Gap Inc. is deepening its US footprint with a $58 million investment to expand operations at its Gallatin, Tennessee distribution center, reinforcing CEO Richard Dickson’s strategy to strengthen domestic infrastructure and logistics capabilities.
The facility, located just outside Nashville, is the largest in Gap’s global network and serves as a key hub for fulfilling orders across its brands, including Old Navy, Gap, Banana Republic, and Athleta.
The expansion will create 100 new jobs and integrate advanced robotics from Boston Dynamics, supporting the company’s growing focus on automation and efficiency.
“This project will further enhance our capabilities to meet the needs of our customers and support our team members with cutting-edge tools,” said Kevin Kuntz, SVP of logistics at Gap Inc.
Since establishing the Gallatin site, Gap has invested more than $150 million in the region and now ranks as the largest private employer in Sumner County, with over 1,600 local employees.
The move aligns with Dickson’s broader vision to revitalise Gap Inc.’s retail portfolio by investing in the US supply chain, simplifying operations, and modernising the company’s logistics.
Speaking in May, he cited the company’s American workforce of over 65,000 as a strategic advantage, while noting plans to double US.-grown cotton sourcing by 2026.
While Dickson warned of potential headwinds from tariffs under the Trump administration that could impact the business by up to $150 million, he struck an optimistic tone: “We are operating with greater discipline, growing brand momentum, and improved platform capabilities.”
The investment comes as Gap celebrates five consecutive quarters of positive same-store sales and nine straight quarters of market share gains.
Dickson credited growth at both Old Navy and Gap, with traction across all income groups, as proof the company’s turnaround strategy is taking hold.
Click here to sign up to Retail Gazette‘s free daily email newsletter
