South Korean electric vehicle battery manufacturers SK Innovation and LG Energy Solutions reached a settlement in a US trade dispute. Under the terms of the agreement, SK will pay $ 1.8 billion (2 trillion won) in cash and proceeds to LG, according to the verge.
The companies said in a joint statement that they would help develop the electric car battery industry in South Korea and the United States, through healthy competition and friendly cooperation, they will work together to strengthen the battery network and the environmentally friendly policy pursued by the administration of US President Jobiden.
In February the US International Trade Commission imposed a 10-year import ban on SK Innovation set to go into effect on Sunday after allegations that it illegally acquired the technology from rival LG.
The settlement would prevent a ban on importing SK Innovation batteries into the United States, which would have been a problem for the Biden administration. Ford and Volkswagen are slated to start producing electric cars next year, using batteries made at the SK plant in Georgia.
President Biden said in a statement on Sunday, this settlement agreement is a win for American workers and the American auto industry. An essential part of my plan to rebuild better is building future electric vehicles and batteries here in America, all over America by American workers, we need. To a strong, diversified, and flexible supply chain of electric vehicle batteries in the United States, so that we can supply the growing global demand for these vehicles and components.