Hitachi Energy, which is a global leader in electrification, on August 17, 2026, announced a $300 million investment in China to expand its global manufacturing presence with critical grid equipment manufacturing and meet the rapidly increasing demand for transformers. The investment will expand the power transformer and component manufacturing capacity of the company in Hefei, located in East China’s Anhui Province, boosting the durability of the global transformer value chain in order to help mitigate supply chain limitations.
The critical grid equipment manufacturing boost highlights the strategic significance of China to the global growth objectives and supply-chain durability of the company. As the global need for energy solutions continues to rise, it is included in the company’s $9 billion global investment strategy, which is the largest in the industry, to grow manufacturing capacity, engineering, and R&D as well as partnerships.
According to Hitachi Energy CEO of Business Unit Transformers, Bruno Melles, “As demand for electricity surges, driven by rapid growth in AI, data centers, mobility and industrialization, the need for critical grid equipment has never been greater. Building on our continued commitment in China, this expansion is an example of how we are strengthening our manufacturing capabilities and reinforcing the resilience of local and global transformer value chains to better support our customers in building more secure, affordable, and sustainable energy systems for the electricity era.”
Opines Executive Vice President and Region Head North Asia, Hitachi Energy, James Zhao, “This significant investment reflects our long-term commitment to our customers, partners, and market and demonstrates our confidence in China’s manufacturing ecosystem. The establishment of a state-of-the-art power transformer factory and the new ultra-high voltage bushing facility, as well as the launch of the digital production line of tap changers, are key milestones in the company’s presence in the country. Together, this investment will support China’s development of a new energy system while meeting growing demand from customers around the world.”
Hitachi Energy has been in China for over 40 years and has a solid presence spanning 11 manufacturing facilities and capabilities across the full value chain, be it R&D, engineering, consulting, sales, manufacturing as well as services.