What Are the Top Industries in Tennessee?
Here’s a look at the industries that are powering the economy in Tennessee.
In This Article
Advanced Manufacturing
Tennessee combines manufacturing history with modern innovation. Advanced facilities across the state produce everything from automotive parts to medical devices, supported by a workforce trained in precision production. Strong investment in research and development and workforce training keeps Tennessee globally competitive.
Key Facts
153,000-plus Tennesseans employed in advanced manufacturing at 2,600-plus establishments
More than $16.8 billion in capital investment since 2017
Aerospace and Defense
With defense assets and commercial aviation suppliers, Tennessee’s aerospace industry is deep and diverse. The Arnold Engineering Development Complex provides world-class testing facilities, while companies manufacture components for aircraft, satellites and defense systems. Universities strengthen the sector by supplying skilled engineers and researchers.
Key Facts
10,400-plus Tennesseans employed in aerospace and defense at 110-plus establishments statewide
Nearly $935 billion in aerospace products and parts exported every year
Appliances and Electrical
Appliance and electrical equipment manufacturing has deep roots in Tennessee, where global companies have built efficient operations supported by extensive supply chains. The sector covers everything from refrigerators and air conditioners to specialized electrical components. Skilled workers and engineering talent keep the industry competitive with global exports.
Key Facts
17,300-plus Tennesseans employed in appliance and electrical manufacturing at 180-plus establishments statewide
More than $1.3 billion in appliance and electrical exports each year
Automotive
The automotive sector is Tennessee’s largest industrial powerhouse. Assembly plants for GM, Volkswagen and Nissan have long anchored a network of hundreds of automotive suppliers in Tennessee. With the addition of Ford’s BlueOval City – the state’s fourth original equipment manufacturer (OEM) – Tennessee now has one of the highest concentrations of OEMs in the country. Training programs tailored to industry needs make Tennessee one of the top automotive employers nationally.
Key Facts
142,900-plus Tennesseans employed in automotive manufacturing at 900-plus automotive establishments
More than $15.3 billion in foreign investments in Tennessee
Chemicals
Tennessee’s chemical industry is broad and resilient, producing materials that serve automotive, health care, agriculture and consumer goods companies. Facilities range from large-scale commodity producers to niche specialty manufacturers, positioned near river and rail networks for efficient distribution. Global companies like Eastman, Bayer and 3M underscore Tennessee’s international competitiveness.
Key Facts
16,300-plus Tennesseans employed in chemical manufacturing at 420-plus establishments statewide
More than $6.6 billion in chemical exports annually
Distribution and Logistics
Geography is one of Tennessee’s biggest advantages. The state’s central location puts most of the U.S. within a day’s drive, supported by interstates, rail lines, river ports and Memphis International Airport – one of the world’s busiest cargo airports. Companies like Amazon, FedEx, Macy’s and U.S. Xpress have major Tennessee operations.
Key Facts
249,000-plus Tennesseans employed in logistics and distribution at 15,200-plus establishments
More than $4 billion in logistics capital investment since 2018
Food and Beverage
Tennessee’s food and beverage industry blends heritage brands with agribusiness innovations. Jack Daniel’s, Bush’s Beans, Kewpie and Little Debbie sit alongside greenhouse producers, brewery brands and advanced processors. Agricultural roots, available industrial sites and transportation advantages keep this sector growing and competitive.
Key Facts
42,900-plus Tennesseans employed in food and beverage production at 740-plus establishments statewide
More than $1.5 billion in food and beverage exports annually
Health Care and Life Sciences
Anchored by Nashville’s concentration of hospitals and corporate headquarters, Tennessee is a national hub for health care and medical innovation. Medical device manufacturers, biotech firms and clinical research organizations operate statewide, supported by health professionals and researchers. Companies doing business in the state include DeRoyal Industries, Hospital Corporation of America (HCA) and Wright Medical Technology.
Key Facts
2,300-plus health care and life sciences establishments statewide
19% employment growth since 2016
No. 3 in the U.S. for medical equipment and supplies exports
Headquarters, Finance and Tech
Tennessee’s pro-business climate attracts corporate headquarters, financial services and technology operations. Fortune 500 firms like FedEx, HCA, Bridgestone, Oracle and Dollar General are headquartered here, while major cities across the state attract startups and data-driven companies.
Key Facts
175,000-plus Tennesseans employed in HQ, finance and tech at 18,000-plus establishments across the state
No. 1 in the Southeast (No. 3 nationally) for HQ, finance and tech job growth since 2011
Ceramics and Glass
Ceramics and glass production carry a global reach. Because 90% of all tiles manufactured in the U.S. contain Tennessee ball clay, the state is aptly nicknamed Tennessee Tile Valley. Rubber and advanced ceramics manufacturers add depth to the economy, supplying products for high-performance applications.
Key Facts
16,400-plus Tennesseans employed in rubber, ceramics and glass manufacturing at 200-plus establishments statewide
2,600-plus Tennesseans employed specifically in ceramics production