Delays in getting electrical service hooked up represent one of the biggest roadblocks to building more EV charging hubs, and several industry insiders have told Charged that a major reason for those delays is a shortage of transformers.
Hitachi Energy, one of the world’s largest transformer manufacturers, is increasing production to meet the massive demand for transformers driven by the EV and renewable energy transition. The US National Renewable Energy Laboratory estimates that distribution transformer capacity may need to increase by up to 260% by 2050 to meet projected demand.
The company recently announced plans to invest $1.5 billion to ramp up production, in addition to $3 billion the company announced in October 2023 for transformer manufacturing.
Hitachi also announced an investment of around $180 million in a new 30,000-square-meter transformer factory in the Vaasa region of Finland. The new plant is slated to come online in 2027.
“The investments announced today are part of an overall effort to strengthen and optimize our manufacturing footprint, both globally and within North America,” Steve McKinney, Senior VP and head of Hitachi Energy’s transformer business in North America, told Electrek. “Hitachi Energy’s transformer facility expansions include the ongoing project in South Boston, Virginia, and other recently completed projects at Jefferson City, Missouri, and Bland, Virginia, among others, and additional projects in the region will be announced soon.”
Source: Hitachi Energy, Electrek
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