Schneider Electric: Energy Core to Supply Chain Investment
In a strategic effort to reinforce its North American supply chain, Schneider Electric is investing more than US$700m to bolster US operations by 2027.
The investment aims to enhance energy infrastructure, support domestic manufacturing and meet increasing demand for AI technologies.
This initiative, spurred by a surge in demand from the data centres, utilities and industrial sectors, marks Schneider Electric's most substantial capital investment in its 135-year history in the US.
This move is an extension of their previous investments in 2023 and 2024, elevating their total US commitment to more than US$1bn this decade.
The funds will primarily be channelled into expanding factories and creating job opportunities, a response to the rising customer demand for energy-efficient solutions, industrial automation and grid reliability.
"This investment supports growing demand for digitalisation, automation and manufacturing, and includes upgrades, expansions and new facilities across the US," explains Agustin Lopez Diaz, North America Supply Chain Officer at Schneider Electric.
Agustin said manufacturing in the US had entered an "exciting moment" and that Schneider was demonstrating a "deep commitment to continuing to bolster our supply chain in North America".
Expanding operations and creating jobs
Schneider Electric's investment is poised to generate more than 1,000 new jobs across its various facilities.
The company is focusing on augmenting its workforce by hiring veterans and retiring US service members, offering roles across manufacturing, engineering, development and technical analysis fields.
Aamir Paul, President of North America Operations at Schneider Electric, lifts the lid on the organisation's bold capital commitment: "We stand at an inflection point for the technology and industrial sectors in the US, driven by incredible AI growth and unprecedented energy demand. To lead the transformation ahead, we must be agile and act now to advance ambitious digitalisation and efficiency goals to make an impact for generations to come.
"This announcement is another milestone in our responsible investment strategy at Schneider Electric, underscoring our steadfast commitment to US manufacturing, our unwavering belief that jobs and technological innovation will thrive together and making a critical impact for our customers across the growing energy and automation sectors in the US."
Industry leaders have responded positively to Schneider's investment.
Jay Timmons, President and CEO of the National Association of Manufacturers (NAM), called it a "clear sign that manufacturing in America is moving forward—driving economic growth, innovation and job creation across the country."
He added: "By expanding their operations with a focus on energy security, automation and AI, Schneider Electric is not only strengthening America's competitiveness but also creating new opportunities and powering our nation's future."
Facility expansions across the US
Schneider Electric is actively upgrading and modernising numerous manufacturing sites to keep up with the increasing energy demands, particularly from data centres and AI-oriented applications.
Significant facility investments include:
- Mt. Juliet, Tennessee: A new plant next to the existing site aims to solidify its position in the medium voltage market and introduce innovative products
- Andover, Massachusetts: Establishment of a new power distribution unit laboratory to test power systems for AI data centres, along with a microgrid laboratory for simulated real-world conditions
- Columbia, Missouri: Additional space allocated to boost production of circuit breakers
- Fairfield, Ohio: Modern technologies and software upgrades in an existing facility will foster new product development
- El Paso, Texas: An expansion project on the current campus to enhance the production of switchgear and power distribution equipment
- Houston, Texas: Launch of an Innovation Centre in the US energy corridor, specialising in AI-driven automation solutions and end-to-end asset monitoring
- Raleigh, North Carolina: The new Robotics & Motion Centre of Excellence will focus on developing AI-enhanced robotics and motion control products for industrial scenarios
- Welcome, North Carolina: Facility upgrades to support switchgear and power distribution product manufacturing for critical infrastructure.
Strengthening the grid and digital innovation
Apart from facility enhancements, Schneider Electric is dedicating efforts towards grid modernisation through its One Digital Grid Platform, an AI-powered software solution designed to optimise grid performance.
Furthermore, the firm has become a part of the EPRI’s DCFlex initiative, a research collaboration aimed at integrating data centres with the electrical grid to enhance asset efficiency.
These strategic moves were announced during Schneider Electric’s participation in the DISTRIBUTECH 2025 conference in Dallas, reaffirming the company's dedication to US energy resilience and automation advancements.
As Schneider Electric continues to influence the energy landscape, North America remains its largest market, generating 36% of its revenue in 2024 and employing more than 21,000 people.
Schneider technologies impact a substantial portion of the global infrastructure, including Fortune 500 companies, US households, global hospitals and water facilities worldwide.
Debra Phillips, President and CEO of the National Electrical Manufacturers Association (NEMA), emphasises the importance of the investment: "America’s electrical system will face unprecedented rising energy demand in the coming decade driven by data centres and AI.
"Schneider Electric's historic investment of more than US$700m across its domestic operations over the next two years is indicative of the critical role electrical manufacturers play in meeting this new demand and powering an electric future."
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