Novonix to build second Chattanooga plant at Enterprise South

CHATTANOOGA, Tenn. (WDEF)- A prominent electric vehicle battery manufacturer is looking to expand their presence in Chattanooga.

Novonix is planning to build a new plant on what they call their “First greenfield site” on 812 acres at Enterprise South Industrial Park

This new plant at Enterprise South will expand the capacity of Novonix to produce synthetic graphite in Chattanooga, an essential component in electric vehicle batteries.

Up until recently, this material was exclusively produced in China.

They are asking the city of Chattanooga and Hamilton County to approve a 15 year PILOT agreement, which would provide tax breaks in exchange for over 500 new jobs and over a billion dollars in investments.

Novonix’s Cheif Operating Officer Darcy Macdougald explained the plant would, “In addition to the 20,000 tons of production at our riverside plant, the Enterprise South plant will be able to support an additional 30,000 tons of production by 2028, with the potential to expand up to 75,000 tons per year.”

While reaction from the city council was positive toward the new plant, some hope the infrastructure in the area surrounding Enterprise South will be improved with the increase in traffic.

Councilwoman Jenny Hill said, “I think we’re going to have a lot of opportunities to grow along Highway 58, and we need to be mindful on what happens to Lee Highway and Bonny Oaks.”

The current Novonix plant in Chattanooga on the Westside.

While this new plant is in Enterprise South, officials say this new project will have benefits for a project on Chattanooga Westside. 

Adam Myers, the Vice President for the Chattanooga Chamber of Commerce, said, “Hamilton County is also proposing to dedicate at least five million dollars of their fees to support education initiatives within Hamilton County school districts. Right now in the agreement that is listed as the Gateway School, which really provides and boosts workforce development efforts in the career and technical educational pathways, and this funding would only come from the Hamilton County’s share of economic development.”

Novonix expects the Enterprise South plant to be up and running by the end of 2028.