Trench Group announced a major expansion of its U.S. 765 kV transmission infrastructure strategy during the IEEE PES Transmission & Distribution Conference in Chicago, including a Texas ERCOT transformer project and a $60 million manufacturing investment in North Carolina. The projects are designed to support rising electricity demand linked to AI data centres, industrial electrification, and large-scale grid modernisation across the United States.
The announcement comes as U.S. utilities accelerate high-voltage transmission planning to support growing power consumption and renewable integration targets. According to Trench Group, the United States plans more than 4,000 miles of new 765 kV transmission lines and up to 70 substations by 2032, representing an estimated $55–60 billion infrastructure buildout.
Large-scale transmission projects in the United States typically require coordination between regional grid operators, utilities, state utility regulators, and federal energy authorities. Utilities are increasingly pursuing transmission upgrades as electricity demand forecasts rise across industrial, data centre, and renewable energy sectors.
America’s Grid Expansion Plans
Trench Group said the U.S. transmission sector is entering one of its largest infrastructure expansion phases in decades. The company stated that growing AI data centre demand, industrial electrification, and renewable energy integration are increasing pressure on utilities to modernise aging transmission systems.
Many U.S. utilities are deploying 765 kV infrastructure for the first time. The voltage class requires utilities to maintain operational stability across long transmission distances while supporting higher power loads.
| Indicator | Recent Movement | Context |
|---|---|---|
| 765 kV transmission lines | 4,000+ miles planned by 2032 | Trench Group stated the planned expansion reflects rising electricity demand tied to AI infrastructure and grid modernisation. |
| New substations | 50–70 facilities planned | The company said utilities are expanding transmission capacity to support renewable integration and industrial electrification. |
| Infrastructure investment | $55–60 billion projected | Trench Group linked the projected investment to large-scale U.S. transmission upgrades and power reliability goals. |
AI Demand and Infrastructure Pressures
Trench Group said electricity demand from hyperscale AI data centres is becoming a major driver of transmission expansion. The company referenced forecasts showing global data centre electricity consumption potentially doubling to 945 TWh by 2030.
The company stated that utilities are facing pressure to balance AI-related energy demand with renewable energy deployment and industrial growth. Trench Group said these overlapping demands are accelerating procurement activity for high-voltage transmission equipment across North America.
- AI infrastructure growth: Trench Group said contracts with hyperscalers have increased demand for transmission equipment supporting data centre energy supply chains.
- Grid reliability focus: The company stated utilities are prioritising higher-capacity transmission systems to reduce long-term infrastructure bottlenecks.
- Manufacturing expansion: Trench Group linked its U.S. factory investment to expected long-term increases in electricity infrastructure demand.
Trench Group’s 765 kV Strategy
Trench Group introduced its “Engineered as One” strategy during the Chicago conference, describing it as a combined hardware, consulting, and lifecycle support model for utilities deploying 765 kV infrastructure. The approach is intended to reduce operational and procurement risks for customers managing large-scale transmission projects.
The company outlined a hardware portfolio covering bushings, instrument transformers, coils, and reactors designed for 765 kV substations. Trench Group stated that the components are engineered using common design standards to support integrated deployment.
Global Experience With 765 kV Systems
Trench Group said its first North American 765 kV Capacitive Voltage Transformers were produced in 1975. The company stated its equipment is currently operating across transmission systems in North America, Europe, India, Latin America, and Asia.
Utilities deploying 765 kV infrastructure for the first time are increasingly seeking suppliers with existing high-voltage operating experience and long-term manufacturing capacity.
Texas ERCOT Transmission Project
Trench Group confirmed it secured a 765 kV Capacitive Voltage Transformer project supporting the first 765 kV transmission lines being developed for the Electric Reliability Council of Texas (ERCOT). The project represents one of the earliest operational deployments tied to Texas’ expanding high-voltage transmission strategy.
Trench Group described the Texas award as part of broader momentum in the U.S. transmission sector. The company stated that utilities are increasingly investing in long-distance transmission systems capable of supporting rising electricity demand and large-scale power distribution requirements.
| Indicator | Recent Movement | Context |
|---|---|---|
| Texas 765 kV project | CVT award confirmed | Trench Group said the project supports ERCOT’s first planned 765 kV transmission infrastructure deployment. |
| OEM supply agreements | Multiple long-term contracts signed | The company identified HICO, Pennsylvania Transformer, and Hyundai Power Transformers USA as participating partners. |
| Transmission deployment trend | Utilities increasing procurement activity | Trench Group linked the activity to expanding U.S. electricity demand and grid modernisation projects. |
Existing U.S. Utility and OEM Agreements
Trench Group said long-term supply agreements and orders are already in place with several transformer manufacturers operating in the United States. The company named HICO, Pennsylvania Transformer, and Hyundai Power Transformers USA among the partners connected to the expanding 765 kV market.
Trench Group said the Texas project serves as an early reference point for utilities evaluating future high-voltage transmission deployment. The company stated that early contracts are becoming important for securing long-term manufacturing capacity because utilities are moving rapidly to secure manufacturing capacity and long-term supply relationships.
Charlotte Manufacturing Expansion
Trench Group confirmed its new high-voltage bushings manufacturing facility in Charlotte, North Carolina will officially open in July 2026. Assembly operations are already underway, with full production expected to ramp progressively through 2026 and 2027.
The company stated the facility is designed to be fully compliant with Buy America requirements linked to federal infrastructure funding eligibility. Trench Group said the site is expected to support production across voltage classes ranging from 25 kV to 765 kV.
Planned Production Capacity
According to Trench Group, the Charlotte facility is designed for production capacity of up to 3,500 bushings annually. The company said first deliveries in the 230 kV range are expected by the end of 2026, while 765 kV deliveries are planned for early 2028.
The company stated the factory was developed within approximately 15 months of the investment decision. Trench Group said the rapid build timeline reflects the urgency utilities and manufacturers are placing on domestic transmission infrastructure expansion.
AI Energy Supply Chain Positioning
Trench Group said it already holds contracts supplying lower-voltage infrastructure connected to major hyperscaler data centre projects. Trench Group said AI data centre expansion is increasing electricity demand and accelerating transmission investment planning.
North America represented more than 40% of company order intake during the first quarter of 2026. The company said rising U.S. infrastructure demand is influencing both manufacturing expansion and long-term workforce growth targets.
Stakeholder Comments
Trench Group President and CEO Bahadir Basdere described transmission modernisation as “one of the defining industrial challenges of our time.” He said the company’s long-standing experience with 765 kV systems positions it to support utilities entering large-scale transmission deployment cycles.
Chief Sales Officer Klaus Merklein said the Texas project award demonstrated utility confidence in Trench Group’s high-voltage infrastructure capabilities. He stated that early project wins are strategically significant as the U.S. market expands its 765 kV transmission footprint.
Trench Group’s latest U.S. expansion plans reflect accelerating investment in high-voltage transmission infrastructure tied to AI electricity demand, industrial electrification, and grid modernisation goals. The projects reflect accelerating U.S. investment in high-voltage transmission infrastructure tied to rising electricity demand and grid expansion planning.
The expansion reflects growing utility demand for domestic high-voltage transmission equipment and manufacturing capacity.
Sources: Trench Group Press Release, IEEE PES Transmission & Distribution Conference, ERCOT.
Prepared by Ivan Alexander Golden, Founder of THX News, an independent news organization delivering timely insights from global official sources.
Research combines AI-assisted analysis with human-edited accuracy and context.
