LG Electronics Inc., a South Korean tech giant, is set to expand its production capacity in the United States by building new home appliance lines, including refrigerators, at its Tennessee plant. This move is a response to U.S. tariff policies under President Donald Trump, aimed at boosting local manufacturing.
Sources from the Clarksville Montgomery County Industrial Development Board (IDB) revealed that LG’s expansion plan, titled “LG Electronics Tennessee Phase II,” will be presented at the IDB meeting on April 22, 2025. The expansion involves constructing a new 55,600-square-meter facility on a 1.26-million-square-meter site, where LG already operates its washer and dryer plant.
After completing the facility, LG plans to convert it into a refrigerator production line, pending assessments of local conditions in Clarksville for manufacturing feasibility. Currently, LG produces refrigerators in Mexico and Korea, exporting them to the U.S.
“We’ve secured sites for refrigerator and oven production at our Tennessee plant as a contingency in case U.S. tariffs on Mexican goods take effect,” said LG Electronics CEO Cho Joo-wan at the company’s March 2025 shareholders’ meeting.
While LG Electronics can install the new production lines, a source noted that it may take time before actual appliance production begins. The company is proceeding with preliminary approvals, applying for building permits, consulting on infrastructure, and negotiating tax incentives and job creation. Construction will follow the completion of administrative processes, with production timing to be adjusted based on market demand.
In addition to the Tennessee project, LG Group is advancing other major initiatives in the U.S., including expansions by LG Chem and LG Energy Solution in Tennessee, Michigan, and Arizona. The total investment by LG Group in the U.S. over the next four years is expected to exceed $20 billion.
Related topics: