ABB Invests $200 Million Across Europe To Expand Medium-Voltage Manufacturing

By Amit Chowdhry • Today at 12:21 PM

ABB has announced a $200 million investment in its medium-voltage manufacturing capabilities across Europe over the next three years, aimed at expanding production capacity, accelerating the transition to next-generation power distribution technologies, and strengthening supply for customers modernizing their power infrastructure.

The program spans facilities in Italy, Bulgaria, Finland, Germany, Norway, and Poland, and is designed to meet rising demand from utilities, industry, and the rapidly growing data center market.

The largest single commitment is a $100 million investment in a new facility in Dalmine, Italy, to support growing demand for air-insulated and SF6-free switchgear and breakers. The remaining $100 million will fund capacity expansion projects across factories in Rakovski, Bulgaria; Vaasa, Finland; Ratingen, Germany; Skien, Norway; and Przasnysz, Poland, scaling production of gas-insulated switchgear, vacuum interrupters, and relays to enable more reliable and resilient power distribution. The program builds on recent investments in ABB’s UK and Hungary operations, including a $35 million expansion in Nottingham for earthing and lightning protection technologies and a $15 million investment in Kecskemét, Hungary, for connector technologies.

The investment comes as electricity demand continues to climb globally, with the International Energy Agency projecting electricity’s share of final energy consumption to rise from around 20% today to nearly 30% by 2030. ABB said the investment is being driven by major structural trends including grid modernization, the integration of renewables, data center growth, and the transition to more sustainable technologies. Key products being scaled include SF6-free switchgear, which eliminates the use of a potent greenhouse gas traditionally used in electrical insulation, as well as grid automation products for global markets.

ABB, which has more than 140 years of history and approximately 110,000 employees worldwide, said the European manufacturing investment reflects its broader focus on building resilient production capabilities for technologies that connect and protect the evolving grid. The Zurich-based company’s shares are listed on the SIX Swiss Exchange and Nasdaq Stockholm.

KEY QUOTE:

“This $200 million investment will strengthen ABB’s medium-voltage manufacturing and technology capabilities in Europe and support customers as electricity demand increases and the grid evolves. Demand is being driven by major structural trends, from grid modernization and the integration of renewables to data center growth and the transition to more sustainable technologies. These investments will help us expand capacity, improve availability, and shorten lead times for customers in Europe and beyond, empowering them to adapt to the changing energy landscape.”

Morten Wierod, Chief Executive Officer, ABB