Press Release | São Paulo, Brazil | 22.10.2026 | 4 min read
Investment expands the country's manufacturing capabilities for bushings and tap changers for high-voltage transformers, reinforcing its position as the only location in Latin America producing these critical components locally.
Hitachi Energy, a global leader in electrification, today announced a new R$385 million ($77 million USD) investment in Brazil to expand local production of critical transformer components. This investment is the newest milestone in Hitachi Energy’s long-term commitment to Brazil, reinforcing the country’s role in building the infrastructure needed for the electricity era. It is also part of the company’s broader global strategy, backed by more than USD 9 billion in investments to expand capacity and accelerate the energy transition worldwide.
The investment includes a new facility dedicated to manufacturing bushings and tap changers, which will be co-located with the power transformer industrial complex already under construction in Pindamonhangaba, São Paulo, as well as the expansion of insulation material production in Guarulhos, São Paulo. The investment reinforces Brazil’s position as the energy anchor of the region and strengthens the country’s role as the sole manufacturer of bushings and tap changers for high-voltage transformers in Latin America. The expansion will strengthen Hitachi Energy’s ability to serve customers across Latin America with shorter lead times, greater supply chain resilience, and increased availability of critical transformer components.
In addition to creating more than 120 direct jobs across the two locations, localizing production will significantly reduce dependence on imports from Europe and Asia.
“Brazil already has well-established industrial expertise in the production of transformer components. In 2026, we reached the milestone of 100,000 bushings and 4,000 tap changers produced locally over the past 40 years, a track record that demonstrates the technical capabilities and expertise we have built in the country,” says Alexandre Malveiro, Transformers Hub LATAM Head at Hitachi Energy. “With this investment, we are taking another step forward in this journey, expanding our scale and incorporating even more advanced technologies and processes to meet growing demand in the Brazilian and global markets.”
This new investment brings Hitachi Energy’s total investments in Brazil to more than $350 million USD as part of a broader strategy to strengthen the company’s industrial presence in the country.
The new facility will feature state-of-the-art manufacturing technologies, with a significant amount of investment directed toward innovation and modernization of production processes, including robotic automation, automated guided vehicles (AGVs), and the digitalization of operations.
The new facility will add oil-impregnated paper (OIP) bushing capacity, as well as increase capacity for dry-type resin-impregnated paper (RIP) and paperless bushings, a technology increasingly requested by the end users in the region to eliminate the risk of explosions and fires in substations while providing greater durability and safety for the power grid.
The investment further strengthens Hitachi Energy's manufacturing capabilities in Brazil and enhances the resilience of its supply chain. Expanding local production capacity for strategic components reduces exposure to global disruptions and provides greater predictability in costs, production, and lead times, contributing to faster service for Brazilian and international markets.
The industrial expansion is part of Hitachi Energy’s long-term strategy to expand its presence in Brazil and address the evolving needs of electrical infrastructure, from equipment manufacturing to supporting customers throughout the lifecycle of their assets.
“We are strengthening our local operation in Brazil, combining industrial capacity, technology, components, and services to address the evolving needs of the power system,” says Glauco Freitas, Head of South LATAM and Country Managing Director Brazil at Hitachi Energy. “More than expanding our production capacity, we are building an operation that enables us to be closer to our customers and support them throughout the entire lifecycle of their assets, while further expanding Brazil’s strategic role in our global operations.”
As the next 25 years are shaped by the decisions made today, this investment reinforces Brazil's strategic role in building the technologies and infrastructure needed for a more electrified world.
Hitachi Energy is a global leader in electrification, powering the electricity era to meet the energy demands of today, and the next 25 years. As the energy arm of Hitachi Group, over three billion people depend on our pioneering, mission-critical technologies to power their daily lives. With over a century of innovation, we are addressing the most urgent energy challenge of our time: driving the evolution of the world’s energy system to ensure abundant, secure, affordable, and sustainable power for today’s generation and the next. With an unparalleled installed base in over 140 countries, we are the grid ecosystem partner across the utility, industry, data center, and transportation sectors. Headquartered in Switzerland, we employ over 56,000 people in 60 countries and generate revenues of around $20 billion USD.
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