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Hitachi funds first transformer pressboard line for Canada. October 19, 2026 Part of a US$2bn US supply chain investment, Hitachi's Ontario plant brings critical production capabilities to Canadian transformer manufacturing Hitachi Energy has announced its plans to establish a 21,000 square meter Transformer Insulation Factory in Ontario, Canada, for the production of critical grid components. The CAD$479m (around US$330m) investment will institute Canada's first manufacturing line for insulation pressboard, a key material used to support transformer performance. "We're addressing a critical supply chain challenge while helping build a stronger foundation for the future of transformer manufacturing," says Helmut Bockshammer, Global Product Group Manager for Insulation & Components at Hitachi, in a LinkedIn post. "The quality, consistency, and availability of transformer insulation directly influence performance, reliability, and the ability to deliver transformers to the market when they are needed most,". Hitachi's Canadian investment at a glance: * The electrical manufacturing giant will invest around US$330m into a Transformer Insulation Factory in London, Ontario. * It will manufacture electrical insulation pressboard and laminates for power and distribution transformers. * The site will represent Canada's first pressboard manufacturing line and Hitachi's first in North America. * The factory is expected to be completed in 2028. * Hitachi Energy states it intends to invest more than US$2bn into boosting the North American supply chain, delivered through 2027. About Hitachi's landmark grid components facility. Hitachi's planned Transformer Insulation Factory will manufacture electrical insulation pressboard and laminates: essential components used to support transformer performance, electrical insulation and cooling. Its anticipated annual output could reach up to 20,000 tonnes of insulation material. The facility will establish a North American production base for key electrical materials, filling a pressing gap in domestic transformer component supply chains. Hitachi's US$330m investment is met by a combined CAD$50m (US$35.4m) in public funding from Natural Resources Canada, the Invest Ontario Fund, and Canada's Strategic Response Fund. "In the face of global economic uncertainty, our government continues to foster the competitive conditions needed for global companies to confidently expand their presence in Ontario and invest in long-term projects," says Vic Fedeli, Ontario's Minister of Economic Development, Job Creation and Trade. Hitachi projects the planned facility will open more than 100 positions for skilled workers. Its production is anticipated to raise demand for Canada's forest-products sector, within a new high-value market. Additionally, the factory is expected to supply Hitachi's existing transformer operations in Vareness, Quebec, as well as wider North American markets, turning London, Ontario into a potential upstream supply hub. "We are proud to stand as a partner to Hitachi Energy's latest investment, which will create new, high-value jobs for local workers and further position Ontario as a central hub for advanced manufacturing projects powering the economy and future." Targeting a North American manufacturing bottleneck. The investment comes as Canadian electricity networks face rising demand from industrial electrification, renewable energy projects, data centres and the refurbishment of aged infrastructure. Transformers are essential to transmitting and distributing electricity at different voltages, making manufacturing capacity a critical part of grid expansion. However, additional transformer assembly capacity alone cannot resolve shortages if manufacturers cannot secure the specialised materials and components needed to complete production. Research from McKinsey describes a transformer market in which demand is outpacing supply. Its analysis projects global transformer demand to grow by around 3.5% annually, increasing by around 40% by 2035. Under its National Electricity Strategy, announced in May 2026, the Canadian federal government has set an ambition to double the country's electricity grid capacity by 2050. It estimates modernising and expanding its national electricity system could require more than CAD$1tn (US$709.3m) in investment. "Delivering that growth will require a stronger domestic supply chain," says Carla Vicente, Managing Country Director at Hitachi Energy Canada. Hitachi is positioning its planned Ontario facility as part of the domestic industrial base required to deliver that expansion. For local manufacturers and infrastructure buyers, the Transformer Insulation factory establishes a previously unavailable domestic production capability, with the potential to bolster supply chain resilience for critical transformer production. "This investment supports that ambition by bringing new manufacturing capacity for a critical transformer component to Canada and helping build the infrastructure that will power Canadian communities, industries and economic growth for generations to come," says Carla. Hitachi's US$2bn US supply chain commitment. The London project is one part of a wider regional strategy. Hitachi Energy has committed to investing more than US$2bn across North American supply chains through 2027. In Canada, its expansion programme includes a CAD$270m (around US$191.5m) investment at its transformer manufacturing facilities in Varennes, Québec. The planned developments could nearly triple large power transformer production capacity, Hitachi says. The company has also acquired London-based Canduct, which manufactures transformer insulation kits and components. The electrical solutions giant has also launched a bundle of developments to strengthen its US footprint: * A US$100m carbon-neutral railcar factory in Maryland, which began operations in September 2025. * A combined US$198m expansion to existing transformer and components facilities in Tennessee, Virginia and Pennsylvania. * A US$457m power transformer plant in Virginia announced in September 2025, which Hitachi states is the US' largest. * The establishment of a Power Electronics Centre of Competence for engineering, testing and system integration in North Carolina, announced in April 2026. * A new transformer manufacturing facility in Mississippi, announced in September 2026, for US$528m: Hitachi's largest US investment in its history. These investments cover different stages of the production process, from specialist insulation materials and components to large power transformers. "At Hitachi Energy, we are investing not only in manufacturing capacity but also in the infrastructure that underpins the future of energy," says Helmut. "As electricity demand continues to rise, we are taking decisive action to ensure the industry has the materials and capabilities needed to build the grids of tomorrow." Key companies. Rockwell Automation: Rockwell Automation is a US industrial automation and digital transformation company. In October 2026, it announced a collaboration with Hitachi Energy centred on an integrated grid-to-process architecture. The partnership combines Hitachi Energy's grid connection, power quality, protection and energy-management expertise with Rockwell's process automation and digital operations capabilities, initially targeting mining and metals customers. Microsoft: Microsoft is a global software and cloud technology company. Hitachi Energy is working with Microsoft to reinvent its Ellipse Enterprise Asset Management platform using Dynamics 365, Microsoft Fabric, Microsoft 365 Copilot and Microsoft Foundry. The collaboration integrates asset data, analytics and business operations to improve visibility and maintenance of critical infrastructure, building on the Hitachi-Microsoft strategic alliance announced in 2024. Southwest Power Pool: Southwest Power Pool (SPP) is a US regional transmission organisation and grid operator. It has partnered with Hitachi on a complete grid-management solution combining Hitachi Energy's energy portfolio management assets with Method's design services and GlobalLogic's software engineering. The collaboration supports SPP's operational and planning systems across its regional transmission network. Executives. * Carla Vicente Country Managing Director - Hitachi Energy Canada Inc. * Helmut Bockshammer Senior Vice President, Head of Global Product Group - Insulation & Components, BU Transformers Company Portals

Hitachi Energy plans more than $330 million Ontario insulation plant. The 21,000-square-meter facility is expected to produce up to 20,000 metric tonnes of insulation materials annually and create more than 100 skilled jobs. Published Oct 16, 2026, 10:39 PM EDT Hitachi Energy plans to invest more than $330 million in a transformer-insulation factory in London, Ontario, bringing electrical-grade pressboard production to Canada and adding capacity for manufacturers in North America and global markets. The company announced the project Friday, Oct. 16, and expects the facility to be completed by 2028. The planned 21,000-square-meter factory would make up to 20,000 metric tonnes of electrical-grade pressboard and laminated insulation materials each year. Pressboard insulates components inside high-voltage transformers and supports their cooling process. The project would bring pressboard production to Canada and mark Hitachi Energy's first such operation in the Americas. Production is expected to supply the company's transformer operations in Varennes, Quebec, along with other transformer and insulation manufacturers in North America and worldwide. Hitachi Energy expects the factory to create more than 100 permanent skilled jobs. It is planned for London's Huron Industrial Park. The federal government announced support through the Strategic Response Fund and the Investments in Forest Industry Transformation program. Ontario offered support through the Invest Ontario Fund, conditional on a definitive funding agreement. Electricity demand is being driven by grid modernization, electrification, renewable-energy deployment and data-center expansion. The factory is intended to add manufacturing capacity for materials used in high-voltage transformers, which are part of electricity systems. Helmut Bockshammer, Hitachi Energy's global product group manager for insulation and components in its Transformers business, said the project would "help address one of the most critical bottlenecks in transformer manufacturing." Hitachi Energy has tied the London project to a broader North American supply-chain investment program exceeding $2 billion over the period ending in 2027. John Kim. John Kim reports on the digital-asset business for TokenPost. Send corrections or tips to [email protected].

Hitachi announces $479M plan to build transformer insulation factory in London, Ont. Hitachi Energy and the federal and Ontario governments have announced a $479-million plan to build a new transformer insulation factory to help meet skyrocketing demand from data centres, green energy and industrial development. "All those investments are creating more demand for components, and transformers are a major element in the customer energy chain," Bruno Melles, chief executive of Hitachi's transformers business unit, said in an interview ahead of Friday's announcement in London, Ont. "Because in every place where there is power generation and in every place where there is a connection, there is a transformer." The 21,000-square-metre facility would be the first in Canada to produce pressboard - a material made from paper pulp that's key to keeping transformers cool - and the first Hitachi would establish in the Americas. Currently in Canada that material sourced from Europe, Melles said. Construction is set to be complete by the end of 2028 and the project is expected to create 100 permanent skilled jobs. Hitachi is shouldering the bulk of the investment, with the federal and Ontario governments collectively contributing $50 million. Of that, $20 million is through the federal strategic response fund, $10 million is from Natural Resources Canada and up to $20 million is through the Invest Ontario Fund. The power industry has been dealing with supply chain challenges as electricity demand booms. The factory aims to ease at least one of the big pinch points. "Today we are in a situation where the industry for transformer manufacturing is going at a very high speed, but not all the industrial parts are going at the same speed," Melles, who is based in Zurich, said. "This is why we want to give a strong message to the market and say, 'We want to be an integral part of the supply chain resilience and we are going to invest in order to ensure that the market is not going to have any shortage.'" In May, Prime Minister Mark Carney announced Canada's new electricity strategy, which aims to double the country's electricity grid by 2050. "Electricity demand in Canada is growing at an unprecedented pace, something we've never seen before," said Carla Vicente, managing director of Hitachi Energy's Canadian division, in an interview. "By ensuring that we have this factory operational by the end of 2028, we will be able to respond to the higher needs and demand for the transformers that are an essential part of anything that we want to do to be able to electrify." Building new infrastructure has been a key focus for Carney's government, and several power and transmission projects have been referred to the major projects office for a streamlined review.