German energy giant to create hundreds of new jobs across North Carolina
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Rendering of the Siemens Energy power transformer manufacturing facility that'll be in Charlotte. Rendering courtesy of Siemens Energy
Siemens Energy, which spun off from German-based tech entity Siemens in 2020, plans to add 559 jobs across Mecklenburg and Wake counties, Gov. Roy Cooper announced Tuesday.
- As part of the project, the energy technology company will establish its first power transformer manufacturing facility in the U.S. in Charlotte's Steele Creek area. This will be an expansion at its current facility on Westinghouse Boulevard.
Why it matters: 475 of the jobs Siemens Energy is adding will be in Charlotte; 84 jobs will be in Raleigh. The state will provide nearly $10 million in incentives over 12 years to Siemens Energy if the company meets its hiring and investment targets.
- Siemens Energy is expected to invest a total of $149.8 million into the project statewide.
The big picture: Siemens has operated in Charlotte for more than five decades. The German giant manufactures steam turbines and electrical generators for energy firms at its local plant.
- In the Triangle, Siemens has a manufacturing and R&D hub in Wake County for electric vehicle charging technology. It also has a presence in Cary following its recent acquisition of the software company Brightly.
- North Carolina competed with Kansas for Siemens' latest project, CBJ reported.
Of note: North Carolina Railroad Company will contribute $100,000 to the project in Charlotte through its economic development initiative NCRR Invests, which will be used to upgrade the existing industry track.
Yes, but: Incentive agreements don't always work out as planned.
- Since 2003, when the state began awarding Job Development Incentive Grants, 164 companies have exited their agreements early, as the News & Observer reported.
By the numbers: The average salary for new positions in Mecklenburg County will be $87,036. The county's current average salary is $84,797, per the Governor's office.
- More than 1,250 of the company's roughly 10,000 U.S. employees are based in Charlotte.
What they're saying: "Bringing production of these high voltage transformers onshore not only creates American jobs but makes our electric grid more resilient and ready for the transition to clean energy," Cooper said in a statement.
What's next: Factory construction will begin this year and the first transformers will be manufactured in early 2026, a Siemens Energy spokesperson tells Axios.
Editor's note: This story has been corrected to reflect that Siemens Energy is a separate company from Siemens as of 2020.