Schneider Electric Commits to Boosting US Supply Chain
Schneider Electric will invest more than US$700m in its US operations until 2027, with a focus on meeting rising demand from data centres and supporting the development of AI across North America.
The investment represents Schneider Electric's largest capital commitment in its 135-year US history and also builds upon its previous investments in 2023 and 2024. This brings the company's total US investment to more than US$1bn since 2020.
Funds from this pledge will go to supporting factory expansions and workforce development, responding to customer requirements for energy-efficient solutions and grid reliability in the face of increased AI adoption.
“This investment supports growing demand for digitalisation, automation and manufacturing and includes upgrades, expansions and new facilities across the US,” says Agustin Lopez Diaz, North America Supply Chain Officer at Schneider Electric.
Agustin notes that manufacturing in the US has entered an “exciting moment” and states that the company is demonstrating a “deep commitment to continuing to bolster our supply chain in North America."
Expanding US operations via an ‘AI testing lab’
The investment plan includes the creation of a new power distribution unit laboratory in Andover, Massachusetts, dedicated to testing power systems for AI data centres. This will be accompanied by a microgrid laboratory for real-world simulations at the same location.
Schneider Electric will also expand its Mt. Juliet, Tennessee site with a new plant to strengthen its position in the medium voltage market and introduce new products for the data centre sector.
- Mt. Juliet, Tennessee – A new plant adjacent to the company’s existing site to strengthen its position in the medium voltage market and introduce new products.
- Andover, Massachusetts – A new power distribution unit laboratory to test power systems for AI data centres, along with a microgrid laboratory for real-world simulations.
- Columbia, Missouri – Additional space to increase production of circuit breakers.
- Fairfield, Ohio – Modernisation of an existing facility with advanced manufacturing technologies and software for new product development.
- El Paso, Texas – Expansion of the current campus to increase production of switchgear and power distribution equipment.
- Houston, Texas – Opening of an Innovation Centre in the US energy corridor, providing AI-driven automation solutions and end-to-end asset visibility.
- Raleigh, North Carolina – A new Robotics & Motion Centre of Excellence to develop AI-enhanced robotics and motion control products for industrial use.
- Welcome, North Carolina – Upgrades to support the production of switchgear and power distribution products for critical infrastructure.
Aamir Paul, President of North America Operations at Schneider Electric, explains the company's decision: “We stand at an inflection point for the technology and industrial sectors in the US, driven by incredible AI growth and unprecedented energy demand.
“To lead the transformation ahead, we must be agile and act now to advance ambitious digitalisation and efficiency goals to make an impact for generations to come."
The expansion is expected to create more than 1,000 jobs across Schneider's US facilities, with roles spanning across manufacturing, engineering, development and technical analysis sectors.
Expanding its North American market
Beyond physical infrastructure investments, Schneider Electric is developing its One Digital Grid Platform, an AI-powered software solution designed to help utilities optimise grid performance in response to increased data centre power demands.
The company has also joined EPRI's DCFlex initiative, a research collaboration focused on integrating data centres with the electrical grid to improve asset efficiency.
These announcements were made during Schneider Electric's participation in the DISTRIBUTECH 2025 conference in Dallas, highlighting the company's focus on US energy resilience and automation systems.
“By expanding their operations with a focus on energy security, automation and AI, Schneider Electric is not only strengthening America's competitiveness but also creating new opportunities and powering our nation's future,” says Jay Timmons, President and CEO of the National Association of Manufacturers (NAM).
North America remains Schneider Electric's largest market, generating 36% of its revenue in 2024. The company operates more than 20 smart factories and distribution centres across the US, employing more than 21,000 people.
- 40% of Fortune 500 companies
- Four in 10 homes in the US
- 40% of global hospitals
- 40,000 water and wastewater facilities across 150 countries
Strengthening the grid and digital innovation
Elsewhere, Schneider Electric is investing in grid modernisation through its One Digital Grid Platform, an AI-powered software solution designed to help utilities optimise grid performance.
Additionally, the company has joined EPRI’s DCFlex initiative, a research collaboration focused on integrating data centres with the electrical grid to improve asset efficiency.
These announcements were made during Schneider Electric’s participation in the DISTRIBUTECH 2025 conference in Dallas, highlighting the company’s commitment to US energy resilience and automation.
North America remains Schneider Electric’s largest market, generating 36% of its revenue in 2024. The company operates more than 20 smart factories and distribution centres across the US, employing more than 21,000 people.
Schneider technologies are present in 40% of Fortune 500 companies, four in 10 US homes, 40% of global hospitals and 40,000 water and wastewater facilities across 150 countries.
Likewise, the US is committed to becoming even more of an AI superpower and has pledged billions of dollars already in 2025 to invest in the buildout of future-proof data centres.
“Domestic data centres for training and operating powerful AI models will help the United States facilitate AI’s safe and secure development, harness AI in service of national security and prevent adversaries from accessing powerful systems to the detriment of our military and national-security,” the White House explained via a statement in January 2025.
“It will also help prevent America from growing dependent on other countries to access powerful AI tools.”
Debra Phillips, President and CEO of the National Electrical Manufacturers Association (NEMA), comments: “America's electrical system will face unprecedented rising energy demand in the coming decade driven by data centres and AI.”
“Schneider Electric's historic investment of more than US$700m across its domestic operations over the next two years is indicative of the critical role electrical manufacturers play in meeting this new demand and powering an electric future.”
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