Hitachi Energy plans to construct a $457 million power transformer manufacturing Plant in South Boston, the biggest such investment in Southside Virginia. The development will transform the area into a leading manufacturing hub for high-tech electrical infrastructure.
The plant will focus on big power transformers, a technology needed for high voltage transmission, artificial intelligence-driven data centers, energy generation, and heavy industry. When complete, it will be the largest transformer factory in the US, producing more than 825 new engineering, production, and operations positions.
Governor Glenn Youngkin declared the expansion a watershed moment for the region, with the added comment that both the jobs and the transformers produced in Virginia will strengthen the nation’s electrical grid. To assist in housing the growing workforce, the state, Halifax County, and Virginia Housing are also beginning construction on a 96-unit residential complex, maintaining residential capacity in conjunction with industrial growth.
Senator Mark Warner highlighted the broader advantages of the project, calling it a stimulus to the economy of Southside Virginia and a strategic step towards the improved energy security of America as well as growing AI industry.
Hitachi Energy executives highlighted local manufacture. CEO Andreas Schierenbeck said that large transformers are a “linchpin” technology for a secure grid and that in-country manufacture will eliminate supply chokepoints while securing critical components in the economy.
Hitachi Energy global expansion
South Boston is one of the sites for Hitachi Energy’s $9 billion global expansion program, to drive growth in production and meet rising electricity demand around the world.
For Southside Virginia, the investment is not just a manufacturing success. It lays the foundation for sustained economic growth, creating high-value employment and placing the region firmly at the forefront of driving America’s energy future.
Foreign companies with strong business ties to the United States are increasingly seeking to establish permanent operations within the country amid the ongoing tariff war. A notable example is Samsung Electronics, which is building a massive semiconductor manufacturing plant in Taylor, Texas.
Hitachi Energy Power Transformer Plant in Virginia: Project Factsheet
Project Overview
Location: South Boston, Virginia
Developer: Hitachi Energy (Hitachi, Ltd. subsidiary)
Announcement Date: September 4, 2025
Investment
Capital Investment: $457 million
Plant: Advanced manufacturing plant dedicated to producing heavy-duty electrical transformers
Campus Integration: Expansion adjacent to current Hitachi Energy operations
National Ranking: Will become America’s largest production site for heavy electrical transformers
Workforce Development
Employment Generation: Over 825 new positions
- Career Opportunities:
- Technical engineering positions
- Skilled manufacturing roles
- Operational management positions
Job Security: Permanent, career-focused employment
Manufacturing Focus
Core Products: Heavy-duty electrical transformers
Market Applications:
Electrical transmission networks
Power plant infrastructure
Data center operations for artificial intelligence
Major industrial installations
Economic Importance
Essential infrastructure component for America’s electrical grid reliability
Strengthens domestic manufacturing capabilities in critical technology sector
Reduces supply chain vulnerabilities in transformer production
Addresses rapidly growing demand from technology and industrial sectors
Supports national energy independence objectives
Enables artificial intelligence infrastructure expansion
