Negative News for Korean Battery Makers
U.S. automaker Ford said on April 27 (local time) that it will open a US$185 million battery development center in southeastern Michigan to develop electric vehicle (EV) batteries on its own. It is expected to have a significant impact on Korean battery manufacturers.
Ford follows the footsteps of its competitors General Motors (GM) and Volkswagen. GM recently laid out a plan to invest US$2.3 billion to build a second joint venture battery plant in Tennessee by teaming up with LG in addition to the first joint battery plant in Ohio. Volkswagen said it would invest to build six battery plants in Europe alone. The investment plan includes the extension of its partnership with Swedish battery company Northvolt.
Until Ford mass-produces batteries on its own, the automaker will rely on outsider suppliers. SK Innovation's batteries will go into an electric vehicle version of the F-150 pickup truck that will come out in 2022.