Sumitomo Electric Industries has opened a £350m subsea cable factory at the Port of Nigg in the Scottish Highlands, creating the UK’s first manufacturing facility dedicated to high-voltage direct current (HVDC) subsea cables.
The 58,000 sq m factory will produce 525kV cross-linked polyethylene (XLPE) HVDC transmission cables and subsea inter-array cables, supporting the expansion of offshore wind power and the development of the UK’s electricity transmission network.
The investment is expected to create more than 200 skilled jobs directly, with a projected impact of more than 400 jobs across the wider UK supply chain. The facility is located within the Inverness and Cromarty Firth Green Freeport, which aims to encourage investment and industrial development in the region.
HVDC subsea cables enable electricity to be transmitted efficiently over long distances beneath the sea, connecting offshore renewable energy generation with areas of demand. Increasing domestic manufacturing capacity for these cables could help address infrastructure bottlenecks as the UK expands its renewable energy generation and transmission network.
Strengthening UK manufacturing and supply chains
The factory represents a significant addition to the UK’s advanced manufacturing capabilities, supplying components needed for major electricity infrastructure projects.
Sumitomo Electric President Osamu Inoue said the facility would support the country’s transmission infrastructure and clean energy ambitions.
“This factory will serve as a vital production base supporting the strengthening of the UK’s transmission infrastructure, the expansion of renewable energy deployment, and the delivery of a stable and reliable energy supply for generations to come,” he said.
The company will use a “Train the Trainer” model and operator training programmes conducted in Japan to develop the skills needed to operate the facility.
Scotland’s First Minister John Swinney said the investment recognised the region’s engineering capabilities and workforce.
“This facility puts Scotland right at the heart of the energy transition and is a strong vote of confidence in our people, skills and engineering excellence,” he said.
The Scottish Government invested £24.5m in the factory’s construction, supporting the project’s development and its expected contribution to employment in the Highlands.
Supporting the next generation of energy infrastructure
The factory is also linked to the wider investment needed to expand the UK’s electricity network. SSEN Transmission Managing Director Rob McDonald said the company’s proposed Shetland 2 subsea cable project had helped anchor Sumitomo Electric’s investment.
The £350m facility, which will create at least 200 jobs and support hundreds more across the wider supply chain, demonstrates the scale of opportunity that comes from investing in the infrastructure needed to deliver clean power and energy security.
Rob McDonald, SSEN Transmission Managing Director
National Grid has also awarded Sumitomo Electric the contract to supply HVDC cable for its Sea Link project. Carl Trowell, National Grid’s Executive President of Global Capital, said the factory would strengthen domestic manufacturing capacity for future electricity network infrastructure.
“The opening of this facility marks an important milestone for UK home-grown energy and strengthens the capability needed to deliver the next generation of the electricity network,” he said.
By bringing specialist subsea cable production to Scotland, the factory adds domestic capacity in a strategically important part of the energy supply chain, while supporting skilled employment and future investment in UK manufacturing.
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