Southwire Taps Plug Power, Inc. to Advance Carbon Reduction from the Supply Chain

Rhea-AI Summary

Plug Power Inc. (NASDAQ: PLUG) has entered into a new agreement with Southwire, a leading North American wire and cable manufacturer, to implement a clean hydrogen ecosystem at their Dallas-Fort Worth, Texas distribution site. The partnership includes:

- Supply of 50+ hydrogen-powered forklifts with GenDrive fuel cells
- Installation of fueling station with 4 GenFuel dispensers
- Hydrogen sourcing from Plug's facilities in Georgia, Tennessee or Louisiana
- 5-year fuel cell service agreement and 10-year hydrogen infrastructure maintenance

The solution is projected to eliminate over 1 million pounds of CO2 annually from Southwire's direct operations. This agreement marks Plug's strategic entry into the industrial supplier market, expanding beyond their established presence in e-commerce and retail sectors. The partnership demonstrates Plug's commitment to providing sustainable alternatives to traditional lead acid batteries while supporting Southwire's sustainability goals.

Positive

• Entry into new industrial supplier market segment
• Long-term revenue stream: 5-year service agreement and 10-year infrastructure maintenance contract
• Large-scale deployment of 50+ hydrogen-powered forklifts and fueling infrastructure
• Demonstrates commercial viability of hydrogen solutions as alternative to lead acid batteries

Negative

• None.

Plug penetrates the industrial supplier market with new agreement by demonstrating a sustainable option to lead acid batteries

SLINGERLANDS, N.Y., March 13, 2025 (GLOBE NEWSWIRE) -- Southwire, a leading North American manufacturer of wire and cable, will tap Plug Power Inc. (NASDAQ: PLUG), a global leader in hydrogen solutions for the hydrogen economy, to implement a clean hydrogen ecosystem at its new distribution site in Dallas-Fort Worth, Texas.

This initiative marks Plug’s entry into the industrial supplier market, building on its established presence in the e-commerce and retail sectors. Through this partnership with Southwire, Plug is expanding its reach by demonstrating the versatility and appeal of its green hydrogen solutions in new markets.

Under the recently signed agreement, Plug will supply more than 50 hydrogen-powered forklifts, equipped with GenDrive fuel cells, and a fueling station featuring four GenFuel dispensers. Plug will also source hydrogen from one of its production facilities in Georgia, Tennessee or Louisiana. Additionally, Plug will provide on-site service for the fuel cells for an initial five-year period and maintain the hydrogen infrastructure for 10 years.

Aiming to accelerate carbon reduction goals from the supply chain, Southwire has embedded sustainability into the strategy and its business practices. The company's commitment to sustainability encompasses promoting energy and water efficiency, reducing greenhouse gas emissions, sourcing and redesigning with sustainable materials and enhancing circular economy. The Plug solution is expected to displace over 1 million pounds of CO2 per year from our direct operations.

"The deployment of our hydrogen and fuel cell solutions at Southwire reflects our laser-focused commitment to our core markets and a return to the fundamentals that have driven our success," said Plug CEO, Andy Marsh. "Today, sustainability is a critical factor in the decision-making processes of many organizations. Our innovative hydrogen infrastructure provides a sustainable alternative at any scale."

“Our partnership with Plug Power is a testament to the commitment of our stakeholders, as well as our team members to ensure sustainability is part of our culture, embedded in our daily decision-making process,” said Se Oh, Southwire’s vice president of operations sustainability. “As we seek to discover what is possible, we’ll continue to leverage our partners such as Plug Power to help make Southwire generationally sustainable for the next 75 years and beyond.”

Plug revolutionized the material handling industry by establishing the first commercial market for fuel cells. Designed as direct replacements for traditional batteries, Plug’s fuel cells deliver reliable, consistent power while eliminating emissions. With the added benefit of clean hydrogen supply, Plug enables customers to keep their fleets running 24/7, maximizing productivity and operational efficiency.

About Southwire

Southwire Company, LLC is North America's leading wire and cable company. The $8.4B organization is made up of more than 9,000 team members across the globe who unite as ONE Southwire each and every day to serve each other, their customers and their communities. Southwire and its subsidiaries provide solutions including building wire and cable, metal-clad cable, utility products, portable and electronic cord products and OEM wire products. In addition, Southwire offers electrical products, engineered solutions and a variety of field support services. For more on Southwire, its products and solutions, its community involvement and its vision of sustainability, visit www.southwire.com. 

About Plug Power

Plug is building the global hydrogen economy with a fully integrated ecosystem spanning production, storage, delivery, and power generation. A first mover in the industry, Plug provides electrolyzers, liquid hydrogen, fuel cell systems, storage tanks, and fueling infrastructure to industries such as material handling, industrial applications and energy producers—advancing energy independence and decarbonization at scale. 

With electrolyzers deployed across five continents, Plug leads in hydrogen production, delivering large-scale projects that redefine industrial power. The company has deployed over 70,000 fuel cell systems and 250 fueling stations and is the largest user of liquid hydrogen. Plug is rapidly expanding its generation network to ensure reliable, domestically produced supply, with hydrogen plants currently operational in Georgia, Tennessee, and Louisiana, producing 39 tons per day.

With employees and state-of-the-art manufacturing facilities across the globe, Plug powers global leaders like Walmart, Amazon, Home Depot, BMW, and BP.

For more information, visit www.plugpower.com.

Plug Power Safe Harbor Statement

This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks and uncertainties about Plug Power Inc. (“Plug”), including but not limited to statements about: Plug’s ability to effectively and economically implement a hydrogen infrastructure at specific customer distributions; Plug’s continued build-out of its hydrogen network and its ability to allow customers to seamlessly integrate hydrogen into their operations across multiple industries; customer demand for liquid hydrogen; the impact of policies in the U.S. on the demand for liquid hydrogen; the liquid hydrogen production out of Plug’s hydrogen plants bringing down the average cost of delivered hydrogen, positively impacting Plug’s fuel margins; and Plug’s ability to build out a vertically integrated hydrogen ecosystem, including its ability to develop multiple hydrogen production plants targeting commercial operation by year-end 2028. Such statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in these statements. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Plug in general, see Plug’s public filings with the Securities and Exchange Commission (the “SEC”), including the “Risk Factors” section of Plug’s Annual Report on Form 10-K for the year ended December 31, 2024, Plug’s Quarterly Reports on Form 10-Q for the quarters ended March 31, 2024, June 30, 2024 and September 30, 2024 and any subsequent filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements are made as of the date hereof, and Plug undertakes no obligation to update such statements as a result of new information.

Media Contact:
Fatimah Nouilati
Email: PlugPR@plugpower.com

FAQ

What is the scope of Plug Power's new agreement with Southwire?

PLUG will provide 50+ hydrogen-powered forklifts, a fueling station with 4 dispensers, hydrogen supply, 5-year fuel cell service, and 10-year infrastructure maintenance at Southwire's Dallas-Fort Worth facility.

How much CO2 reduction is expected from PLUG's hydrogen solution at Southwire?

The solution is expected to displace over 1 million pounds of CO2 per year from Southwire's direct operations.

Which new market segment is PLUG entering with this Southwire partnership?

PLUG is entering the industrial supplier market, expanding beyond its existing e-commerce and retail sector presence.

Where will PLUG source the hydrogen for Southwire's operations?

PLUG will source hydrogen from one of its production facilities in Georgia, Tennessee, or Louisiana.