As electricity demand soars, Virginia’s power transformer industry is booming
Virginia’s power transformer manufacturers are expanding rapidly to meet rising electricity demand, including demand associated with data center construction. Hitachi Energy is investing $457 million in a new South Boston factory and adding more than 800 jobs, while Delta Star, Virginia Transformer and JST Power Equipment are also expanding or opening facilities across Virginia and elsewhere.
Virginia’s power transformer industry is undergoing a major expansion as utilities, manufacturers and data centers drive demand for additional grid infrastructure. Hitachi Energy broke ground on a $457 million expansion in South Boston that is expected to add 825 jobs and bring a new factory online by 2028, while the company is also adding jobs in Bland and Smyth counties.
Lynchburg-based Delta Star is expanding its operations and adding hundreds of jobs, and recently agreed to be acquired by MacLean Power Systems. Roanoke-based Virginia Transformer Corp. has more than tripled its employment in four years and is expanding facilities in Alabama and Georgia, while JST Power Equipment opened a new factory in Wytheville. Industry representatives and Virginia Tech professor Ali Mehrezi-Sani attributed the growth to data center construction as well as population growth, new power generation, grid upgrades and broader electrification.