Siemens Investing $500M in Manufacturing for Critical Infrastructure

This will support battery, semiconductor, rail transportation, and other markets.

Posted by Staff

November 6, 2023

2 Min Read
Siemens investing $500M in US infrastructure
The investment includes Dallas-Fort Worth production of critical electrical infrastructure equipment to help power US data centers and accelerate adoption of AI.Image courtesy of Siemens

Siemens is making the $500 million investment in US manufacturing for critical infrastructure in 2023. This includes:

  • Total US investments to support high-growth markets like data centers, batteries, semiconductors, EV charging and rail transportation

  • New $150 million investment in Dallas-Fort Worth production of critical electrical infrastructure equipment to help power US data centers and accelerate adoption of artificial intelligence

  • Already announced: $220 million rail manufacturing plant to bolster US infrastructure and mobility

  • All investments to create a total of around 1,700 jobs in the US

  • Part of €2 billion global investment strategy to boost growth, innovation, and resilience

The $150 million investment in a new high-tech manufacturing plant in Dallas-Fort Worth will help power American data centers and critical infrastructure. This plant will produce state-of-the-art reliable and efficient electrical equipment.

It will enable accelerated growth of US data centers, which is being driven by the adoption of generative AI. It will also ensure secure operation of critical infrastructure. This investment specifically supports long-term customers in the data center space, where demand is expected to grow by around 10% annually through 2030. 

“There’s never been a better time to invest in critical electrical infrastructure and green mobility to support the backbone of America’s economy. The hardware and software we offer — produced through our expanded US manufacturing presence — will ensure that growing industries can meet demand while continuing to make progress in decarbonizing operations,” said Roland Busch, president and CEO of Siemens AG. “With this latest step, Siemens is delivering on its €2 billion global investment strategy for 2023 to boost growth, innovation and resilience.”

As part of these investments, Siemens announced a US$220 million investment in a new rail manufacturing facility in Lexington, North Carolina, earlier this year. Construction of this facility is now underway. In addition, the company is investing in two electrical-products manufacturing plants in Grand Prairie, Texas, and Pomona, California. These projects bring the overall investment in the U.S. this year to US$510 million, which will create 1,700 jobs at Siemens as a result.

The new Fort Worth facility and the Grand Prairie and Pomona extensions will meet booming demand for the electrification of critical infrastructure — in other words, data centers, battery plants, semiconductor facilities, and EV charging. Production at the new facility in Fort Worth is expected to start in 2024, with full operation in 2025. This factory will be built and operated using Siemens advanced manufacturing tools, including digital twin technology and high-tech automation to ensure the highest quality, efficiency and sustainability levels. The Siemens Xcelerator portfolio will be used to capture and analyze data from the shopfloor on production and product performance in real time.

In June 2023, Siemens announced its global investment strategy in new high-tech factories, innovation labs and education centers to expand leadership in digitalization, automation, electrification and sustainability. As part of this strategy — which totals around €2 billion — Siemens has disclosed investments in regions such as China, Southeast Asia, Europe, and the US.

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