ABB has announced a significant $110 million investment earmarked for the United States in 2025, with the goal of expanding research and development alongside the manufacturing of its advanced electrification solutions. This strategic move aligns with changing customer demands for increased energy efficiency, improved uptime, and reduced energy costs. The International Energy Agency (IEA) has highlighted a notable increase in US wholesale electricity prices, with a reported surge of 30-40% in the first half of 2025 compared to the previous year. This shift has underscored the importance of energy cost management and efficiency.
This initiative is expected to generate approximately 200 new jobs, particularly benefiting key sectors such as data centers and the power grid. ABB’s emphasis on advanced electrification solutions comes at a critical juncture, as data centers in the US are projected to experience annual electricity demand growth of over 2% in 2025 and 2026. As part of this expansion, a new production line will be established in Mississippi, specifically dedicated to ABB’s innovative Emax 3 circuit breakers. This cutting-edge technology is designed to protect critical infrastructures, including data centers.
“This $110 million investment in the US is part of our long-term strategy to support future growth in our largest global market,” stated Morten Wierod, ABB’s Chief Executive Officer. “Demand is being fueled by key trends, ranging from the increasing power requirements of AI in data centers to grid modernization and customers’ efforts to enhance energy efficiency and uptime while reducing costs. Our investments will ensure that we can meet the growing demands of customers across North America in line with our local-for-local approach.”
In a bid to focus on innovative technology, ABB is set to invest $15 million in establishing a new production line for the Emax 3 circuit breaker at its Senatobia, Mississippi site. This air circuit breaker is poised to enhance the energy resilience and security of power systems in facilities with substantial power needs. Furthermore, ABB is allocating $30 million to expand its Richmond, Virginia facility. This project will introduce a test center, warehouse, and new assembly lines to cater to data centers, manufacturing plants, and utilities utilizing power protection products to safeguard critical systems.
A commitment exceeding $30 million in Arecibo, Puerto Rico will enhance facility capacity to accommodate three new production lines crucial for the production of technologies that distribute electricity, safeguard equipment, and monitor energy usage within an industrial setting. Lastly, a $35 million investment will bolster ABB’s Pinetops, North Carolina manufacturing facility’s capacity to meet the demand for advanced voltage grid components applicable to utilities, data centers, and industrial establishments.
