Strengthening its long-term presence in India, Hitachi Energy India Ltd has announced an investment of ₹1,000 crore in Tamil Nadu to expand its manufacturing facilities and technology capabilities. The investment is aimed at supporting power sector innovation while strengthening India’s transition towards a carbon-neutral and digitally connected energy infrastructure.
The investment will focus on expanding power technology manufacturing and the company’s Global Technology Center in Chennai. The move also positions Tamil Nadu as a key hub for high-voltage equipment, grid automation technologies, and research and development.
Hitachi Energy reported strong financial performance in FY24, with net profit rising 144% year-on-year to ₹113.7 crore. The company also has an order backlog of nearly ₹7,000 crore, reflecting strong demand for its power infrastructure solutions.
The latest investment marks a shift from gradual capacity expansion to establishing a large regional hub in South India. It also increases the company’s focus on technology exports and Global Capability Center (GCC) functions from Chennai.
The company believes the expansion will strengthen India’s manufacturing ecosystem, improve export opportunities, and support the country’s target of achieving 500 GW of renewable energy capacity by 2030.
The investment also reflects the growing trend of multinational companies using India as a manufacturing and technology base under the “China Plus One” strategy. Industry experts believe the move could support long-term revenue growth while improving manufacturing integration.
Hitachi Energy recently expanded its transformer manufacturing facility in Vadodara to meet increasing demand from renewable energy and railway electrification projects. The company continues to benefit from rising investments in transmission infrastructure, high-voltage direct current (HVDC) systems, and grid automation.
However, the company may continue to face challenges such as project execution timelines, fluctuations in raw material prices, and dependence on government-led transmission projects.
With this investment, Hitachi Energy aims to strengthen its role in India’s evolving power sector while expanding its position within the company’s global technology and manufacturing network.
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