Samsung will spend US$380 million building the plant, which is expected to create 950 jobs. The South Carolina facility, located in between the city of Greenville and capital city Columbia, will take over manufacturing now being done in Mexico, the Post & Courier reported.
The high-tech plant will employ engineers and a variety of technical and non-technical workers, the companysaid.
Samsung Electronics' goal is to start operating production lines for its washing machines in early 2018.
Samsung Electronics America described the plant as a "state of the art" facility and alluded in a news release to incentives granted by the state government as a factor in the decision.
It was not immediately clear how much of Samsung's USA washing machine sales would be supplied by the new plant. In February, when news of a potential U.S. Samsung appliance plant first emerged, Trump tweeted: "Thank you, @samsung!"
"It is a reflection of the fact that America became a destination of choice for global companies who are seeking to expand", said u.s. Commerce secretary, Wilbur Ross, in a press release.
The company said it chose Newberry County for its "high-skilled workforce, robust supply chain and transportation infrastructure, and commitment to public-private partnerships".
Governor Henry McMaster believes this project will change the very fabric of the rural community.
"S.C. Ports Authority congratulates Samsung on their plans to establish operations in SC", said S.C. Ports Authority President and CEO Jim Newsome.
"South Carolina has a long and storied history in manufacturing", said Secretary of Commerce Bobby Hitt.
The board of Santee Cooper, South Carolina's state-owned utility, approved a $2.75 million grant for Samsung on Monday, said spokeswoman Mollie Gore. This includes a focus on using local vendors when possible, which we expect will support indirect jobs beyond those being directly created in their facility, Samsung says. Jim Newsome, president and CEO of the State Ports Authority, called the manufacturer's decision "very significant to the port", adding it "reflects our ability to meet the global supply chain needs of major worldwide manufacturers".
A celebratory event was to be held in Newberry later Wednesday.
The South Korean firm had launched talks to build a factory in the United States as worries about protectionist policies under U.S. President Donald Trump put pressure on global companies to generate jobs there.
Samsung employs over 18,500 people across the USA, including 3,000 jobs in Silicon Valley and over 6,000 manufacturing and engineering job in Texas.
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