Writer: Eleana Teran
2 min read February 2024 — Siemens Energy, a renowned powerhouse in energy and technology, recently announced that Charlotte will be the chosen location for its new advanced manufacturing facility, dedicated to producing large power transformers. The decision marks a significant investment of nearly $150 million and promises to bring 475 high skilled jobs to the community.
The new factory will build power transformers, which are critical to the U.S. energy grid, at a period when the average large power transformer is about 40 years old and nearing their expiration date, as cited by Energy News Network.
“With every technological transformation within the manufacturing sector, there is additional pressure on the energy grid to support that growth,” Cynthia Hutchison, CEO of the US Center for Advanced Manufacturing, told Invest:.
Tim Holt, a member of Siemens Energy’s Executive Board, emphasized the strategic significance of the company’s energy-related expansion by noting, “manufacturing large power transformers in the United States will strengthen and expand our electrical grid to incorporate more renewable energy and meet growing energy demand. We are excited to do that in Charlotte, North Carolina where our existing factory and incredible team is answering the call of our customers and policymakers to help protect our nation’s energy and national security,” he added.
The city of Charlotte, Mecklenburg County, North Carolina Department of Commerce, and other key partners made a collaborative effort to secure the private project that benefits economic growth. It adds up to the region’s recent successes in attracting over $427 million in capital investment and creating 1,075 new jobs. Complimenting these achievements, the expansion, which will be located on Westinghouse Boulevard, will bring aboard various jobs from logistics and mechanics to assembly and engineering, with an average annual salary of $82,052, further enriching the economic landscape.
“The US in general, and especially the manufacturing-rich state of North Carolina (along with Michigan and the Midwest!), provide great lifestyles for people making good wages and making the products that we, as a nation, rely on. Anytime one of these states snags a win like this energy facility, it fuels the belief (and reality) that we can be competitive at a global level. So from the US perspective, we celebrate wins that help all of us,” Hutchison added.
Southwestern North Carolina is no stranger to advanced manufacturing job opportunities. The Charlotte Regional Business Alliance has acknowledged the sector’s significant growth, with over 145,000 individuals employed. Not only is there a growing supply of employment opportunities, but the community has seen a substantial net migration, enhancing the talent pool. Furthermore, the area’s commitment to workforce development is evident through its 15 advanced manufacturing training programs and more than 10 apprenticeship programs. This comprehensive approach to skill development and talent cultivation confirms Charlotte’s position as a key player in the advanced manufacturing arena.
“We’re finding that we’re becoming an attractive location for advanced manufacturing companies, particularly in the electric vehicle and energy sectors, such as solar,” David Swenson, executive director of York County Economic Development, told Invest:.
“We’ve seen an increase in inquiries in these areas over the past year. One of our recent success stories is a company called Pallidus, which is relocating their headquarters from New York State and investing over $400 million and creating 400 jobs in the semiconductor industry. We also had an Italian-owned company expand here, which is great for our area’s international market. They’ll be producing copper tubing for air conditioning and bring 25 new jobs and $18.5 million in investment,” he added.
North Carolina’s strategic location and connectivity significantly contribute to its appeal for manufacturing companies. The state has been recognized by the Site Selection Group among the top five states for manufacturing competitiveness for two consecutive years. This success is attributed to favorable demographics, a strong industry presence, low business costs and its proximity to major ports and robust rail services.
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