SK On accelerates U.S. battery joint venture preparations amid localization push

By Candice Kim Posted : May 7, 2025, 14:13 Updated : May 7, 2025, 14:13
BlueOval SKs Kentucky Plant 1 Courtesy of BlueOval SK
BlueOval SK's Kentucky Plant 1/ Courtesy of BlueOval SK
SEOUL, May 07 (AJP) - South Korean battery maker SK On is accelerating its battery joint venture projects in the United States, aligning with the growing emphasis on localization spurred by the United States' trade policies and new tariffs, according to industry officials on Wednesday.

SK On, which is collaborating with global automakers on multiple large-scale ventures, is now focusing on expanding its footprint in the North American electric vehicle (EV) market. BlueOval SK, its joint venture with Ford Motor Company, recently completed the installation of exterior signage at its Kentucky Plant 1, bearing the slogan "Electrifying the Future of Mobility."

The joint venture is building three factories in total, two in Kentucky and one in Tennessee. The first Kentucky plant is expected to become operational later this year, followed by the Tennessee facility in 2026.

In the lead-up to production, groundwork is well underway. BlueOval SK has hired over 1,200 employees, including a team of 350 staff that is recently been deployed to the Tennessee plant. The team is currently preparing for mass production, conducting equipment checks, and operational readiness drills. Town hall meetings are also being held regularly to align employees with the company’s mission and production targets.

Meanwhile, SK On’s partnership with Hyundai Motor Group in Bartow County, Georgia, is progressing toward a scheduled launch in the first half of next year. That facility, with an annual production capacity of 35 gigawatt-hours (GWh), is expected to supply batteries for approximately 300,000 electric vehicles. The project represents a $5 billion investment.

The joint venture, known as HSAGP Energy, is actively recruiting and training future staff. In April, the company signed a partnership agreement with Georgia Quick Start and Chattahoochee Technical College at the Quick Start Training Complex in Cartersville. Under the program, new hires will receive hands-on and classroom training in production, maintenance, and key areas such as quality control and workplace safety.

“SK On’s growing role in these joint ventures, especially after gaining operational experience with SK Battery America, has created strong local expectations,” said one industry official. “As tariffs make localization more urgent, these U.S. factories are set to become critical links in the North American EV supply chain.”

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