Hitachi Energy plans $37M expansion in Halifax County

Hitachi Energy Ltd. will invest $37 million to expand its operation in Halifax County, creating 165 jobs, Gov. Glenn Youngkin announced Wednesday.

The technology company will add 26,000 square feet to its existing facility in the county to make space for a new production line of large transformers to support the utility and renewable energy markets.

The existing facility opened in 1968 to service the distribution transformer market and in 2008, the plant added the capability to produce medium power transformers in addition to distribution transformers. The site has two buildings: the distribution transformer factory, which is 517,000 square feet and the power transformer factory, which is 90,000 square feet. The 26,000-square-foot addition will be to the power transformer factory.

The facility currently produces both distribution transformers and power transformers. Following the expansion, Hitachi will be able to produce larger power transformers that operate at higher voltages.

“These latest investments in the facility and equipment are intended to support the establishment of an additional 26,000 square feet of production space for addressing the increased demands of renewable power generation, among other fast-growing markets. The 26,000 square feet. will be added to an existing building devoted to the production of power transformers, a Hitachi spokesperson told Virginia Business.

“Hitachi Energy’s ambitious expansion in Halifax County represents a strong commitment and tremendous vote of confidence in the commonwealth of Virginia as a great place to do business,” Youngkin said in a statement. “Hitachi Energy has been an important, long-standing employer in Southern Virginia for nearly 50 years, and we are thrilled the company will create additional good-paying jobs in the community.”

The company’s North American headquarters are in Raleigh, North Carolina, and it has 4,600 employees in the region, with more than 720 in Virginia and 370 in Halifax County. The 165 new jobs will be in skilled manufacturing, but the company also has staff in a variety of other functions at the facility.

Hitachi serves customers in the utility, industry and infrastructure sectors. The company’s global headquarters is in Switzerland and it employs about 38,000 people across 90 countries.

“We are pleased to see global manufacturers like Hitachi Energy expanding their footprint in Southern Virginia,” Virginia Port Authority CEO and Executive Director Stephen A. Edwards said in a statement. “As The Port of Virginia moves forward on its goal of becoming carbon-neutral [by 2040], we look forward to providing a supply chain solution for a company that will deliver a sustainable energy future for all. When we work with like-minded businesses like Hitachi, we see opportunities to grow and learn.”

The Virginia Economic Development Partnership worked with Halifax County and the Halifax County Industrial Development Authority to secure the project for Virginia. Youngkin approved a $511,500 grant from the Commonwealth’s Opportunity Fund to assist Halifax County with the project. The Virginia Tobacco Region Revitalization Commission also approved a grant for $220,000 from the Tobacco Region Opportunity Fund for the project.

Hitachi is eligible to receive benefits from the Port of Virginia Economic and Infrastructure Development Zone grant program, as well as state benefits from the Virginia Enterprise Zone program, administered by the Virginia Department of Housing and Community Development. Funding and services to support Hitachi Energy’s employee training activities will be provided through VEDP’s Virginia Jobs Investment Program.