ABB Invests $200 Million in Europe to Revolutionize Power Grid Technology

ABB's $200 Million Investment in Europe

ABB, a leader in electrification and automation, has unveiled plans to invest approximately $200 million in high-voltage and special high-voltage equipment manufacturing capabilities throughout Europe over the next three years. This strategic investment aims to expand production capacity, accelerate the transition to next-generation distribution technology, and strengthen supply reliability for customers involved in power, general industry, and the rapidly growing data center market.

According to the International Energy Agency (IEA), the share of electricity in final energy consumption is forecasted to rise from approximately 20% to 30% by 2030. This highlights the urgency and scale of expanding power grids. "With this $200 million investment, ABB aims to bolster its high-voltage and special high-voltage equipment manufacturing and technology capabilities in Europe to support customers adapting to increased power demand and evolving grid requirements," stated ABB CEO Morten Wierod. "Demand is being driven by key structural trends such as grid modernization, integration of renewable energy, growth in the data center market, and a shift towards more sustainable technologies. This investment will enable us to increase production capacity, enhance supply capabilities, and shorten delivery times, further helping customers in Europe and globally adapt to the changing energy landscape."

Investment Focus Across Europe

This investment will enhance ABB's supply chain for critical products such as high-voltage and special high-voltage switchgear and grid automation technologies. Specifically, $100 million will be allocated to establish a new manufacturing facility in Dalmine, Italy, designed to meet the increasing demand for air-insulated and SF6 gas-free switchgear and circuit breakers. An additional $100 million will be invested in production capacity expansion projects across Bulgaria (Rakovski), Finland (Vasa), Germany (Ratingen), Norway (Sien), and Poland (Pżasznysz). These expansions are aimed at increasing the production of gas-insulated switchgear (GIS), vacuum interrupters, and protective relays that promote reliable and stable distribution.

This program follows recent investments made in the UK and Hungary. In Hungary, approximately $15 million has been invested in enhancing research and development and manufacturing capacity for connector technology. This enhancement aims to improve the reliability of high-voltage and special high-voltage distribution networks, as well as strengthen ABB's portfolio of grid resilience solutions for power and renewable energy customers.

In Nottingham, UK, around $35 million was invested to expand production capabilities for grounding and lightning protection technologies. These enhancements will strengthen the supply capabilities for solutions that protect critical infrastructure, buildings, data centers, and communication and transportation networks from lightning strikes and surges.

These initiatives reflect ABB’s commitment to establishing a reliable manufacturing framework for technologies that connect and protect the evolving power grid.

ABB's Vision for the Future

ABB is dedicated to building a more sustainable and resource-efficient future. By combining engineering and digital expertise, the company enhances industrial performance and improves efficiency, productivity, and sustainability. This commitment is encapsulated in ABB's motto: "Engineered to Outrun." With a history spanning over 140 years, ABB employs more than 110,000 people worldwide and is listed on the Swiss stock exchange (ABBN) and Nasdaq Stockholm (ABB). For more information, visit www.abb.com.