Constructionreview




Siemens Energy to Invest $1B in U.S. Manufacturing Expansion, Including New Mississippi Switchgear Plant

Home » Buildings » Industrial » Siemens Energy to Invest $1B in U.S. Manufacturing Expansion, Including New Mississippi Switchgear Plant
Siemens Energy to Invest $1B in U.S. Manufacturing Expansion, Including New Mississippi Switchgear Plant

Siemens Energy has finalized plans to invest $1 billion to expand manufacturing capacity across multiple U.S. states, including the construction of a new high-voltage switchgear plant in Mississippi, as it scales up production to meet rising electricity demand.

The investment program includes a mix of brownfield expansions and one greenfield facility and is expected to create more than 1,500 new jobs in manufacturing, operations and engineering. The company said the expansions will support increased production of grid infrastructure, power transformers and gas turbine equipment for the U.S. market.

Siemens Energy confirmed the plans following its Capital Market Day held in Charlotte, North Carolina, last November.

New construction and facility expansions

The most significant new construction will take place in Mississippi’s Greater Richland area, where Siemens Energy plans to build a new high-voltage switchgear manufacturing facility. The plant will produce critical grid components and is expected to employ up to 300 workers. The project will also include the development of a training center to support workforce development.

In addition to the Mississippi greenfield project, Siemens Energy will expand and upgrade existing facilities in North Carolina, Alabama, Florida, New York and Texas.

In North Carolina, the company plans to increase manufacturing and service capacity for large power transformers and resume gas turbine manufacturing in Charlotte, expand gas turbine component production in Winston-Salem, and grow grid technology engineering, project execution and research and development operations in Raleigh. Siemens Energy said these expansions will add approximately 500 jobs across the three locations.

In Florida, Siemens Energy will expand its Tampa facility to increase production of gas turbine blades and vanes, while its Orlando operations will see upgrades to research and development infrastructure. The company also plans to relocate and modernize its headquarters in Orlando’s Lake Nona area.

In Alabama, Siemens Energy will expand its Fort Payne facility to increase production of copper and insulation electrical components used in generators, creating 120 new jobs.

Facility upgrades are also planned in Painted Post, New York, and Houston, Texas. Where Siemens Energy manufactures and services compression equipment used in gas and liquid pipeline systems.

Responding to rising power demand

The company said the investments are aimed at addressing rapid growth in U.S. electricity demand driven by data centers, artificial intelligence infrastructure and industrial electrification. The expansion program focuses on increasing domestic manufacturing capacity for grid and generation equipment while improving supply chain resilience.

Siemens Energy said the targeted site expansions and new Mississippi facility represent what it considers the most efficient use of manufacturing capacity to meet projected market demand.

Christian Bruch, CEO and president of Siemens Energy, said the company is responding to what it sees as a long-term growth cycle in the U.S. energy market.

“We are experiencing a once-in-a-generation growth opportunity due to the resurgence of U.S. manufacturing and the growth of artificial intelligence,” Bruch said.

Siemens Energy’s U.S. operations date back to the late 19th century, when the company began electrification activities and opened a manufacturing site in Pittsburgh in 1887. The company became an independent, publicly listed energy technology firm in 2020 following its spin-off from Siemens AG.

The expansion comes as electricity demand continues to rise across the U.S., fueled by large-scale data center development and energy-intensive industrial growth, like in West Texas, where new facilities are driving a surge in power and grid infrastructure needs. This trend is creating increased demand for domestic manufacturing of transformers, gas turbines, and other critical components, a demand Siemens Energy aims to meet with its nationwide expansion program.

Project Factsheet: Siemens Energy U.S. Manufacturing Expansion

Project Overview

Major industrial expansion to scale up U.S. production capacity for grid infrastructure and gas turbine equipment in response to surging electricity demand from data centers, AI infrastructure, and industrial electrification.

Investment & Employment

Total Investment: $1 billion

New Jobs: 1,500+ highly skilled positions in manufacturing, operations, and engineering

Workforce Development: Expanded apprenticeship programs and industry training initiatives

Project Sites & Scope

Mississippi (Greater Richland Area) – Greenfield

New high-voltage switchgear manufacturing facility

300 new employees

State-of-the-art Training Center

North Carolina (Charlotte, Winston-Salem, Raleigh)

Large power transformer manufacturing and servicing expansion

Gas turbine manufacturing resumption (Charlotte)

Gas turbine parts production (Winston-Salem)

Grid technology R&D and engineering (Raleigh)

500 new jobs across three communities

Florida (Orlando & Tampa)

Turbine blade and vane production expansion (Tampa)

AI digital grid technologies lab with NVIDIA (Orlando)

Headquarters relocation to Lake Nona, Orlando

Alabama (Fort Payne)

Copper and electrical insulation components for generators

120 new jobs

New York (Painted Post) & Texas (Houston)

Compression equipment manufacturing and service upgrades

Siemens Energy U.S. Manufacturing Expansion: Strategic Rationale

Targeted brownfield expansions and one greenfield project designed to efficiently meet unprecedented U.S. electricity demand growth while strengthening domestic manufacturing capabilities and grid resilience.

Popular Posts

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *