By Brazil Stock Guide – TSEA Energia, a Brazilian manufacturer of power transformers and voltage regulators, is investing R$850 million to expand production capacity and deepen its presence in the U.S. market, where most of its output is sold.
The expansion plan includes the construction of a new manufacturing plant in Contagem, in the state of Minas Gerais, alongside the company’s existing facility, as well as the opening of a commercial and strategic office in the United States. About 90% of TSEA’s production is currently exported to the U.S., making the country central to its growth strategy.
The investment program began in 2025 and is scheduled to run through early 2029. The company expects to double its capacity to produce high-power transformers, including units of up to 500 kilovolt-amperes that can weigh as much as 275 metric tons.
Most of the capital will be allocated to the new Contagem plant, with additional funds directed to upgrades and expansions at facilities in Betim, also in Minas Gerais, and Curitiba, in southern Brazil. Construction work is set to begin this year.
TSEA employs about 1,300 people and plans to hire roughly 1,000 more over the next five years, including 260 positions in 2026. The company aims to quadruple revenue by 2030, targeting close to R$4 billion in annual sales.
Its equipment is supplied to power generation and distribution utilities, as well as energy-intensive sectors such as steelmaking, mining, pharmaceuticals and data centers. The company says rising electricity consumption and grid expansion have sharply increased demand for high-capacity transformers in recent years.
TSEA already supplies equipment to U.S. customers and plans to scale up operations with a local office staffed by 20 to 30 employees, most of them Brazilian expatriates providing strategic and technical support.
Founded in 1968 as a Toshiba South America division, the operation changed hands in 2018 when TSEA Participações acquired control and established Transformadores e Serviços de Energia das Américas, now operating as TSEA Energia. The company is privately held and not publicly traded.
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