Solmar Insights
Spanish manufacturer Power Electronics has started construction on a major new manufacturing complex in Houston, Texas, with plans to reach an annual production capacity of 40 GW of equipment for energy and digital infrastructure sectors. The 210,000 square meter facility, expected to create more than 400 jobs, aims to supply the U.S. and wider Americas with products for solar, storage, data centers, e-mobility, and industrial automation.
Key figures
40 GW per year production capacity
210,000 m2 industrial campus
400+ jobs expected
Global 105 GW total capacity (post-expansion)
Houston campus details
The new site in Houston will span approximately 21 hectares and consist of two primary buildings. Power Electronics has outlined plans for integrated operations within the complex, accommodating manufacturing, logistics, R&D, training, and administrative functions. Automated production processes and new inverter manufacturing lines are slated to underpin the plant’s equipment output for regional and export markets.
With construction underway, the company projects that the Houston campus will directly create over 400 local jobs. This expansion leverages Texas’s position as a growing center for both renewable and digital infrastructure, serving not only the United States market but also broader distribution throughout the Americas. The strategic site selection aligns with national and regional goals to increase domestic manufacturing of critical energy technologies.
Production scope and target markets
Production at the Houston facility will encompass a wide range of equipment crucial for grid-scale and commercial projects. The site is dedicated not only to solar PV and energy storage inverters but also to power conversion technologies for hyperscale data centers, electric vehicle infrastructure, and diverse industrial uses. This breadth places the plant at the intersection of two fast-evolving infrastructure segments: energy transition and digital economy buildout.
The company reports that the new plant will be equipped for high-volume, high-efficiency manufacturing processes, supported by automated systems. Having a U.S.-based campus is positioned to reduce logistics timelines and provide supply certainty to American and nearby Latin American buyers and developers. The move is significant amid increased demand caused by data center growth and policy incentives for domestic sourcing of power conversion technology.
Role in global operations
Once fully operational, the Houston campus will complement Power Electronics’ existing manufacturing complex in Llíria, Valencia, Spain, which is itself undergoing an expansion from 100,000 to 150,000 square meters. As a result of these dual expansions, Power Electronics anticipates its combined global annual production capacity will grow to 105 GW.
The company’s cumulative installed AC capacity reached 170 GW in 2026, signaling its entrenched position among the leading power conversion equipment suppliers worldwide. The Houston facility’s output is expected to focus on inverters and converters that feature across energy production, storage, and IT infrastructure, reinforcing supply chain diversity for buyers active in North American large-scale projects.
Sector implications for U.S. energy and digital infrastructure
This investment arrives during a period of escalating demand for high-capacity PV and storage systems driven by both renewable procurement targets and data center proliferation. Texas, as the state host to the new facility, leads the U.S. in new solar and storage deployments and is a primary hub for data center power demand. The addition of large-scale local manufacturing may help mitigate module and component supply risks that have impacted project developers and utilities in recent years.
Major energy and data center projects often require custom inverter solutions, rapid delivery schedules, and technical service support. By anchoring significant production capacity in Houston, Power Electronics is positioned to offer these capabilities at scale, supporting the next wave of utility and hyperscale developments nationwide. For buyers, developers, and operators, this may translate into reduced lead times and enhanced ability to comply with domestic content rules under recent U.S. policy frameworks.
What this means for buyers
Energy equipment and data center capacity in Texas and the broader U.S. are directly affected by the build-out of a 40 GW per year local manufacturing campus. The start of construction and commitment to automated, U.S.-based production in Houston will shorten supply timelines and improve domestic content compliance. Buyers planning utility-scale solar, storage, or hyperscale data center projects in 2026 to 2028 should assess domestic sourcing strategies and review eligibility for incentives tied to U.S.-made components.
Reporting via the original publisher
