Korean firms SK Innovations and LG Chem have put aside historical differences to sign a deal that will see the former supply battery separator film to the latter’s North American facilities.
SK’s subsidiary SK IE Technology Co. (SKIET) has already started delivering base separator film material – with the aim of supplying enough of the material for 300,000 electric vehicles (EVs).
LGES will receive the base separator film before coating it and sending the coated separators to its North American battery-manufacturing plants.
The deal is reported to be worth around 110 billion won ($75.7 million), according to industry sources.
The deal is the first time the companies have partnered since a US lawsuit in 2021, which saw SK Innovation banned from importing lithium-ion battery cells, modules and packs containing intellectual property owned by LG Chem into the US. Read more here.
Back in 2014, LG Chem and SK Innovation withdrew a patent lawsuit in the US and South Korea that dealt with inorganic material-coated separators. Read more here.
In February, LGES announced its Holland, Michigan plant would start mass production of LFP batteries for energy storage systems (ESS) in the second half of this year, according to news outlet Business Korea.
Last April, the company began construction of a manufacturing complex in Arizona, US. The $5.5 billion (KRW 7.2 trillion) stand-alone facility is due to be completed in 2026.
The complex consists of two manufacturing facilities. One plant is called LG Energy Solution Arizona; it will produce 46-Series cylindrical cells for the electric vehicle markets. The second manufacturing facility is called LG Energy Solution Arizona ESS; it will produce LFP pouch-cells for ESSs.
