NAICS 335

Electrical Equipment, Appliance, & Component Manufacturing

NAICS 335: Electrical equipment, appliance, and component manufacturing. Transformers, motors, appliances, and grid equipment.

Industry at a Glance

Sector-wide aggregates across all businesses classified under NAICS 335 (2017 classification frame). For specific sub-industries within this sector, see the individual reports below.

Employment
369K
US Census CBP · 2023 · NAICS 2017
Establishments
5,398
US Census CBP · 2023 · NAICS 2017
Annual Payroll
$27.9B
US Census CBP · 2023 · NAICS 2017
Avg Annual Wage
$75,581
Derived from US Census CBP · 2023 · NAICS 2017
Market Size
$172.7B
US Census Economic Census · 2022 · NAICS 2017

Industry Overview

Electrical equipment, appliance, and component manufacturing (NAICS 335) spans the production of electric motors, generators, transformers, switchgear, household appliances, lighting fixtures, batteries, and wiring devices that form the physical backbone of electrification. The subsector sits at the intersection of energy infrastructure, construction, and consumer goods, supplying components to utilities building out grid capacity, contractors wiring buildings, and households replacing appliances.

Eaton Corporation, Emerson Electric, and Whirlpool represent the subsector's breadth: Eaton manufactures power distribution and circuit protection equipment installed in everything from data centers to residential panels; Emerson produces industrial automation and climate technologies; Whirlpool dominates household appliances from its headquarters in Benton Harbor, Michigan. GE Vernova's transformer division and Schneider Electric's US operations supply the grid-scale equipment that utilities need for renewable energy interconnection and substation upgrades.

Department of Energy (DOE) efficiency standards directly regulate minimum performance levels for motors, transformers, and household appliances under EPCA (Energy Policy and Conservation Act) authority. The Inflation Reduction Act (IRA) of 2022 allocated billions in manufacturing tax credits under Section 45X for domestic production of electrical components including inverters, transformers, and battery cells, triggering facility expansions by Eaton, Schneider, and domestic battery manufacturers. UL (Underwriters Laboratories) and NEC (National Electrical Code) certification remain mandatory gateways to market for all electrical products sold in the US.

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Industry Trends

DOE

Transformer shortages have reached crisis levels with lead times exceeding two years for large power units, prompting DOE emergency actions and spurring GE Vernova, Hitachi Energy, and Prolec GE to expand US manufacturing capacity

IRA

IRA Section 45X production tax credits for domestically manufactured inverters, battery cells, and critical grid components are triggering new factory announcements from Eaton, Schneider Electric, and emerging battery producers

DOE

DOE rulemaking under EPCA is tightening minimum efficiency standards for distribution transformers, commercial HVAC motors, and residential appliances, requiring manufacturers to redesign product lines on compressed timelines

04

Whirlpool and GE Appliances (Haier subsidiary) are competing on connected appliance platforms with Matter protocol integration, shifting competition from hardware specifications toward smart home ecosystem compatibility

NEVI

EV charging infrastructure buildout under the National Electric Vehicle Infrastructure (NEVI) program is creating new demand for switchgear, transformers, and power management equipment from Eaton, Siemens, and ABB

Available Reports

1 industry report available for purchase under Electrical Equipment, Appliance, & Component Manufacturing.

Frequently Asked Questions

What is NAICS 335? ▾
NAICS 335 classifies manufacturers of electric motors, generators, transformers, switchgear, household appliances, lighting equipment, batteries, and electrical components. The subsector supplies grid infrastructure, building electrical systems, and consumer products. Transformer lead times exceeding two years have made this subsector a bottleneck in US grid modernization.
How is the Inflation Reduction Act affecting electrical equipment manufacturing? ▾
The IRA's Section 45X Advanced Manufacturing Production Credit provides per-unit tax credits for domestically produced inverters, battery cells, electrode active materials, and critical grid components. This has triggered facility expansion announcements from Eaton, Schneider Electric, and battery manufacturers. Combined with Buy America requirements for federally funded infrastructure, the IRA is reshoring electrical equipment production capacity.
Why are transformer lead times so long? ▾
US transformer demand has surged due to simultaneous pressures: renewable energy project interconnections, data center power requirements, aging grid infrastructure replacement, and EV charging buildout. Domestic transformer manufacturing capacity was already constrained after decades of underinvestment. Grain-oriented electrical steel (GOES), the core transformer material, faces its own supply bottleneck. DOE has invoked emergency authorities to accelerate production.
What DOE efficiency standards regulate this subsector? ▾
DOE sets minimum efficiency standards under the Energy Policy and Conservation Act for distribution transformers, electric motors, residential appliances (refrigerators, washers, dryers, water heaters), commercial HVAC equipment, and lighting products. Manufacturers must meet these standards for market access. Recent rulemakings have tightened requirements for distribution transformers and residential appliances, requiring product redesigns and testing recertification.
How is EV charging infrastructure driving demand for electrical equipment? ▾
The NEVI formula program and IRA tax credits are funding deployment of DC fast chargers requiring significant electrical infrastructure. Each fast-charging station needs dedicated transformers, switchgear, and power management systems. Eaton, Siemens, and ABB supply this equipment, and the buildout is creating sustained demand beyond the chargers themselves for upstream power distribution infrastructure.

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