Samsung plans huge investment to expand US facilities and shift manufacturing from Mexico

Samsung is planning to expand its US production facilities and shift some of its manufacturing from Mexico.

The initial investment is expected to be about $300m (£246m). At least five states are in talks with Samsung about the expansion, which could generate as many as 500 jobs in the area, people familiar with the matter told the Wall Street Journal.

Eventually the company could even ramp up manufacturing of refrigerators, washing machines, dryers and other home appliances, suggests the report.

Details about Samsung's US facility surfaced in February, when the company said it would continue to evaluate new investment needs in the US. Samsung's move could be a possible response to President Donald Trump's criticism about import. The new US administration has threatened to impose an additional tax on imports and the president has urged companies to invest more in the US.

Samsung has held discussions with Alabama, Georgia, North Carolina, South Carolina and Ohio of which South Carolina seems to be stronger contender. Samsung is apparently interested in a site around Blythewood, South Carolina.

Samsung has confirmed its US plan to the Wall Street Journal saying the preliminary discussions were about a new home-appliance facility.

"However, this is a complex process that, like all strategic business decisions, will not be made final until it is determined through proper due diligence and planning that it is the best option for Samsung," the company said in a statement.

It said it began reviewing US options early last fall, which was before the November election.

A large number of Samsung's home appliances are manufactured in Mexico.

Samsung has made huge investments in the US. In November 2016, the company announced its plan to invest $1bn by the first half of 2017 in its Austin, Texas, semiconductor facility to boost production of processors for use in smartphones and other electronic devices.