Siemens to Build Gas Turbine Plant in Charlotte

March 15, 2010

Munich-based Siemens AG will build a new production plant for 60-hertz gas turbines at its existing facility in Charlotte, N.C., according to the company.

Josh Cable

The company said the plant will serve as a new global production hub for gas and steam turbines and generators for supply to the U.S. and other 60-hertz markets.

Siemens initial investment in the facility will be $135 million, according to the company. Production is slated to start in fall 2011.

Following construction of the two production plants for wind turbines in Fort Madison and Hutchinson, the decision to expand the Charlotte production hub is further proof of our commitment to the important U.S. market, said Peter Lscher, president and CEO of Siemens AG. Over the next five years, we expect employment at the Charlotte site to grow to nearly 1,800 people, with more than 1,000 of those positions new to Charlotte.

With this move were pushing ahead with our growth strategy in the U.S., which is our most important single-country market. Over the last 10 years weve made acquisitions in the U.S. totaling more than $25 billion.

The Worlds Most Important Power Market

Siemens has operations and personnel in all 50 states and employs a total work force of approximately 64,000 in the United States, of which 10,000 work in the energy sector, according to the company. In the future, all Siemens gas turbines for 60-hertz markets, such as North and South America, will be produced at the new Charlotte facility, the company said.

The new plant will be the most advanced gas turbine production site in North America and set new benchmarks in terms of quality, productivity and competitiveness in what is, by far, the worlds most important power market, said Wolfgang Dehen, CEO of Siemens Energy. By producing all 60-hertz gas turbines in the U.S., well also reduce the distance products have to be shipped to most customers, thus reducing related CO₂ emissions.

Siemens said it will phase out production of 60-hertz gas turbines at its Hamilton, Ontario, site. The decision does not impact the production of gas turbines for 50-hertz markets, which remains at the Berlin hub in Germany, according to the company.

About the Author

Josh Cable | Former Senior Editor

Former Senior Editor Josh Cable covered innovation issues -- including trends and best practices in R&D, process improvement and product development. He also reported on the best practices of the most successful companies and executives in the world of transportation manufacturing, which encompasses the aerospace, automotive, rail and shipbuilding sectors.

Josh also led the IndustryWeek Manufacturing Hall of Fame, IW’s annual tribute to the most influential executives and thought leaders in U.S. manufacturing history.

Before joining IndustryWeek, Josh was the editor-in-chief of Penton Media’s Government Product News and Government Procurement. He also was an award-winning beat reporter for several small newspapers in Northeast Ohio.

Josh received his BFA in creative writing from Bowling Green University, and continued his professional development through course-work at Ohio University and Cuyahoga Community College.

A lifelong resident of the Buckeye State, Josh currently lives in the Tremont neighborhood of Cleveland. When the weather cooperates, you’ll find him riding his bike to work, exercising his green thumb in the backyard or playing ultimate Frisbee.