Bankruptcy filing as global blade giant cites 'industry pressures'

TPI Composites, one of the world’s largest suppliers of wind turbine blades, has filed for Chapter 11 bankruptcy in the US while it tackles “financial challenges” caused by “industry-wide pressures”.

Arizona-based TPI is a supplier of blades to many of the world’s leading turbine makers and runs factories in the US, Mexico, Turkey and India. It claims to have supplied 27% of blades globally last year, excluding China.

TPI said it started voluntary Chapter 11 proceedings in Texas “to pursue a comprehensive restructuring”. Chapter 11 is a process that allows companies to continue operating while restructuring their debts.

The blade maker said it has agreed a deal to restructure its debt with creditor Oaktree Capital Management, giving TPI a financing facility of up to $82.5m, of which $27.5m is expected to be used to support its day-to-day operations.

A statement from the company said it expects to continue operating normally during the bankruptcy process, and “intends to continue honouring its obligations to key stakeholders post filing, including by satisfying payment obligations to suppliers for goods and services provided”.

TPI Composites has been under the cosh for years, first from the pressures on the wind industry caused by inflation and supply chain pressures and more recently from the assault on the wind industry from US President Donald Trump, whose threats of tariffs have loomed large over TPI’s operations.

The company's share price has collapsed by almost 62% over the last five days and fell a further 38% in after-hours trading in New York.

TPI CEO Bill Siwek said: “Over the past several months, we have implemented strategic measures to fortify our business.” He went on: “Despite recent progress, industry-wide pressures have created financial challenges that must be addressed. We explored a variety of alternatives to address the challenges facing the company and believe that a Chapter 11 process is necessary to position the company for success.”

Siwek claimed TPI aims “to reach agreement with stakeholders on the terms of a plan of reorganisation for the company to be able to right-size its balance sheet and go forward with the ability to compete successfully in the current economic environment”.