Hitachi Energy to Build $479 Million Factory in Ontario

Hitachi Energy announced a $479-million plan to construct a transformer insulation factory in London, Ontario, in partnership with the federal and Ontario governments. The 21,000-square-metre facility is scheduled for completion by the end of 2028 and will be the first in Canada and the Americas to produce pressboard, a paper pulp material essential for cooling transformers.

While Hitachi is providing the majority of the funding, the federal government is contributing $30 million through the strategic response fund and Natural Resources Canada, and the Province of Ontario is providing up to $20 million via the Invest Ontario Fund. The project is expected to create 100 permanent skilled jobs.

The investment responds to unprecedented growth in electricity demand driven by industrial expansion, the transition to renewable energy, and the rise of artificial intelligence data centers. This initiative aligns with Prime Minister Mark Carney's national strategy to double the Canadian electricity grid by 2050.