Tennessee Gov. Bill Lee, Deputy Gov. and Department of Economic and Community Development Commissioner Stuart C. McWhorter and Hyosung HICO, Ltd. officials announced the company will expand operations at its U.S. manufacturing headquarters in Memphis, Tennessee.
Hyosung HICO will invest an additional $157 million and create 240 new jobs as the company constructs a new facility at its U.S. headquarters. Upon completion, the new plant will expand Hyosung HICO’s manufacturing capacity by an additional 50%, making the facility one of the largest domestic power transformer manufacturing operations in the U.S. and the only facility currently dedicated to manufacturing 765kV transformers domestically.
Today’s announcement follows Hyosung HICO’s $51 million expansion announced in May and also comes days after Gov. Lee’s and Deputy Gov. and Commissioner McWhorter’s international recruiting trip to Asia. With the company’s total investment of over $300 million since 2019 at the Memphis plant, this project further strengthens the longstanding relationship between Tennessee and South Korea and reinforces a partnership built on innovation, manufacturing excellence and shared values.
Subsidiary to South Korean Hyosung Heavy Industries, Hyosung HICO is a leading U.S. producer of large power transformers, critical components that ensure a secure and reliable electric grid. Since selecting Memphis for its U.S. production facility in 2019, the company has become a cornerstone of Hyosung’s North American presence and a key driver in domestic grid modernization.
Since 2019, South Korea has emerged as one of the state’s top partners for foreign direct investment partner for jobs and capital investment, investing $7.2 billion.
“Tennessee’s pro-business climate, low taxes and highly skilled workforce make our state a top destination for global companies. Hyosung HICO’s $150 million investment and 240 new jobs in Memphis reflect the strength of our economy and our commitment to building strong and lasting international partnerships. We look forward to supporting this company’s continued growth and creating more opportunities for Tennesseans.” – Gov. Bill Lee
“When companies choose Tennessee, it’s a clear testament to our strong business climate and leadership in innovation. When they choose us again, it underscores the lasting partnerships we’ve built through international engagement – and important to today’s announcement – our commitment to advancing critical industries like power. I’m grateful to Hyosung HICO’s leadership for their continued trust in our state and remain committed to supporting their success.” – Deputy Gov. and TNECD Commissioner Stuart C. McWhorter
“This additional expansion reflects our shared success with the State of Tennessee and the partnership between our U.S. operations and our headquarters in South Korea. Together, we’ve built more than a manufacturing facility; we’ve built opportunity. Our employees are the quiet force behind the economic growth that defines Memphis and the broader ‘Digital Delta’, helping us become the leading domestic manufacturer of power transformers. As we expand our business, including 765kV solutions, transformers, switchgear and DC solutions, we remain committed to advancing American manufacturing, strengthening our community and honoring the Korea-America collaboration that fuels our success.” – Jason E. Neal, president of Hyosung HICO and senior executive VP of HICO America
“I am very glad that we have fulfilled our commitment of 410 jobs to Tennessee two years ahead of schedule and are now embarking on our third expansion. A reliable and efficient power grid is the backbone of a nation’s competitiveness, and in this era of rapid digital transformation, it also serves as the cornerstone of the AI industry and many other key industries. We take immense pride in contributing to this vision as a key manufacturer of critical power infrastructure right here in Tennessee.” – Takeshi Yokota, president of power system PU, Hyosung Heavy Industries
“Hyosung HICO’s continued growth in Memphis is a testament to the power of partnership. At EDGE, we’re proud to stand alongside them as we build a future powered by innovation, collaboration and shared prosperity for Memphis and Shelby County.” – Dr. Joann Massey, CEO, EDGE
“The continued investment from HICO represents exactly what we envision for Memphis, because we are a city where global innovation meets local talent. Hyosung HICO’s decision to grow here shows confidence in our workforce and infrastructure, as well as a shared vision for inclusive economic growth. Memphis is in an Era of Yes, and private investments in our economy like this show Memphis is ready to do business.” – Memphis Mayor Paul Young
“TVA and MLGW congratulate Hyosung HICO on its decision to expand operations in Shelby. It’s always an exciting day when we can celebrate a company’s continued commitment to growth in the region. We are proud to partner with the Tennessee Department of Economic and Community Development, Greater Memphis Chamber and Memphis Shelby County EDGE to support companies, like Hyosung HICO that create quality jobs and investment in the region, and we celebrate this announcement together.” – John Bradley, senior vice president of economic development, TVA
“Hyosung HICO's Memphis facility is key to supplying the nation with leading energy solutions. It makes me proud to say the future of electric power infrastructure is built in Memphis.” – Senate Minority Leader Raumesh Akbari (D-Memphis)