Hitachi Energy intends to invest an additional $155 million into its manufacturing operations in North America.
This strategic initiative encompasses the establishment of a new distribution transformer factory in Reynosa, Mexico, as well as the expansion of current facilities located in South Boston, Virginia, and Mount Pleasant, Pennsylvania.
The company’s order backlog has experienced substantial growth, more than tripling since 2020, with the United States market contributing significantly to this increase.
Since 2021, Hitachi Energy has expanded its workforce by over 8,000 employees, with 1,200 of these positions located in the United States.
Hitachi Energy plans for US jobs:
The company’s commitment to North America is further highlighted by previously announced investments totaling $150 million, with additional initiatives currently being evaluated.
In Reynosa, Mexico, the construction of a new $70 million distribution transformer factory is in progress, which will specialize in the production of single-phase padmount distribution transformers, a product in high demand within the North American market.
This facility is expected to generate 350 jobs in the local area.
Hitachi Energy manufacturing area
An investment exceeding $25 million is being directed towards the expansion of the transformer factory in South Boston, Virginia, aimed at increasing the production of large distribution transformers, which will result in the creation of 100 jobs.
These initiatives are part of a comprehensive investment strategy by Hitachi Energy to enhance transformer production capacity both regionally and globally. This strategy includes a recent expansion in Varennes, Quebec, Canada, as well as a completed project in Jefferson City, Missouri, United States.
Additionally, the company has announced a $60 million investment in its Mount Pleasant, Pennsylvania facility, which will enable the doubling of production capacity for high-voltage switchgear and breakers, including dead tank breakers, gas-insulated switchgear, and hybrid switchgear.
This expansion is set to generate 100 new employment opportunities, fueled by the increasing demand for high-voltage products in North America.
The opinion of the CEO of Hitachi Energy about this new plant:
Andreas Schierenbeck, the chief executive of Hitachi Energy, remarked that there is a significant global surge in the demand for electrical equipment, particularly transformers and switchgear, with North America experiencing notable growth. He emphasized that one of the company’s primary objectives is to enhance its capabilities to meet both current and future customer requirements.
To realize these objectives, the company plans to further expand and optimize its operations in North America, utilize its extensive global network, and focus on research, development, and innovation to facilitate the energy transition while maintaining safety and reliability standards.
The article titled “Hitachi Energy invests $155m in North American manufacturing” was initially created and published by Investment Monitor, a brand owned by GlobalData.
