What solid-state transformer did Hyosung Heavy Industries develop for AI power grids?

Hyosung Heavy Industries said it developed the world’s first 22.9-kV, 1.05-megavolt-ampere-class solid-state transformer in 2022. The company said it can connect directly to urban distribution networks and precisely control voltage and current using power semiconductors while keeping transformer insulation functions.

Why is Hyosung Heavy Industries investing in the U.S. power equipment market now?

The company said surging electricity demand from AI data centers and the need to replace aging grid facilities are driving its push. It also said stable and efficient electricity supplies are becoming increasingly important for AI and data centers.

Hyosung eyes US AI power market with next-gen solid-state transformer

Q: How is Hyosung Heavy Industries expanding its U.S. manufacturing footprint?

Hyosung said it invested $300 million to acquire and expand a transformer plant in Memphis, Tennessee, which it expects to become one of the largest ultra-high-voltage transformer production bases in the U.S. It also formed a joint venture with Quanta Services in Pennsylvania to make ultra-high-voltage circuit breakers.

Listen

Summary

Hyosung Heavy Industries is stepping up its push into the U.S. power infrastructure market as AI data centers drive demand and aging grids need replacement. The company said it developed the world’s first 22.9-kV, 1.05-megavolt-ampere-class solid-state transformer in 2022. It is also expanding U.S. manufacturing with a $300 million Memphis transformer plant investment and a Pennsylvania joint venture with Quanta Services. Hyosung said it will combine those facilities with next-generation grid technologies to target the U.S. data center power market.

Key Facts

Hyosung Heavy Industries said the global solid-state transformer market is expected to grow at an annual rate of more than 40 percent.
The company said the market for large-capacity solid-state transformers capable of handling 22.9 kV or higher is still in its early stages, with only a limited number of companies pursuing commercialization and demonstration projects.
Hyosung has invested $300 million to acquire and expand an ultra-high-voltage transformer plant in Memphis, Tennessee.
Hyosung formed a joint venture with Quanta Services to locally manufacture ultra-high-voltage circuit breakers ranging from 72.5 kV to 800 kV in Pennsylvania.
The company said this makes it the first Korean power equipment maker to establish local production capabilities for both ultra-high-voltage transformers and circuit breakers in the U.S.

By Lee Gyu-lee

Published Sep 8, 2026 3:46 pm KST

Hyosung Heavy Industries’ 22.9-kilovolt solid-state transformer, developed in 2022 and touted as the first of its kind in the world / Courtesy of Hyosung Heavy Industries

Hyosung Heavy Industries is stepping up efforts to tap the rapidly growing U.S. power infrastructure market, driven by surging electricity demand from artificial intelligence (AI) data centers and the need to replace aging grid facilities.

The company, led by Hyosung Group Chairman Cho Hyun-joon, is seeking to strengthen its position in the U.S. market by combining next-generation power grid technologies with expanded local manufacturing capacity and its existing portfolio of high-voltage power equipment.

The company said Friday that it developed the world's first 22.9-kilovolt (kV), 1.05-megavolt-ampere-class solid-state transformer (SST) in 2022, enabling direct connection to urban distribution networks.

"SST is a next-generation technology that can precisely control voltage and current using power semiconductors while retaining the insulation functions of conventional transformers," the company said.

Hyosung Heavy Industries said the technology could play an important role in meeting the power demands of AI and data centers, where stable and efficient electricity supplies are increasingly important.

The global SST market is expected to grow at an annual rate of more than 40 percent, according to market research firms, as countries invest in modernizing aging power grids. The company said the market for large-capacity SSTs capable of handling 22.9 kV or higher remains in its early stages, with only a limited number of companies pursuing commercialization and demonstration projects.

Hyosung Heavy Industries plans to leverage its early development of 22.9 kV SST technology to gain a foothold in the emerging market.

The company is also expanding its U.S. manufacturing footprint. It has invested $300 million to acquire and expand an ultra-high-voltage transformer plant in Memphis, Tennessee. Once the expansion is completed, the facility is expected to become one of the largest ultra-high-voltage transformer production bases in the United States, according to the company.

Hyosung has also formed a joint venture with U.S. energy infrastructure company Quanta Services to locally manufacture ultra-high-voltage circuit breakers ranging from 72.5 kV to 800 kV in Pennsylvania.

The move makes Hyosung Heavy Industries the first Korean power equipment maker to establish local production capabilities for both ultra-high-voltage transformers and circuit breakers in the U.S., the company said.

Quanta Services operates an extensive network across the U.S. and provides infrastructure solutions for large-scale electricity demand facilities, including those linked to the expansion of power-intensive industries.

"Driven by the expansion of AI and data centers, power infrastructure has now become a core industry directly linked to national security," Cho said. "Building on Hyosung Heavy Industries' U.S. manufacturing facilities and technological prowess, we must establish ourselves as an irreplaceable, essential long-term partner in stabilizing the American power grid."

Hyosung Heavy Industries said it will seek to expand its presence in the U.S. data center power infrastructure market by combining its local manufacturing base and expertise in ultra-high-voltage equipment with next-generation technologies such as SSTs, energy storage systems, static synchronous compensators and high-voltage direct current systems.

Explore More