Hyosung Heavy Industries is moving to strengthen its position in the U.S. AI data center power market with a solid-state transformer and American manufacturing capacity. The company said on September 7, 2026, that it is accelerating the push as data center power demand rises alongside the growth of the AI industry.
Its plan combines two parts of the business: the 22.9kV solid-state transformer developed in 2022 and completed U.S. production bases for ultra-high-voltage transformers and circuit breakers. That combination gives Hyosung a technology platform and local manufacturing resources for the U.S. market.
A Transformer Built for Urban Distribution Networks
Hyosung Heavy Industries developed the world’s first 22.9kV 1.05MVA-class solid-state transformer in 2022. The SST can connect directly to urban distribution networks, a feature that places it close to the power systems needed by data centers in populated areas.
The voltage rating and capacity are central to the product’s role. A 22.9kV system connects with urban distribution networks, while the 1.05MVA-class rating identifies the transformer’s power capacity. Together, those specifications describe a piece of equipment designed for the electrical demands tied to large-scale computing facilities.
Hyosung is now pairing that SST with production sites in the United States. The company completed American production bases for ultra-high-voltage transformers and circuit breakers, creating a broader infrastructure offering around the solid-state transformer.
This approach links a product developed in 2022 with manufacturing assets built for the U.S. market. Rather than presenting the SST as a standalone technology, Hyosung is placing it within a larger power equipment plan for AI data centers.
Why U.S. Data Center Power Matters
U.S. data center power demand is expected to increase by 25 percent over the next decade, driven by the growth of the AI industry. That expected rise gives power equipment a central role in the expansion of AI infrastructure.
AI data centers need power systems that can connect computing facilities with distribution networks. Hyosung’s 22.9kV 1.05MVA-class SST addresses that connection through its ability to connect directly to urban distribution networks, while the company’s ultra-high-voltage transformers and circuit breakers add related equipment to the offering.
The 25 percent forecast also explains why Hyosung is focusing on both technology development and production capacity. A new transformer can demonstrate a technical solution, but a market push also requires manufacturing bases that support the equipment needed for data center power systems.
Hyosung invested a total of $300 million in the acquisition and expansion of its ultra-high-voltage transformer manufacturing facility in Memphis, Tennessee. That investment gives the company a substantial American manufacturing base as it pursues the U.S. AI data center market.
Memphis is part of the company’s larger effort to connect its transformer technology with U.S. production. The facility’s role sits alongside the completed American bases for ultra-high-voltage transformers and circuit breakers, helping Hyosung present a combined equipment and infrastructure strategy.
From Industry Display to Market Push
Hyosung had already shown the technology to the U.S. industry earlier in 2026. The company displayed it at the IEEE PES T&D 2026 exhibition in Chicago from May 4–7, 2026, giving the solid-state transformer a place in an American industry setting before the September announcement.
That exhibition followed the transformer’s development in 2022 and came before Hyosung announced its accelerated U.S. push. The sequence shows how the company moved from developing the 22.9kV 1.05MVA-class SST to presenting it to the U.S. industry and then combining it with local production capacity.
Hyosung Heavy Industries’ strategy now rests on three connected elements: a solid-state transformer that can connect directly to urban distribution networks, American production bases for major power equipment, and a $300 million investment in the Memphis, Tennessee, facility.
For the company, the opportunity is tied to the expected 25 percent increase in U.S. data center power demand over the next decade. As AI drives that demand, Hyosung is positioning its transformer technology and American manufacturing infrastructure as the foundation of its U.S. market push.
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