Hankook to Double US Capacity

Due to the tariff policy of US President Donald Trump, the Korean Hankook & Company intends to double the production of tires and lead-acid batteries at its plant in Tennessee, said the company's chairman and CEO Cho Hyun Bum, whose words are reported by Yonhap.

The production of batteries, which accounted for 70% of the holding's sales last year, will increase to 3 million units per year, and Hankook Tire will increase its tire production capacity from 5.5 to 12 million tires per year. The main focus will be on tires for crossovers and SUVs, the demand for which has been growing in recent years, which should help improve the company's profitability.

"Hankook & Company is taking countermeasures, closely monitoring the trade and economic policy of the Trump administration," Cho noted. "As one of the technological leaders of the Korean industry, we intend to make every effort to increase the competitiveness of Korean products and our national prestige."

On March 24, Trump stated that he would "soon" announce the introduction of new tariffs on imported cars and auto parts, which, as he said earlier, could be around 25%.

The plant in Tennessee is the only one for Hankook in the US, while the other facilities are located in South Korea, China, Hungary, and Indonesia.