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Hitachi to invest $1 billion to produce power grid components in US
Hitachi to invest $1 billion to produce power grid components in US
Laila Kearney
Thu, September 4, 2025 at 7:33 AM EDT 2 min read
By Laila Kearney
NEW YORK (Reuters) -Hitachi plans to invest $1 billion to expand its U.S. power grid infrastructure manufacturing, its energy unit said on Thursday, as the country faces record electricity demand from Big Tech's build-out of AI data centers.
Hitachi's announcement follows a push by the administration of U.S. President Donald Trump to dramatically increase electricity supply for the rapid expansion of artificial intelligence, which is being developed in energy-intensive data centers around the globe.
{snip}
The U.S. holds the biggest concentration in the world of data centers, which are expected to triple their energy use to consume about 12% of the domestic power supply in less than three years. As a result, many utilities are ramping up spending on the long-stagnating electrical grid.
Nearly half of Hitachi Energy's latest investment, or $457 million, will go towards building a new facility in South Boston, Virginia, to manufacture large power transformers. The facility will be the biggest U.S. producer of the massive transformers, which can run as large as a two-story home, Hitachi said. ... Construction of the project is set to begin this year, with service to begin by 2028, the company said.
{snip}
Laila Kearney
Thu, September 4, 2025 at 7:33 AM EDT 2 min read
By Laila Kearney
NEW YORK (Reuters) -Hitachi plans to invest $1 billion to expand its U.S. power grid infrastructure manufacturing, its energy unit said on Thursday, as the country faces record electricity demand from Big Tech's build-out of AI data centers.
Hitachi's announcement follows a push by the administration of U.S. President Donald Trump to dramatically increase electricity supply for the rapid expansion of artificial intelligence, which is being developed in energy-intensive data centers around the globe.
{snip}
The U.S. holds the biggest concentration in the world of data centers, which are expected to triple their energy use to consume about 12% of the domestic power supply in less than three years. As a result, many utilities are ramping up spending on the long-stagnating electrical grid.
Nearly half of Hitachi Energy's latest investment, or $457 million, will go towards building a new facility in South Boston, Virginia, to manufacture large power transformers. The facility will be the biggest U.S. producer of the massive transformers, which can run as large as a two-story home, Hitachi said. ... Construction of the project is set to begin this year, with service to begin by 2028, the company said.
{snip}