Hankook Tire, the leading and one of the fastest growing tire companies in the world, held a groundbreaking ceremony today for its new United States plant based in Tennessee. The Tennessee Plant is Hankook Tire’s eighth global production base and the first U.S.-based facility. This celebratory event took place at the plant site in Clarksville, Tennessee, with the presence of State of Tennessee Governor, Bill Haslam. Also present were local and state officials as well as media representatives.
Expected to begin operation in 2016, the plant will secure production capacity of 12 million tires, mostly for regional supplies in the North American market. This will enable for a more efficient tire distribution in the market and will open more opportunities to strengthen the business engagement with the U.S.-based automakers for original equipment tire supplies. Also, the additional production capacity from this plant will contribute to increase annual global production to over 100 million tires.
“Today marks an important milestone in our 73-year history as a tire maker. The new Tennessee Plant will be a pivotal instrument to accommodate our growing business in the United States and also to propel a well-balanced global production portfolio,” said Mr. Seung Hwa Suh, Vice Chairman and CEO of Hankook Tire. He added, “Combined with our advanced technological capability, the newest plant will create premium value and solidify our presence as a top-tier player in the global tire industry.”
Building on an aggregated land area of 469 acres, Hankook Tire will invest USD 800 million for the construction of this new plant. With this investment in place, the new plant will be equipped with the state-of-the-art tire production facilities and provide optimal work environment. It also creates approximately 1,800 full-time jobs in the region.
“We want to congratulate Hankook Tire on breaking ground on its first U.S. manufacturing facility in Montgomery County,” Tennessee Gov. Bill Haslam said. “Hankook’s announcement has not only made a major impact on Tennessee’s automotive sector, but will also boost the Clarksville-area workforce as we continue our work to make Tennessee the No. 1 location in the Southeast for high quality jobs.”
Over the past decades, Hankook Tire has been cumulatively investing in the United States by establishing its American Regional Headquarters in 1981 and Akron Technical Center in 1992. The announcement for the Tennessee Plant was made in October 2013 in conjunction with the State of Tennessee. Tennessee has been chosen as the ideal location for the company’s newest plant, providing an extensive transportation infrastructure.