Hitachi announces historic $1 billion USD production investment to power America’s energy future through critical grid infrastructure manufacturing.
Supported by the Trump administration, this investment responds to growing demand for transformers and high-voltage equipment essential for AI data center development.
- $457 million will be allocated to build a new power transformer factory in Virginia, the largest facility of its kind in the United States, with support from Governor Youngkin and the Virginia Congressional Delegation.
- The investments will create thousands of well-paying jobs and expand local supply chains across the United States.
Hitachi Energy, a subsidiary of Hitachi, Ltd. and a global leader in electrification, announced a historic investment of over $1 billion USD to expand energy grid infrastructure in the United States. This represents one of the largest financial commitments in the history of the American energy industry. Within this amount, approximately $457 million will be dedicated to a new large power transformer factory in South Boston, Virginia. Based on this decision, existing facilities across the country will also be significantly expanded.
These Hitachi Energy investments will help meet the rapidly growing demand for electricity driven by AI data centers, aligning with the White House artificial intelligence action plan developed by the Donald Trump administration and contributing to increased availability of these critical grid technologies in the country. This project also responds to the electrical energy needs of American manufacturing industry and other sectors, supporting the much-needed expansion and modernization of the energy grid. Combined, Hitachi Energy’s investments will create thousands of new jobs, strengthen electrical equipment supply chains in the United States, and contribute to the development of innovative technologies that increase the security and resilience of the U.S. energy grid.
Chris Wright, Secretary of Energy: “If we want to win the race in artificial intelligence, re-industrialize, and ensure citizens have continuous power supply, America will need significantly more reliable energy. Fortunately, Hitachi is responding to these expectations. The Donald Trump administration is ready to collaborate with the private sector, providing Americans with affordable, reliable, and secure energy, as well as thousands of well-paying jobs.”
Doug Burgum, Secretary of the Interior: “To be a leader in artificial intelligence, America must be a leader in energy, and this investment proves that this is exactly the case. This historic Hitachi Energy investment in U.S. energy grid infrastructure is more than just a partnership – it’s a signal of a rising wave of investments in American energy. The driving force behind this is President Donald Trump’s bold, pro-energy policy, which is revitalizing the American economy and supporting a new generation of data centers critical to artificial intelligence, powering them with reliable, U.S.-produced energy.”
Jarrod Agen, Executive Director of the White House Council on Energy Dominance: “Prioritizing domestic transformer production accelerates President Trump’s energy dominance agenda by strengthening key supply chains, increasing U.S. energy security, and ensuring our country meets the growing demand for electricity. Such investments are essential to power artificial intelligence infrastructure and strengthen President Trump’s leadership in the global AI race.”
Governor Glenn Youngkin: “We thank Hitachi Energy for once again showing confidence in Virginia! The hardworking residents of this state and the business-friendly environment led this company to start operations here. Now, after many years of success, it’s doubling down on its commitment with this groundbreaking investment in South Boston. Eight hundred twenty-five new jobs will have a tremendous impact on southern Virginia, just like the power transformers that these new workers will produce. These devices are crucial to our country’s energy grid and will be manufactured right here in Virginia.”
Governor Youngkin added: “We’re also proudly announcing a major housing construction project for Hitachi’s new workers. We’re collaborating with Halifax County and Virginia Housing to build 96 new homes, with assistance from grants from the Virginia Workforce Housing Investment Program.”
Senator Mark Warner: “At this critical moment, when our demand for electricity continues to grow, I’m pleased that Hitachi Energy is expanding its operations in Virginia, creating hundreds of well-paying jobs in South Boston and supporting U.S. energy security. At the local level, this is a great investment in southern Virginia’s economy and manufacturing industry. At the state and national level, this is a strategic step that will ensure we have the energy needed to meet the needs of our communities, businesses, and the growing AI industry. I’m pleased that Hitachi Energy is implementing this important project in South Boston.”
Senator Tim Kaine: “In August, I visited the Hitachi facility in Bland to learn about the company’s latest achievements. I’m pleased that the corporation is expanding its operations in Virginia, investing $457 million in building a modern power transformer manufacturing facility in South Boston, creating over 800 new jobs and stimulating the regional economy. Virginia’s workforce potential, educational opportunities, and innovative spirit make it an excellent place to conduct business. I look forward to continued cooperation with Hitachi to develop domestic production in Virginia.”
Congressman John McGuire (VA-05): “A strong and reliable energy grid plays a key role in the American economy and U.S. energy dominance. Moving power transformer production to our country is hugely significant given the rapid growth in electricity demand. I’m grateful that this investment in South Boston will create a modern manufacturing facility that will produce much-needed high-power transformers. This $457 million investment and facility will create over 800 new, well-paying jobs in Virginia’s fifth congressional district. I would like to thank Hitachi, President Trump, and Governor Youngkin for their cooperation that made this success possible.”
Toshiaki Tokunaga, President and CEO of Hitachi: “The United States is a key market for Hitachi, and this investment reflects our commitment to providing America with an energy future that meets growing demand for reliable and sustainable solutions, benefiting the entire country. Leveraging our experience in IT, operational technology, and advanced products, we support American manufacturing industry, critical infrastructure development, and the rapid expansion of data centers driven by artificial intelligence implementation.”
Andreas Schierenbeck, CEO of Hitachi Energy: “Power transformers are key technology for a solid and reliable energy grid and winning the race in artificial intelligence. Large power transformer production in the United States is crucial for building a strong domestic supply chain for the American economy and reducing production bottlenecks, which is essential given the growing demand for these transformers throughout the economy. As a global leader in electrification, Hitachi Energy is uniquely positioned to deliver key energy solutions for the American market. Our investments in expanding transformer production capacity in the United States – including at our new South Boston facility – are already creating well-paying jobs in America, supporting local communities, and increasing economic independence. At Hitachi Energy, we are deeply grateful for the leadership and support from President Trump’s administration, Governor Youngkin, the Virginia General Assembly, and the state’s Congressional Delegation, who joined forces to enable the development of these crucial production capabilities that will secure our energy future.”
Facility Details
The centerpiece of this investment plan is the creation of a modern manufacturing facility in South Boston, Virginia, which will produce large power transformers used in high-voltage transmission, power generation, AI data centers, and large-scale industrial applications.
This facility will be built adjacent to the existing Hitachi Energy campus and will be the largest large power transformer manufacturing facility in the United States. This facility will provide over 825 new jobs in southern Virginia, offering long-term employment opportunities in engineering, advanced manufacturing, and operations.
These projects are part of a global and industry-leading investment program worth over $9 billion, through which Hitachi Energy is increasing its production capacity while focusing on research and development, engineering, and partnerships to make the global energy system more reliable, secure, and resilient.
About Hitachi Energy
Hitachi Energy is a global technology leader in electrification, providing a sustainable energy future through innovative grid solutions based on digital technology. Over three billion people worldwide rely on our solutions every day. For over 100 years, our pioneering technologies of strategic importance, such as high-voltage products, transformers, automation, and power electronics, have enabled us to meet the most pressing energy challenge of our time – balancing growing electricity demand while reducing carbon dioxide emissions in the power system. With an unmatched installed base in over 140 countries, we co-create and build long-term partnerships in utility, industry, transportation, data center, and infrastructure sectors. Our headquarters is located in Switzerland, and we employ over 50,000 people in 60 countries, generating revenues of $16 billion.
