HD Hyundai Electric Expands US Transformer Plant to Strengthen Power Infrastructure Market Strategy in North America

Groundbreaking for Second Plant at Montgomery North American Facility
$200 Million Investment to Boost Extra-High Voltage Transformer Production by 50%

HD Hyundai Electric has begun expanding its North American manufacturing corporation, further strengthening its strategy to target the North American extra-high voltage transformer market.

HD Hyundai Electric held a groundbreaking ceremony for the second plant of its North American manufacturing subsidiary on the 6th (local time) in Alabama, USA. (From the third left: Cornelius C.C. Calhoun, Montgomery City Council Chairman; Youngki Kim, President of HD Hyundai Electric; Junho Lee, Consul General in Atlanta; Seok Jo, Vice Chairman of HD Hyundai; Allen McNair, Alabama Secretary of Commerce. Provided by HD Hyundai Electric)

On the 6th (local time), HD Hyundai Electric announced that it held a groundbreaking ceremony for the second plant at its North American manufacturing corporation, HD Hyundai Power Transformers USA, located in Montgomery, Alabama, USA.

The event was attended by Youngki Kim, President of HD Hyundai Electric; Junho Lee, Consul General of Atlanta; Ellen McNair, Secretary of Commerce for the state of Alabama; Cornelius CC Calhoun, Chairperson of Montgomery City Council; as well as key clients and business partners.

The second plant will be built on a site of approximately 29,000 square meters within the grounds of the North American manufacturing corporation, and is scheduled for completion in April next year. HD Hyundai Electric plans to invest about 200 million dollars to increase its extra-high voltage transformer production capacity by 50% compared to the current level.

Additionally, in response to the expansion of extra-high voltage transmission networks (Backbone) within the United States, the company plans to establish test and production facilities for 765-kilovolt (kV) class extra-high voltage transformers. After the completion of the plant, annual sales are expected to increase by about 200 billion won.

The North American manufacturing corporation of HD Hyundai Electric, established in 2011 as the first local transformer factory in the United States by the Korean power equipment industry, is now the largest power transformer production facility in the country.

At the time of its establishment, the company invested 62.6 billion won, followed by an additional investment of 53.7 billion won in 2018 to expand production space. In 2023, it invested 18.3 billion won to expand dedicated storage for transformers, continuing to invest locally over the years.

This local production base has enabled shorter supply lead times and improved customer responsiveness, thereby enhancing credibility and order competitiveness in the North American market.

The company has also demonstrated steady growth. Sales at the North American corporation expanded from around 100 million dollars in 2017 to approximately 400 million dollars in 2025. Employment has increased from about 100 people in 2011 to 300 people in 2017, and is expected to reach around 460 people in 2025. With the completion of the second plant, about 200 additional employees are expected to be hired.

An HD Hyundai Electric representative stated, "The North American manufacturing corporation has played a crucial role in strengthening our presence in the US market based on local production capabilities. By successfully completing the second plant and generating synergy with the expansion of the Ulsan plant, scheduled for completion this September, we will further reinforce our leadership in the North American extra-high voltage transformer market."

This content was produced with the assistance of AI translation services.