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Siemens Energy to invest $1 billion in U.S. manufacturing to meet rising electricity demand
Tuesday, February 3, 2026 at 01:05 PM
Siemens Energy AG plans to invest $1 billion over the next two years to expand its manufacturing capacity in the United States, driven by a significant surge in domestic power demand.
Context
Siemens Energy will invest $1 billion over the next two years to expand its U.S. manufacturing footprint, responding to what leadership calls the world's most dynamic electricity market. The investment resumes gas turbine production in Charlotte, North Carolina, and adds a new greenfield switchgear facility in Mississippi. Approximately 60% of the funds will bolster grid infrastructure, including large power transformers, while 40% supports gas generation. This expansion is expected to create 1,500 jobs and boost the firm’s global turbine output by 20%.
The capacity surge is primarily driven by the rapid growth of AI data centers, which are forecasted to consume 9% of total U.S. power by 2035. To address these complex energy needs, Siemens Energy is also collaborating with Nvidia Corp. on a new digital grid lab in Florida. By localizing manufacturing, the company aims to secure a domestic supply of transformers—of which 80% are currently imported—ensuring grid stability as industrial electrification accelerates.
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