Hitachi Energy to invest $457 million in South Boston facility, creating 825 jobs

RICHMOND, Va. (WRIC) -- Gov. Glenn Youngkin announced a $457 million investment by Hitachi Energy on Wednesday to expand its power transformer production facility in South Boston, Virginia, bringing 825 new jobs to Halifax County.

The project is part of Hitachi’s broader $1 billion U.S. expansion aimed at strengthening domestic production of large power transformers. This is an essential part of high-voltage transmission, power generation, industrial applications and the rapidly growing demand from artificial intelligence (AI) data centers.

Once complete, the South Boston campus will be the largest manufacturing site for large power transformers in the United States.

“Eight-hundred and twenty-five new jobs will be transformational for Southside Virginia, as will the power transformers those new hires are set to build,” Youngkin said. “These transformers are critical to our nation’s electrical grid and will be built right here in Virginia.”

The project also includes a workforce housing initiative. Halifax County has donated 10 acres for the construction of 96 new homes, with funding support from Virginia Housing and the state’s Workforce Housing Investment Program.

Hitachi Energy (Photo Courtesy: Ryland Clark)

Local and state leaders praised the announcement as a major boost for Virginia’s manufacturing sector.

“Virginia’s manufacturing sector is continuing to grow with this exciting investment from Hitachi Energy,” said Secretary of Commerce and Trade Juan Pablo Segura. “As our energy demands rise, Virginia and Hitachi Energy are rising to the occasion.”

Hitachi Energy leaders said the expansion will strengthen U.S. supply chains at a time when transformer demand is surging.

“Power transformers are a linchpin technology for a robust and reliable electric grid,” said Andreas Schierenbeck, CEO of Hitachi Energy. “Our investments in expanding U.S. transformer manufacturing capacity — including at our new South Boston facility — are already creating good-paying American jobs, strengthening local communities, and reinforcing economic independence.”

The Virginia Economic Development Partnership worked with Halifax County, the Southern Virginia Regional Alliance and the state’s Major Employment and Investment (MEI) Project Approval Commission to secure the project. Hitachi is eligible for a $29.4 million MEI custom performance grant, subject to approval by the General Assembly.

Support for the 825 new jobs will come through the Virginia Talent Accelerator Program, which provides customized recruitment and training at no cost to companies as an incentive for job creation.

Hitachi Energy, headquartered in Switzerland, employs more than 50,000 people in 60 countries and generates roughly $16 billion in revenue.