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Siemens Expands Gas Turbine Production

Posted on March 15, 2010

Siemens has plans to expand its U.S. production capabilities by building a new production plant for 60 Hz gas turbines. The new facility will be constucted at the company's existing facility in Charlotte, North Carolina, U.S.A., with an initial investment of approximately US$ 135 million. Production is slated to begin in the fall of 2011.

“The new plant in the U.S. will be the most advanced gas turbine production plant in North America and set new benchmarks in terms of efficiency, quality and competitiveness. Our many years of experience will help us to establish an optimized turbine production process at the new plant. We’ll thus be able to continue supplying our customers with best-in-class gas turbines and also boost our efficiency,” said Wolfgang Dehen, CEO of Siemens Energy.

Starting in the fall of 2011, it is anticipated that all Siemens gas turbines for 60-Hertz markets, such as North and South America, Saudi Arabia, South Korea, the Philippines and Japan, will be produced in Charlotte. By producing the 60 Hz gas turbines in the U.S., Siemens said it will reduce the distance products are shipped to most customers. The production of 60 Hz gas turbines at the Hamilton site in Canada will be phased out. This decision does not impact the production of gas turbines for 50-Hertz markets, which remains at the Berlin hub in Germany.

In addition to production, service and other related functions for 60 Hz gas turbines (R&D, supply chain management, etc.) will be bundled primarily in Charlotte, where the company already has a center for steam turbine and generator production and service. This will mean that a large section of Siemens power generating portfolio will be concentrated at one U.S. facility. In Charlotte, Siemens will in the future also produce the 60-Hertz version of the latest-generation H-class gas turbine.

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