Seung Hwa Suh, vice chairman and CEO of Hankook Tire Co., speaks to reporters on Monday about the company’s decision to build its first U.S. plant in Clarksville, Tenn., as Gov. Bill Haslam, left, looks on. The $800 million facility is expected to create 1,800 jobs.CLARKSVILLE, Tenn. – South Korean tire-maker Hankook announced Monday that it will build its first North American plant in Tennessee, creating 1,800 jobs.
Hankook, the world’s seventh-largest tire maker, said it will build the $800 million facility in Clarksville. Construction on the 1.5 million-square-foot facility is scheduled to begin by the end of next year, and it will begin making high-end performance tires by early 2016.
Seung Hwa Suh, Hankook’s vice chairman and CEO, called the construction of the U.S. plant “the next natural phase for our continued growth.” He told reporters that the decision to locate in Tennessee was the result of a year of discussions with state officials, and he cited the central location and existing auto industry as major factors.
“Tennessee is the center of America,” he said. “From a logistical point of view, this is a very good location for us to distribute tires to American consumers.”
Nissan, General Motors and Volkswagen have assembly plants in Tennessee, and more than 900 further automotive sector companies are active in the state. Ford, GM and Toyota build vehicles in neighboring Kentucky.