Hitachi Energy, a global leader in electrification, has announced an investment of approximately INR 2,000 crore to establish a new Large Power Transformer (LPT) manufacturing facility in Karjan, Vadodara, Gujarat. The investment follows the company’s recent announcement during Hitachi Energy India Limited’s FY26 Q4 results and reinforces its long-term commitment to expanding its manufacturing capabilities in India.
The new facility builds on Hitachi Energy’s 77-year presence in the country and is aimed at addressing the rapidly growing demand for electricity infrastructure both in India and across global markets.
According to the Central Electricity Authority (CEA), India will require investments of nearly INR 7.93 lakh crore in transmission infrastructure to integrate more than 900 GW of non-fossil fuel-based energy by 2035. At the same time, increasing grid expansion, rising data center capacity, and accelerating industrial electrification are driving significant demand for Large Power Transformers.
Against this backdrop, Hitachi Energy’s planned manufacturing expansion is expected to strengthen domestic production capabilities, improve the availability of high-quality power equipment, and support the development of a more resilient and self-reliant energy ecosystem. The new facility will also help meet the growing requirements of utilities, renewable energy projects, and industrial customers as India advances its energy transition and grid modernization efforts.
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.
“This investment reflects our confidence in India’s energy future and the country’s growing stature as a strategic manufacturing base. By expanding our manufacturing presence, we aim to empower local communities, create skilled jobs, and deliver innovative solutions that support the country’s energy and sustainability goals” stated N. Venu, Managing Director & CEO, Hitachi Energy India Ltd.
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.
“India is one of the fastest-growing energy markets globally. This new factory will strengthen our ability to serve customers locally while contributing to the nation’s self-reliance and infrastructure development”, states Bruno Melles, CEO Transformers Business Unit, Hitachi Energy.
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.
