Tennessee is closing the year with a mix of historic investments, steady but cooling economic growth, active local decision-making, and unsettled late‑December weather.
According to the Tennessee Department of Economic and Community Development, Korea Zinc has selected Tennessee for its first U.S. operations, announcing more than 6.6 billion dollars in new production facilities in Clarksville and Gordonsville, the single largest private investment in state history and expected to create over 700 high-paying jobs across Montgomery and Smith counties.[Tennessee Department of Economic and Community Development] The department also reports that ALUKO Group will invest roughly 107.7 million dollars in Lauderdale County, bringing about 285 new manufacturing jobs as it repurposes a former auto-parts plant.[Tennessee Department of Economic and Community Development]
The University of Tennessee’s Boyd Center for Business and Economic Research projects that unemployment will average about 3.6 percent in 2025, only slightly above the state’s all-time low, even as annual job growth slows markedly from pre-pandemic trends.[University of Tennessee Boyd Center] The same outlook highlights Tennessee’s role in the emerging nuclear sector, noting federal support of up to 300 million dollars for the Hermes 1 advanced reactor now under construction and a new Hermes 2 project announced with Kairos Power, Google, and TVA to feed the TVA grid.[University of Tennessee Boyd Center]
Local governments are steering major infrastructure and cultural decisions. CityNowNext reports that the state has committed 500 million dollars toward a new Tennessee Performing Arts Center on Nashville’s East Bank, contingent on private matching funds, while Mayor Freddie O’Connell’s administration has agreed to share infrastructure costs and secure 30 days of annual access for Metro-led educational and community programming.[CityNowNext] Meanwhile, a recent State Building Commission agenda details approvals for projects ranging from classroom upgrades at the University of Tennessee Knoxville to a new aviation campus for TCAT Memphis and repairs at the Tennessee School for the Deaf in Knoxville, underscoring ongoing state investment in education facilities.[Tennessee State Building Commission]
Community schools are seeing targeted improvements. The Tennessee Firefly reports that Hamilton County has approved a 34 million dollar phased renovation of Soddy Daisy Middle School, including modernized classrooms, a new gym, and an upgraded cafeteria, after community feedback pushed leaders to rebuild on the existing site rather than relocate.[Tennessee Firefly]
Weather-wise, conditions have been mostly quiet but changeable. Tennessee Valley Weather notes rounds of rain and some gusty storms along a recent cold front, with forecasters expecting a very low severe threat but strong winds and a quick turn to colder, clearer air behind the boundary.[Tennessee Valley Weather] Local outlets in Rutherford and Williamson counties describe overcast, mild days with no warnings in effect and a trend toward clear, cool nights.[Rutherford Source][Williamson Source] FOX 17 in Nashville, however, issued a Code Red alert for the potential of a few strong storms in Middle Tennessee tied to that same front, though emphasizing a low tornado risk.[FOX 17 WZTV]
Looking ahead, listeners should watch for the General Assembly’s upcoming 2025–26 session calendar, further details on Korea Zinc and ALUKO hiring timelines, progress on the new TPAC financing plan, and how Tennessee’s advanced nuclear projects and slower job growth will shape the next few years of the state’s economy.
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