Hitachi Energy announced a $106 million investment to expand its transformer component manufacturing facility in Alamo, Tennessee, reinforcing its commitment to strengthening the U.S. power grid supply chain and addressing the global transformer shortage. The project is part of the company’s broader global investment strategy in transformer component manufacturing, the most comprehensive initiative of its kind in the industry.
The Alamo expansion will significantly increase production capacity for transformer bushings, including dry bushings used in high-voltage direct current (HVDC) and alternating current (AC) transmission systems up to 800kV. Once completed, the Alamo site will become the largest bushings manufacturing facility in North America, and one of the largest worldwide, underscoring its strategic role in supporting the U.S. domestic supply chain for transmission infrastructure. These components will play a critical role in powering the rapid growth of data centers, artificial intelligence (AI) infrastructure, and other electrification-driven industries.
The project includes more than 60,000 square feet of new space-with 35,000 square feet dedicated to manufacturing, 20,000 square feet for warehousing, and 5,000 square feet for office operations. Scheduled to be operational by mid-2027, the expansion will create over 100 new jobs in West Tennessee, spanning engineering, skilled trades, and operational support roles, providing long-term economic and employment benefits to the region.
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Governor Bill Lee said, “This project marks a significant investment in rural Tennessee, and I am grateful to the leaders in Crockett County and Alamo for their role in securing this expansion. Thank you again to the Hitachi Energy team for its continued investment in our state, which we know will create greater opportunity for Tennesseans in the years to come.”
U.S. Senator Marsha Blackburn added, “Hitachi Energy’s manufacturing expansion in Crockett County is proof that Tennessee’s pro-business policies and talented workforce continue to attract investment from around the world. This project in Alamo will bring good-paying jobs to the area, strengthen the local economy, and help power America’s energy future.”
U.S. Senator Bill Hagerty stated, “This investment by Hitachi Energy illustrates the confidence global companies have in West Tennessee – demonstrating our state’s competitiveness across the nation and around the world. This new manufacturing facility will bring even more jobs and therefore more opportunities to families in Crockett County. Hitachi Energy is addressing the fast-growing demand for transformer components, and this investment will help ensure that Tennessee remains at the forefront of America’s energy revolution.”
Congressman David Kustoff (TN-08) emphasized, “This historic $100 million investment in Crockett County demonstrates Hitachi Energy’s transformational commitment to our community and the future of American energy production. Beyond the creation of 100 new jobs, this project strengthens our nation’s energy infrastructure and ensures grid stability as we meet growing energy demand. West Tennessee continues to see significant economic growth because of our business-friendly environment. I am grateful to Hitachi Energy for their continued investment in our community, and to our state and local leaders who worked hard to secure this investment.”
Steve McKinney, Head of Transformers, North America, Hitachi Energy, concluded, “This investment in Tennessee is also an investment in the future of America’s energy infrastructure. We’re not only increasing our ability to deliver vital components to customers across the U.S. and the world, but we’re also making a long-term commitment to the Crockett County community. This facility plays a critical role in meeting fast-growing energy demand from AI as well as grid expansion and modernization, and we’re proud to grow our footprint and strengthen domestic manufacturing right here in Tennessee.”