Tennessee is emerging as a leader in a national scramble to develop electric-vehicle and battery production, as states compete to woo multibillion-dollar investments from auto companies pivoting away from the combustion engine.
Ford Motor Co. F -0.83% and South Korean battery maker SK Innovation recently said they plan to develop a large complex to make electric vehicles and batteries in West Tennessee. That follows similar investments made by General Motors Co. and Volkswagen AG to add electric-vehicle production at their Tennessee assembly plants.
Ford’s real-estate scouts began their search early this year by looking at 85 potential locations across more than a dozen states. Ford’s checklist included a large empty property, so Ford could move quickly without having to clean up or retrofit an existing facility; cheap and reliable energy derived from renewable sources; access to rail and interstates; and reasonably close proximity to Ford’s other assembly plants, said Lisa Drake, Ford’s operations chief for North America and the point person on the site selection.