Newsroom / Press release
Vale Systems to add a second power transformer line at Carver Point
$140 million investment raises annual large power transformer capacity from 60 to 105 units. First units from the new line are expected in the second half of 2027.
CARVER POINT, September 29, 2026 — Vale Systems today announced a $140 million investment in a second production line for large power transformers at its Carver Point plant. The line will raise the plant’s annual capacity from 60 to 105 units rated between 60 and 300 MVA. Vale expects the first units from the new line in the second half of 2027 and full output in 2028.
The expansion adds a winding hall, a vapor-phase drying oven and a second high-voltage test bay. Test capacity has been the main limit on output at Carver Point, and the second bay roughly doubles the number of units the plant can test each month. Vale will hire about 220 people over two years, including winders, test technicians and design engineers.
“Demand for large transformers from utilities, new industrial loads and storage developers has grown faster than the industry’s capacity to build and test them,” said Martin Albrecht, chief executive of Vale Systems. “Our quoted lead times for main power transformers currently range from 12 to 18 months. This line will not change that overnight, but it is the largest addition to our transformer capacity in twenty years.”
Storage projects are a growing share of Vale’s transformer orders. Each utility-scale battery project needs one or two main power transformers at its substation, and developers often place those orders only after their interconnection agreement is signed.
“For our storage customers, the transformer has replaced the battery as the longest lead item,” said Tomás Reyes, vice president of supply chain. “We will keep offering slot reservations so developers can secure a production window before their agreement is final, and we will publish lead times by rating so they can plan around them.”
Vale has signed a multi-year agreement with a domestic electrical steel producer covering the core steel needs of the new line. Site preparation began in August. Vale will publish its next storage equipment supply outlook, including updated transformer lead times, in October.
About Vale Systems
Vale Systems manufactures power transformers, switchgear and integrated battery enclosures for utilities and energy developers. The company employs about 2,400 people at three US plants.
Media contact: press@valesystems.example