KEY POINTS
- Korea Zinc is investing $6.6 billion in a Clarksville smelting facility, creating 420 jobs there.
- Backed by a $2.15 billion War Department partnership, the facility will support critical mineral production.
- The project will also reopen a closed zinc mine in nearby Gordonsville, adding 320 more jobs.
Clarksville, Tennessee, has landed another international partnership, and this one is massive. Korea Zinc, a Seoul-based zinc producer, has announced a $6.6 billion investment to build a smelting facility in the growing Tennessee city. Yet another megaproject (those worth at least $1 billion) for the U.S., the announcement represents Tennessee’s largest-ever “single private corporate investment,” and is also expected to be a significant boost for the local construction industry,
The centerpiece of Korea Zinc’s investment will be a nearly 7-million-square-foot integrated smelter. That’s a facility that takes raw materials and turns them into metal. According to the company, Clarksville’s facility will use new technology to process roughly 1.1 million tons of ores into zinc every year. Korea Zinc will place its U.S. headquarters here and is expected to create 420 new jobs. Site preparation will kick off this year, with full-scale construction set to begin in 2027.
Why is the U.S. Department of War involved in the Korea Zinc deal?
A strategic partnership with the U.S. Department of War plays a significant role in this project. According to Korea Zinc, the facility will produce 13 minerals critical to defense needs. The War Department will provide $2.15 billion of the investment, which includes a conditional $1.4 billion commitment. The goal is to strengthen domestic supply chains and reduce reliance on Chinese imports.
Tennessee Senator Bill Hagerty (R) said of the partnership, “This project will expand the United States’ capacity to produce the minerals that power our advanced industries and defense capabilities, strengthening national security while delivering high-paying jobs for hundreds of Tennessee families.”
How is the project reopening a closed mine in Smith County, TN?
The partnership extends beyond Clarksville. Nearby Gordonsville, in Smith County, will see a closed mine come back to life under the Korea Zinc investment. Formerly operated by Nyrstar, the mine paused operations in November 2023. 320 new jobs are expected to return to Gordonsville with this announcement.
That’s music to the ears of County Mayor Jeff Mason.
“I am extremely excited to hear that mining operations are set to resume in Gordonsville and Smith County,” he said. “Knowing that Smith County will play a vital role in our nation’s defense efforts and in supporting emerging technologies is a source of great pride for our community.”
Why did Korea Zinc pick Clarksville, Tennessee for this project?
According to a report on ClarksvilleNow.com, Korea Zinc will purchase an existing smelter in Clarksville, currently operated by Nyrstar, and take over that facility as part of the investment. To date, it was the only primary zinc smelter in the U.S.
Tennessee is no stranger to securing international partnerships, though. The state has long been a hub for foreign direct investment, famously building deep ties with Japanese companies like Nissan and Bridgestone. The state is Japan’s top partner for foreign direct investment, with some 200 Japanese companies operating there.
South Korea has increasingly invested in the region recently, especially in Clarksville. LG Chem is in the middle of completing a $3.2 billion battery factory in the city. Yun B. Choi, Korea Zinc’s Chairman, explained why his company is the latest to join.
“Tennessee offers a compelling combination of a highly skilled workforce, reliable infrastructure and strong collaboration at both the state and local levels, making it an ideal location for this project,” he said.
“[Korea Zinc’s investment] reinforces the importance of our strategic global recruitment efforts,” Tennessee Deputy Governor Stuart McWhorter adds. “The international relationships we’ve built over the years have been essential in securing projects like this one.”
Earlier in December, Clarksville announced Japan’s T.RAD was bringing a $90.2 million factory to town. Korea Zinc’s arrival cements South Korea’s status as another top international partner for the region, as Choi looks toward the future.
“We look forward to building a lasting partnership with Tennessee and the Clarksville community as we grow together,” he said.
Stay Connected
Stay connected with ConstructConnect News, your source for construction economy insights, market trends, and project news.
About ConstructConnect
At ConstructConnect, our software solutions provide the information that construction professionals need to start every project on a solid foundation. For more than 100 years, our keen insights and market intelligence have empowered commercial firms, building product manufacturers, trade contractors, and architects to make data-driven decisions, streamline preconstruction workflows, and maximize their productivity. Our newest offerings—including our comprehensive, AI-assisted software—help our clients find, bid on, and win more projects.
ConstructConnect operates as a business unit of Roper Technologies (Nasdaq: ROP), a constituent of the Nasdaq 100, S&P 500, and Fortune 1000.
For more information, visit constructconnect.com
.jpg)
.jpg)
