Why ABB is Investing Millions to Expand its US Manufacturing

ABB has announced plans to invest US$120m in its US manufacturing operations to bolster production capacity for low voltage electrification products.

This move aims to address growing demand across crucial industries, including data centres, buildings and utilities. As part of this investment, ABB will create 250 new jobs across two locations:

1. A new advanced manufacturing facility in Selmer, Tennessee, will provide 50 new positions.

2. ABB's existing plant in Senatobia, Mississippi, will be expanded to accommodate 200 additional employees.

These developments reflect ABB’s ongoing commitment to enhancing its presence in the US, its largest global market.

ABB’s investment includes an US$80m allocation for a brand-new, 320,000 sq. ft. facility in Selmer, Tennessee, which will replace the current operations in the area.

This new site is expected to increase production capacity by over 50%, producing vital electrical distribution equipment for large-scale industrial and technology-driven facilities, such as data centres, factories and high-rise residential and office buildings.

The new Selmer factory will specialise in manufacturing busway and bus plug products, which simplify power distribution, enabling businesses to expand or reconfigure their power systems with ease.

Operations at the facility are set to commence in the fourth quarter of 2026, with 50 additional skilled workers joining ABB’s workforce, marking a 25% increase in personnel at the Selmer location.

in Senatobia, Mississippi, ABB will invest US$40m to double the size of its existing facility to support the rising demand for advanced low voltage circuit breakers.

These products play a crucial role in ensuring reliable power distribution for expanding data centres, advanced manufacturing plants and renewable energy microgrids.

This expansion will also cater to customers seeking to modernise ageing power infrastructure.

When the expanded site begins operations in the second quarter of 2026, the workforce at the Senatobia facility will exceed 1,000 employees.

“Demand is increasing steadily for advanced electrification technologies, driven by growth in key sectors including data centers and utilities," says Morten Wierod, ABB’s Chief Executive Officer.

"Today’s announcement will support our future growth in the US, ABB’s largest global market.

“Our new facilities in Selmer and Senatobia will keep our US customers at the cutting edge of the energy transition, and help them meet their performance, productivity and energy efficiency goals.”

Continuing investment in the US

ABB’s latest investment follows a trend of substantial spending in its US operations.

Over the past three years, the company has allocated more than US$500m towards expanding its manufacturing capabilities in the region.

Notable projects include the opening of a US$100m manufacturing and innovation facility for industrial electric drives in New Berlin, Wisconsin, in October 2024.

In addition, a new US$40m factory in Albuquerque, New Mexico, is slated to open in April 2025, focusing on power grid resilience and hardening technologies.

All newly established ABB sites incorporate state-of-the-art digital and renewable energy solutions, prioritising sustainability, energy efficiency and emissions reduction.

In 2024, ABB's revenue in the US reached nearly US$9bn, contributing approximately 27% to the group’s total revenue.

With a workforce of around 17,000 employees and nearly 40 manufacturing, distribution and operational facilities across 20 states, the manufacturer has a significant presence in the country.

Since 2010, ABB has invested over US$14bn in capacity expansion projects and mergers and acquisitions within the US.

Today, an estimated 75-80% of the ABB products sold in America are manufactured domestically, reinforcing the company’s dedication to supporting local industries and enhancing supply chain resilience.

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