Governor Kay Ivey on Tuesday announced manufacturer Virginia Transformer plans for a 600,000-square-foot, state-of-the-art power transformer plant in Muscle Shoals, Alabama.
When complete, the facility will employ 1,100 people. Construction at the Shoals Research Airpark in Colbert County will begin immediately and initial production is expected to begin in January 2028.
Virginia Transformer, based in Roanoke, Virginia, is the largest power transformer manufacturer in North America. The Muscle Shoals site will be the company’s seventh facility and capable of producing a range of power transformers, from two Megavolt-Amperes, MVA, up to 500 MVA.
“Muscle Shoals is known around the world for its musical legacy, but companies like Virginia Transformer know the Shoals can make a lot more than music,” Ivey said. “With a driven, skilled workforce, our business-friendly climate and unbeatable quality of life, the Shoals and all of Alabama are indeed open for business. Virginia Transformer will add value to the community with this advanced-manufacturing investment and employment opportunities.”
The plant will be built on about 90 acres within the Shoals Research Airpark.
Earlier this month, the governor announced the park is receiving about $4.5 million for site work and public infrastructure through the Growing Alabama Tax Credit program, which uses private dollars to improve publicly owned sites for economic development, according to Ivey’s press release.
“With locations in multiple states, we know Virginia Transformer has options when deciding on a new site,” Commerce Secretary Ellen McNair said. “Alabama is proud to offer the right combination of infrastructure, capable workforce and community partners to make Virginia Transformer’s expansion a success.”
The site’s dedicated Norfolk Southern rail spur will guarantee Virginia Transformer’s shipping and supply chain needs are met.
“For more than 50 years, Virginia Transformer’s growth has been driven by our commitment to delivering for our customers. We are The Commitment Company,” Virginia Transformer CEO Prabhat Jain said. “This investment represents the latest step in our ongoing expansion across North America, will create our seventh manufacturing facility, and reflects our confidence in the markets and customers we serve, as well as our dedicated workforce.”
The Muscle Shoals plant will serve customers across utilities, data centers, renewable energy, industrial and other markets in the U.S. and Canada.
“Virginia Transformer’s decision to locate its newest manufacturing facility in the Shoals is a powerful endorsement of Northwest Alabama’s highly skilled manufacturing workforce, strategic location and capacity for continued industrial growth,” Shoals Economic Development Authority President Kevin Jackson said. “For generations, the Shoals has built a reputation for producing talented men and women who excel in advanced manufacturing environments, and that workforce will be a tremendous asset as Virginia Transformer grows its operations here. This project was made possible through strong collaboration among our many economic development partners, and we look forward to building a long-lasting partnership with Virginia Transformer that benefits the company and our region for years to come.”
The new site is in addition to the expansion work underway at the company’s Rincon, Georgia, facility near Savannah. The Rincon expansion will increase the installed capacity there by 50 percent. The Rincon expansion will be completed in March 2027.
