Virginia Transformer Pledges 1,100 Jobs in Major Muscle Shoals Expansion

Virginia Transformer has announced plans to build a new 600,000-square-foot manufacturing plant in Muscle Shoals, Alabama, representing a massive infusion of industrial jobs into the region's economy. The facility, scheduled to begin initial production by January 2028, is expected to employ 1,100 workers at full capacity.

The project underscores a broader national shift as advanced manufacturing moves to secure the supply chains required for modernizing the U.S. power grid. The Muscle Shoals site will produce power transformers ranging from 2 MVA to 500 MVA, filling critical demand from expanding heavy manufacturing, energy infrastructure, and data centers. Currently, much of this demand is reliant on imported equipment.

Local Economic Drivers

The plant will be constructed from the ground up on approximately 90 acres within the Shoals Research Airpark. Local incentives played a significant role in securing the project. The Muscle Shoals city council approved a 10-year tax abatement for the company, lowering the barrier for the extensive capital investment required to launch a facility of this scale.

The infrastructure also features a dedicated Norfolk Southern rail spur, funded in part through the Growing Alabama tax credit program, which will streamline the company's supply chain logistics.

Hiring and Scale

The company is aggressively moving to build its local workforce. About 20% of the roles will be engineering positions, with the remainder consisting of shop floor workers, including electricians and steel fabricators. Mayor Billy Hudson noted the initial wave will bring 819 jobs over the first seven years before scaling to the full 1,100 head count.


The Alabama location marks Virginia Transformer's seventh manufacturing facility in North America and serves as an extension of their existing 500 kV factory in Rincon, Georgia, which is also currently undergoing a 50% capacity expansion.