WEG to invest $165 million in North American generators

WEG announced an investment plan of $165 million, or about BRL 840 million, to expand its generator manufacturing capacity across North America. The Brazilian company aims to meet rising demand for power generation equipment in critical applications, specifically data centers in the United States.

Through this program, WEG expects to quintuple its global generator manufacturing capacity to 50 units per day. The expansion will take place in two sequential phases.

In the first phase, WEG will spend $24 million to purchase and adapt an industrial building next to its largest manufacturing site in Mexico, located in the municipality of Atotonilco de Tula. This facility will handle generator assembly and is scheduled to begin operations in the second quarter of 2027.

The company will deploy the remaining $141 million in a second phase to build two industrial facilities at a site yet to be determined in North America. This phase will establish a vertically integrated production setup covering laminations, low- and medium-voltage coils, shafts, and frames. WEG expects to complete this second stage in 2030.