Hitachi Energy secures India’s grid future with major manufacturing expansion

Hitachi Energy, a global leader in electrification, is investing approximately INR 2000 crore to establish a new Large Power Transformer (LPT) factory in Karjan, Vadodara, India. This investment is in continuation of the recent announcement made by Hitachi Energy India Limited during its FY26 Q4 results. The investment builds on the company’s 77-year history in India and its commitment to strengthening its manufacturing footprint to support the growing demand for electricity in the country and worldwide.

According to a report1 by the Central Electricity Authority, India will require investments totaling INR 7.93 lakh crore in transmission infrastructure to integrate more than 900 gigawatts (GW) of non-fossil fuel-based energy by 2035. Against this backdrop, the growing demand for Large Power Transformers, driven by grid expansion, data centers, and industrial electrification, creates a strong need for greater local manufacturing capacity. Hitachi Energy’s new factory is expected to assist in meeting India’s demand for reliable, efficient, and high-quality power equipment while supporting a stronger and more self-reliant energy value chain.

The new large power transformer factory will complement Hitachi Energy India Limited’s existing footprint of power, dry distribution and traction transformer factories in Gujarat state, and transformer insulation and components factories in Mysore and Halol, reinforcing its commitment to the country’s “Make in India” initiative and supporting its ambitious energy transition goals.

Scheduled for completion in FY28, the new state-of-the-art transformer factory will manufacture a significant volume of power transformers annually to enable faster delivery of mission-critical grid equipment. Once operational, it will support applications like high-voltage transmission, HVDC, power generation, AI data centers, and large-scale industrial applications.

The factory will feature advanced technologies and the highest health, safety, and sustainability standards, ensuring efficient and environmentally responsible operations. The Vadodara factory is planned as a LEED-certified site, with a strong focus on energy efficiency, responsible resource use, and reduced environmental impact. Developed as fully digital, it will integrate smart manufacturing technologies and end-to-end digital connectivity to enable data-driven operations, enhance quality and productivity, and ensure consistent and high-performance delivery.

The project is expected to create more than 1,000 direct and indirect jobs, supporting local economic development and skills advancement. It forms part of Hitachi Energy’s global investment program, the largest in the industry, through which the company is expanding manufacturing capacity, R&D, engineering, and partnerships to meet unprecedented electricity demand. The investment reinforces Hitachi Energy’s leadership in transformers as it powers an energy system for a fully electrified world – secure, affordable, and sustainable – making electricity abundant and more accessible.

The new factory also emphasizes Hitachi Energy’s broader India story, as it continues to contribute to the country's complex energy infrastructure. Recent milestones include the commissioning of one of the world’s largest urban HVDC city center in-feeds in Mumbai, another step toward shaping India’s clean energy future.