HD Hyundai Electric completes power transformer storage facility

Industry

Published: 28 Jul. 2024, 17:15 Updated: 28 Jul. 2024, 18:04

HD Hyundai Electric completes power transformer storage facility

Executives of HD Hyundai Electric take a photo at a ceremony marking the completion of a construction of a power transformer storage facility in Alabama on July 26. [HD HYUNDAI ELECTRIC]

HD Hyundai Electric completed the construction of a storage facility dedicated to power transformers in Alabama, the Korean company said Sunday.

The 12,690-square-meter (137,000-square-feet) facility can accommodate up to 60 power transformers. With the latest expansion, HD Hyundai Electric will now be able to produce the units in the facility that was previously used for storage.

"The new facility will allow us to ramp up our quality by storing products at optimal conditions as well as maximize our production capacity," said Cho Seok, CEO of HD Hyundai Electric, during a ceremony on Friday. "We will endeavor to strengthen our competitiveness by flexibly responding to the growing demand for power transformers."

The company is also expanding its power transformer plant at home in Ulsan.

The Korean company expects the expansion will boost its revenues by 22 billion won ($16 million) per year.

The global demand for power transformers is on the rise as the demand for electricity is expected to grow at an annual rate of 3.4 percent through 2026, according to data cited from the International Energy Agency.

BY SARAH CHEA [chea.sarah@joongang.co.kr]