Virginia Transformer announced Tuesday that it will build a new manufacturing facility in Muscle Shoals, expected to create 1,100 jobs as the company continues to expand its transformer production capacity across North America.
The company plans to construct a 600,000-square-foot power transformer plant at the Shoals Research Airpark in Colbert County.
Construction at the site is expected to begin immediately, with initial production scheduled to start in January 2028. The plant will be built on approximately 90 acres and include a dedicated Norfolk Southern rail spur, an on-site training center, automated warehousing systems, digital manufacturing dashboards, and a real-time customer portal designed to streamline production and customer communication.
“For more than 50 years, Virginia Transformer’s growth has been driven by our commitment to delivering for our customers – we are The Commitment Company,” said Prabhat Jain, CEO of Virginia Transformer.
“This investment represents the latest addition in our ongoing expansion across North America, will create our seventh manufacturing facility, and reflects our confidence in the markets and customers we serve, as well as our dedicated workforce,” Jain added.
Jain also said the company is known for producing premium-quality transformers with some of the shortest lead times in the industry, adding that the new Alabama facility will help Virginia Transformer continue scaling to meet growing customer demand.
State and local leaders pointed to Northwest Alabama’s manufacturing workforce, transportation infrastructure, and business climate as major factors in attracting the project to the Shoals region.
“Muscle Shoals is known around the world for its musical legacy, but companies like Virginia Transformer know the Shoals can make a lot more than music,” Gov. Kay Ivey said.
“With a driven, skilled workforce, our business-friendly climate and unbeatable quality of life, the Shoals and all of Alabama are indeed open for business,” Ivey added. “Virginia Transformer will add value to the community with this advanced-manufacturing investment and employment opportunities.”
Kevin Jackson, president of the Shoals Economic Development Authority, said the project reflects the region’s longstanding manufacturing capabilities and industrial workforce.
“Virginia Transformer’s decision to locate its newest manufacturing facility in the Shoals is a powerful endorsement of Northwest Alabama’s highly skilled manufacturing workforce, strategic location, and capacity for continued industrial growth,” Jackson said.
Jackson also credited collaboration between economic development partners for helping secure the project and said the Shoals region has built a reputation for producing workers who excel in advanced manufacturing environments.
The new facility will also include rail connectivity through Norfolk Southern, with the rail spur made possible through Alabama’s “Growing Alabama” program. Norfolk Southern Vice President of Business Development and First and Final Mile Markets Stefan Loeb said the project highlights the increasing importance of infrastructure investments tied to advanced manufacturing and electric grid modernization.
TVA Vice President of Economic Development Heidi Smith said the announcement represents both a major investment and a significant job creation opportunity for the region.
Once operational, the Muscle Shoals plant will serve customers across utility, renewable energy, industrial, mining, oil and gas, commercial, institutional, specialty, and data center sectors throughout the United States and Canada.
Sherri Blevins is a staff writer for Yellowhammer News. You may contact her at [email protected].
