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Schneider Electric Investment To Grow U.S. Manufacturing and Create New Jobs

April 07, 2024 by Seth Price

To support the growing demand for critical electrical infrastructure, Schneider Electric will invest $140 million toward building new and upgrading existing U.S. manufacturing facilities.

Schneider Electric continues to increase its manufacturing and infrastructure capabilities in 2024, this time through a $140 million investment in expansion projects. This investment comes directly on the heels of a $440 million investment made in 2020 to construct a 160,000-square-foot manufacturing plant in El Paso, TX, which has been online since the summer of 2023.

 

Schneider Electric’s latest investment will open up hundreds of new manufacturing jobs in the United States

Schneider Electric’s latest investment will open hundreds of new manufacturing jobs in the U.S. Image used courtesy of Schneider Electric

 

Schneider Electric’s 2024 Investment

This latest investment will target several projects across the U.S. and will likely add 750 new manufacturing jobs for the company, including roles as engineers, technicians, and quality control personnel.

The first $85 million is for two separate projects in Tennessee. The rest will go towards smaller upgrades to existing facilities, including data centers and infrastructure. According to Aamir Paul, President of North American Operations at Schneider Electric, “These investments will also support implementation of the Infrastructure and Jobs Act and Inflation Reduction Act by strengthening domestic supply of products critical to boost America’s electrification transformation.”

 

Medium voltage switchgears, like Schneider Electric’s SureSeT system, will be manufactured at the new facilities

Medium voltage switchgears, like Schneider Electric’s SureSeT system, will be manufactured at the new facilities. Image used courtesy of Schneider Electric

 

Locations and Products

An existing 500,000-square-foot building in Mt. Juliet, TN, will be transformed into a modern manufacturing facility. The building will begin shipping products sometime in mid-2024 and be fully operational in 2025. Schneider Electric is also expanding production capabilities at a manufacturing plant in Smyrna, TN. 

Both manufacturing plants will feed the ever-growing need for switchgear, data centers, and other electrical distribution products. This is in response to the rapid growth in the transportation industry's electrification and the drive to smarter, more sustainable energy distribution. Part of this growth has also been in response to increasing production in the U.S. to strengthen supply chains that can be threatened by geopolitics abroad.

The growth of the data center equipment market is driven in part by the use of artificial intelligence (AI). The amount of computing power required to answer even the most basic questions is staggering. In order to make the best use of the available power, data centers must themselves use as little power as possible.

 

Schneider Electric is not only building new manufacturing plants, but also upgrading existing facilities to meet growing electrification demands
Schneider Electric is not only building new manufacturing plants, but also upgrading existing facilities to meet growing electrification demands. Image used courtesy of Schneider Electric

 

Growing Critical Infrastructure

Besides the two manufacturing plants, Schneider Electric will add various technology upgrades to its other existing manufacturing plants and distribution centers. In particular, upgrades will be added to the Lexington, KY; Lincoln, NE; Mechanicsburg, PA; and Middletown, PA, facilities. 

All of these, plus the new manufacturing capabilities, are pushing the boundaries of smart manufacturing and logistics. While capabilities are increasing, Schneider Electric is committed to shrinking its own carbon footprint. Energy optimization is not just an external goal for selling their products, but something they also strive to do internally as well.