Hyosung Heavy Industries said on September 7, 2026, that it is accelerating its push into the U.S. AI data center power market, combining the 22.9kV solid-state transformer it developed in 2022 with completed American production bases for ultra-high-voltage transformers and circuit breakers. In the announcement, issued from Seoul, the company said surging power demand driven by the proliferation of AI and data centers, coupled with the need to replace aging grid infrastructure, is driving large-scale investment in U.S. power infrastructure, and that optimizing power supply networks has emerged as a critical global challenge.
22.9kV Solid-State Transformer
Hyosung Heavy Industries identified the solid-state transformer, or SST, as an indispensable technology for power transmission and distribution in the AI era and initiated preemptive research and development. In 2022, the company developed what it describes as the world’s first 22.9kV 1.05MVA-class SST capable of connecting directly to urban distribution networks, a milestone it says secured a competitive advantage in next-generation power conversion technology.
An SST is a next-generation power system that uses power semiconductors to precisely control voltage and current while maintaining the insulation functions of a conventional transformer. The company characterizes it as a field with high technological barriers to entry, demanding sophisticated power control capabilities. Citing global market research firms, the announcement projects the worldwide SST market will grow at an average annual rate of more than 40 percent, supported by the modernization of power infrastructure. The large-capacity SST segment for data centers handling voltages of 22.9kV and above remains in its nascent stages, with only a limited number of companies worldwide pursuing commercialization and demonstration projects. Hyosung Heavy Industries said it plans to accelerate its efforts to secure an early-mover position in that segment based on its advanced technology.
The company had already shown the technology to the U.S. industry earlier in 2026. On April 30, 2026, Hyosung Heavy Industries announced its participation in the IEEE PES T&D 2026 exhibition in Chicago, held May 4–7, 2026, where a submodule of the 22.9kV SST was on display. That announcement said the company is conducting research on more advanced SSTs that can handle higher voltage and plans to showcase commercial models consecutively. It also stated that U.S. data center power demand is expected to increase rapidly, by 25 percent over the next decade, driven by the growth of the AI industry.
Memphis Transformers and Pennsylvania Breakers
The company has invested a total of $300 million in the acquisition and expansion of its ultra-high-voltage transformer manufacturing facility in Memphis, Tennessee. Once the ongoing expansion is completed, the company said, it will secure one of the largest ultra-high-voltage transformer production capacities in the United States.
Hyosung Heavy Industries has also established a joint venture with Quanta Services, a North American energy infrastructure solutions company, to locally produce 72.5kV to 800kV ultra-high-voltage circuit breakers in Pennsylvania. The announcement states that through this move Hyosung becomes the first Korean power equipment manufacturer to secure local production capabilities for both ultra-high-voltage transformers and circuit breakers in the U.S. market. Quanta holds an extensive business presence and customer network across the United States, providing infrastructure solutions for large-scale power demand facilities, and Hyosung said it aims to strengthen its competitive edge by pairing Quanta’s infrastructure solutions with its own technological expertise.
The company’s April exhibition announcement provides additional detail on its circuit breaker lineup: the 800kV 7000A gas-insulated circuit breaker it displayed is a U.S. export model developed in March 2026, built for the 765kV transmission networks currently seeing significant U.S. investment, and described by the company as the world’s largest of its kind.
Positioning and Portfolio
“Driven by the expansion of AI and data centers, power infrastructure has now become a core industry directly linked to national security,” Hyosung Chairman Hyun-Joon Cho said in the announcement. “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.”
The company said it plans to accelerate its U.S. push by combining next-generation grid technologies with its U.S. manufacturing base and its established strengths in power equipment, including ultra-high-voltage transformers and circuit breakers. Alongside SST, that next-generation portfolio includes Energy Storage Systems, STATCOM, and High Voltage Direct Current systems. At the CIGRE Paris Session 2026, held August 24–28, 2026, the company presented that total-solution portfolio, including its voltage source converter HVDC system and the SST it describes as a core power solution for data centers, and unveiled its proprietary 420kV SF6-free gas-insulated switchgear for the first time.
The CIGRE announcement also reported the company’s recent results: second-quarter 2026 revenue of KRW 1.687 trillion and operating profit of KRW 264.3 billion, year-on-year increases of 10.6 percent and 60.9 percent respectively, with first-half new orders of KRW 7.4987 trillion approaching the prior year’s full-year intake. The company raised its annual order target from KRW 8.4 trillion to KRW 12 trillion.
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