Hitachi Energy is building a $479-million transformer insulation factory in London, Ontario, creating over 100 permanent skilled manufacturing and engineering jobs. The project breaks ground amid shifting global supply chains and rising electricity demands across North America.
Groundbreaking Held in London for Transformer Insulation Plant
Federal and provincial officials joined company executives on Friday, Oct. 16, 2026, to break ground on the 226,000-square-foot facility at Huron Street and Veterans Memorial Parkway. The plant will convert more than 20,000 tonnes of wood fibre annually into electric grid pressboard and laminates.
Federal Industry Minister Melanie Joly stated at the news conference that the project strengthens the domestic supply chain and forest sector. Ontario Economic Development Minister Vic Fedeli noted that the facility will be the first transformer pressboard factory in Canada and the largest of its kind globally.
Government Funding and Regional Supply Chain Impacts
Ottawa and the Ontario government are contributing a combined $50 million to the venture. The federal contribution totals $30 million, split between the Strategic Response Fund and Natural Resources Canada. The Ontario government is providing up to $20 million through the Invest Ontario Fund.
Ontario Energy and Mines Minister Stephen Lecce argued that the facility illustrates domestic resilience. “We’re building an end-to-end supply chain made in Canada, made by Canadians and for Canadians, and I think that is the ultimate illustration of success that we can punch back and stand up for the good of Canada,” Lecce said. Carla Vicente of Hitachi Energy Canada emphasized that the factory establishes a manufacturing capability that does not currently exist in the country, replacing European imports with local production.”
Infrastructure Reliability and Construction Timelines
Reliable power infrastructure played a decisive role in the company’s choice of location. Hitachi Energy executives told CTV News London that site easements and access to electrical power were critical to selecting the city. London Mayor Josh Morgan underscored that safe, secure power infrastructure remains vital to attracting major industrial investments.
Construction is underway, but the facility is not scheduled for completion until 2028. Bruno Melles, a senior executive of Hitachi Energy’s Transformers business unit, expressed confidence in the timeline despite potential shifts in economic conditions. The project marks the company’s second major venture in London, following the purchase of Canduct Industries, a manufacturer of transformer cooling equipment.
Project Details
- Total Investment: $479 million CAD, backed by a combined $50 million from federal and provincial governments.
- Facility Size: 226,000 square feet (21,000 square metres) located in London’s Huron Industrial Park.
- Job Creation: More than 100 permanent skilled manufacturing and engineering positions.
- Operational Target: Completion scheduled for 2028.
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