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Hitachi Energy Commits $528M to Build Mississippi Transformer Plant

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Hitachi Energy Commits $528M to Build Mississippi Transformer Plant

Crystal Springs, Mississippi – September 18, 2026 -- Hitachi Energy will build a $528 million transformer manufacturing facility in Gallman, Mississippi, marking the company's largest single U.S. investment to date and pushing its total American manufacturing commitment to roughly $1.5 billion.

New Gallman plant will more than double transformer output

The facility, located about 6.5 miles from Hitachi Energy's existing Crystal Springs plant, will be more than twice the size of the current site and create over 700 jobs, more than double the area's existing workforce. Construction is set to begin in late 2026, with transformer production scheduled to start in 2029. Once operational, production will shift from Crystal Springs to Gallman, with the older facility repurposed for warehousing and training.

Investment follows three other major U.S. transformer expansions

The Mississippi project adds to a string of Hitachi Energy manufacturing expansions: a $457 million upgrade of its large power transformer factory in South Boston, Virginia (825 jobs, groundbreaking in June), a $106 million expansion in Alamo, Tennessee (100-plus jobs, announced last August), and a $70 million upgrade in Westmoreland County, Pennsylvania, for high-voltage grid equipment. Combined, the four projects account for more than 1,600 new jobs in U.S. transformer manufacturing.

Demand from data centers and industrial electrification drives expansion

Hitachi Energy cited surging U.S. electricity demand from data centers, advanced manufacturing and industrial electrification, alongside grid modernization needs, as the driver behind the capacity increase. Mississippi Development Authority Executive Director Bill Cork said the investment strengthens a critical domestic manufacturing supply chain as demand for transformer equipment grows across North America.

Federal and state officials frame deal as domestic supply chain win

Mississippi Governor Tate Reeves said Hitachi Energy could have placed its largest U.S. investment anywhere in the country but chose Mississippi. U.S. Energy Secretary Chris Wright said the plant will help improve electricity reliability and affordability for American consumers, while Hitachi, Ltd. President and CEO Toshiaki Tokunaga noted the Hitachi Group has invested more than $14 billion in the United States since 2020.

Hitachi Energy CEO Andreas Schierenbeck said the Mississippi investment reflects a long-term commitment to American manufacturing at a pivotal moment for U.S. energy security.

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