Schneider Electric, a global leader in energy management and automation, has unveiled a new report forecasting substantial growth in the electrification of U.S. industry by 2030. The report, released by Schneider Electric’s Sustainability Research Institute, predicts that electrification levels will surge from 30% to 45% over the next decade, marking a 50% increase. Concurrently, it anticipates a corresponding 25% reduction in fossil fuel demand during the same period.
Detailed sectoral analysis within the report highlights that 16 out of 21 sectors are poised to achieve 60% electrification by 2030. Looking ahead to 2040, Schneider Electric projects that overall U.S. industry will reach 64% electrification, accompanied by a significant 50% reduction in fossil fuel consumption.
In alignment with these projections, Schneider Electric is committing substantial investments to upgrade and modernize its manufacturing facilities in Seneca and Columbia, South Carolina. These enhancements include the electrification of Seneca’s heating, ventilation, and air conditioning system to optimize efficiency and cost-effectiveness. The company’s total investment in its South Carolina operations amounts to $23.8 million, with expectations to create 280 new production jobs. This initiative will bolster Schneider Electric’s capability to manufacture custom power distribution products crucial for electrification and energy efficiency efforts nationwide.
Speaking at the SelectUSA Investment Summit, Aamir Paul, President of North America Operations at Schneider Electric, emphasized the significance of electrification in achieving rapid industry decarbonization. “This new research underscores why electrification is pivotal in decarbonizing industry swiftly,” Paul remarked. He highlighted Schneider Electric’s commitment to driving this transformation through substantial investments in a robust domestic supply chain, particularly in South Carolina, thereby fortifying manufacturing capabilities to meet growing customer demands.
Earlier this year, Schneider Electric announced a $140 million investment in its U.S. manufacturing operations, aiming to generate approximately 750 new manufacturing jobs across the country in 2024. The company’s recent investments in South Carolina complement its ongoing expansions in Tennessee and Texas, totaling over $440 million since 2020 across its American manufacturing network.
With a legacy of 135 years in the U.S., Schneider Electric employs more than 19,000 workers nationwide. Its products and solutions play integral roles in residential settings, healthcare facilities, and critical infrastructure worldwide, including water and wastewater installations across 150 countries.
Schneider Electric’s strategic initiatives underscore its commitment to advancing sustainability, electrification, and economic growth within the U.S. industrial sector, positioning itself as a pivotal player in driving the transition towards a greener and more electrified future.