LG Electronics Inc. is exploring ways to expand its Tennessee manufacturing footprint with new refrigerator production lines, joining other South Korean manufacturers fortifying their US presence ahead of potential trade restrictions.
The company is evaluating plans to construct additional facilities adjacent to its existing Clarksville plant, which currently produces washing machines and dryers across four production lines, according to people familiar with the matter. The site, operational since 2018, includes vacant land that could accommodate the expansion.
The move comes as Samsung Electronics Co. considers relocating two refrigerator production lines from South Korea to North America, possibly choosing its South Carolina facility over its Mexican operations in Querétaro. The decision reflects growing concerns about a potential 25% tariff on Mexican imports under a possible second Trump administration.
LG currently holds about 20% of the US washing machine and dryer market, according to company officials. The planned expansion would reduce delivery times and shipping costs in the $40 billion US appliance market.
The shift in manufacturing strategy extends beyond appliances. Samsung and SK Hynix Inc. have pledged $44 billion and $3.87 billion respectively for new US semiconductor facilities, with Samsung constructing plants in Texas and SK Hynix planning chip packaging operations in Indiana by 2028.
