Hitachi Energy plans to inject an additional $155m into its North American manufacturing operations.
The strategic move includes building a new distribution transformer factory in Reynosa, Mexico, and expanding existing facilities in South Boston, Virginia and Mount Pleasant, Pennsylvania.
Go deeper with GlobalData
The company’s order backlog has soared, more than tripling since 2020, with the US market playing a significant role in this growth.
Since 2021, Hitachi Energy has added more than 8,000 new employees, with 1,200 of these based in the US.
The company’s focus on North America is further underscored by $150m of previously announced investments, with additional plans under consideration.
In Reynosa, Mexico, the construction of the new $70m distribution transformer factory is underway. It will focus on producing single-phase padmount distribution transformers, highly sought after in the North American market.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe facility will create 350 jobs in the region.
More than $25m is being channelled into expanding the South Boston, Virginia transformer factory to boost the production of large distribution transformers, a move that will create 100 jobs.
These developments are part of a broader investment strategy by Hitachi Energy to augment transformer capacity both regionally and globally. This includes the recent expansion in Varennes, Quebec, Canada, and the completed project in Jefferson City, Missouri, US.
The company has also announced a $60m investment in its Mount Pleasant, Pennsylvania facility to double the production capacity for high-voltage switchgear and breakers, including dead tank breakers, gas-insulated switchgear and hybrid switchgear.
This expansion will create 100 new jobs, driven by the growing demand for high-voltage products in North America.
Hitachi Energy chief executive Andreas Schierenbeck stated: “Demand for electrical equipment, including transformers and switchgear, is surging globally, and significantly in North America, and one of our highest priorities is making sure that we are growing our capabilities to address our customer’s present and future needs.
“To achieve our goals, we will continue to expand and optimise our footprint in the North American region, leverage our expansive global presence, and prioritize research and development and innovation to drive the energy transition without compromising safety and reliability.”
