Hanon Systems to build $170 million plant in Tennessee

Automotive thermal systems producer and Hyundai supplier Hanon Systems plans to invest nearly $170 million to establish a plant in Loudon, Tenn.

Tennessee Gov. Bill Lee said the company's plant will create 600 jobs and assemble automotive thermal products for electrified mobility to North American automakers.

"The number and the quality of jobs [Hanon Systems] are bringing will improve the job market landscape not just locally but regionally," Loudon County Mayor Buddy Bradshaw said in a statement. "They are bringing a nearly $170 million capital investment and a pay scale that will establish them quickly in the community."

The Loudon facility is the second U.S. factory announced by the South Korean company this year. In May, Hanon Systems released plans for a plant in Georgia, near Hyundai Motor Group's upcoming $5.5 billion manufacturing campus. The $40 million factory will be built in Statesboro, Ga., with plans to hire at least 160 employees.

Loudon's Hanon plant will be the company's fourth planned location in the U.S. Hanon also has factories in Shorter, Ala., and Carey, Ohio.

A spokesperson for Hanon could not be reached for comment Tuesday by Automotive News.

Hanon, based in Daejeon, South Korea, ranks No. 41 on the Automotive News list of the top 100 global suppliers with worldwide sales to automakers of $6.7 billion in 2022.