Siemens Predicts Sales of Green Technology Products to Reach $55 Billion
Siemens AG, Europe’s largest engineering company, aims to grow its sales from so-called green products designed to save energy to 40 billion euros ($55 billion) by 2014.
Revenue from environmental products totaled about 28 billion euros in the fiscal year through September, the company said in an e-mailed statement today. The company had previously targeted revenue of at least 25 billion euros by 2011.
Siemens’ competitor General Electric Co. said it will invest about $10 billion in environmentally friendly products by 2015 through his five-year-old “ecomagination” program. Connecticut-based GE has a revenue goal for the program of $20 billion by 2010, with $18 billion in sales generated last year.
“We want to -- and we will -- increase our advantage over our most important competitors,” Management Board member Barbara Kux said in the statement.
Munich-based Siemens claims a leading position in technology for offshore wind farms, with more than 500 turbines installed, as well as solar thermal energy, advanced electricity grids, and water purification systems.
At 2.3 billion euros, the renewable-energy unit generated the highest new orders among the company’s 14 divisions in the quarter ended June 30. For the quarter ended Sept. 30, Siemens will report “strong volume growth” for both order intake and sales of the unit, Chief Executive Officer Joe Kaeser said on Sept. 27 on a telephone conference for analysts.
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