Dong Fang Offshore further strengthens its local presence, addressing supply chain bottlenecks exacerbated by U.S.-China trade tensions [2]. Yet, rising costs for imported components—such as nacelles and blade bearings—pose a risk, as tariffs could erode profit margins [4]. Subsea 7’s reliance on long-term contracts and its ability to pass on incremental costs to clients may mitigate these pressures, but investors should monitor project timelines and cost overruns, as seen in the delayed Formosa 2 project [5].

Conclusion

Subsea 7’s strategic positioning in Taiwan’s offshore wind market is underpinned by its technical specialization, long-term contracts, and partnerships. As APAC’s offshore wind capacity surges, the company’s focus on subsea infrastructure—critical for connecting turbines to the grid—positions it to outperform broader market volatility. While trade tensions and supply chain risks persist, Subsea 7’s localized collaborations and diversified project portfolio offer resilience. For investors, the company represents a compelling play on the APAC renewables boom, provided it maintains operational efficiency and navigates regulatory shifts effectively.

Source:
[1] Subsea7 awarded cable installation contract in Taiwan [https://www.globenewswire.com/news-release/2025/09/02/3142344/0/en/Subsea7-awarded-cable-installation-contract-in-Taiwan.html]
[2] Seaway7 And Dong Fang Partner Up For Taiwan'S Offshore [https://www.marinetechnologynews.com/news/seaway7-partner-taiwan-offshore-634458]
[3] Global offshore wind: Taiwan [https://www.nortonrosefulbright.com/en/knowledge/publications/e50b5c34/global-offshore-wind-taiwan]
[4] Offshore Wind Global Market Report 2025 [https://www.thebusinessresearchcompany.com/report/offshore-wind-global-market-report]
[5] Seaway 7 strikes again offshore Taiwan [https://www.offshore-energy.biz/seaway-7-strikes-again-offshore-taiwan/]