The announcement by Tennessee Gov. Bill Haslam and other officials put to rest growing speculation that Hankook was coming to town. The company is expected to break ground on the new plant by the end of 2014 and begin tire production by 2016.
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Hankook will invest over $800 million for the new state-of-the-art plant, its first in the United States. The new plant will provide additional capacity for Hankook's growing business in the U.S. market and create approximately 1,800 full-time jobs for the region.
"This new facility will help Hankook Tire accomplish our plan to establish a production base in all major markets," said Mr. Seung Hwa Suh, Vice Chairman and CEO of Hankook Tire. "We will be able to provide our customers, consumers and car makers with high quality tires and industry leading service to meet the demands of the American market."
According to Haslam, state and local officials first started talking with the company about 18 months ago. The governor thanked the company, and the state and local partnership for making it happen.
Tennessee Department of Economic and Community Development Commissioner Bill Haggerty said that Hankook's choice of Clarksvile site for its first North American facility is going to be a shot heard around the world
"These 1,800 jobs will make a real difference for Tennessee, and for this area," Haggerty said.
Clarksville Mayor Kim Millan said, "With vision and insight, Hankook Tire is committed to being a leading local company." She also said that in Clarksville-Montgomery County, Hankook Tire would find the most dedicated, talented workforce anywhere.
McMillan credited Industrial Board Executive Director Mike Evans and his team at the EDC for their roles in the Hankook anno! uncement.
Once production begins, Hankook will become the city's largest private employer.
The Clarksville location is ideal for Hankook, offering an extensive transportation network including rail, plane and interstate highway networks as well as regional access to the Mississippi River inland waterway.
This announcement puts Hankook Tire one step closer to its vision of being a leading global tire company providing customers with top-tier products and service.
Nissan, General Motors and Volkswagen have assembly plants in Tennessee, and more than 900 further automotive sector companies are active in the state.
Clarksville is also home to a steel cord plant for Japanese tire maker Bridgestone, which has its Americas headquarters in Nashville.
Not all the news has been good for the tire industry in Tennessee in recent years. Goodyear in 2011 shut its plant about 100 miles to the west in Union City, causing 1,800 workers to lose their jobs.
Contributing: The Associated Press
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