SK Innovation's Georgia Plant in the US Begins Full-Scale Battery Production from 2022

Consideration Begins for Additional Investment in Second Factory Within the Year... Choi Tae-won Reveals $5 Billion Investment Becoming Visible

[Asia Economy Reporter Yoonju Hwang] SK Innovation's electric vehicle battery plant, currently under construction in Commerce City, Jackson County, Georgia, USA, with an annual capacity of 9.8GWh, is scheduled to be completed in the second half of this year and will begin full-scale mass production from early 2022. Along with this, additional investment in a second plant is also being considered.

SK Innovation announced on the 16th that once the Georgia battery plant in the U.S. begins full operation in 2022, it will complete a global four-corner production system together with the Chinese and Hungarian plants, which will enter commercial production this year. Furthermore, SK Innovation's electric vehicle battery production capacity will expand from the current 19.7GWh (enough for 400,000 pure electric vehicles) to 60GWh (enough for 1.2 million pure electric vehicles), solidifying its status as a leading global electric vehicle battery company.

The SK Innovation Georgia battery plant, being built in the rapidly expanding U.S. electric vehicle market, will serve as a forward base for SK Innovation to become a world-class battery company.

Considering the rapidly growing U.S. market, SK Innovation is reviewing phased investment expansions. They have begun considering additional investments within this year at a level comparable to the initial investment, due to additional orders for electric vehicles to be sold in the U.S. This is expected to realize the $5 billion investment announced by SK Group Chairman Chey Tae-won. At the 'SK Night' event in November 2018, Chairman Chey mentioned, "If the business goes well, investment could expand up to $5 billion, and hiring 6,000 employees would also be possible," hinting at the possibility of further investment.

SK Innovation plans to open the era of the full-fledged '3rd generation electric vehicles' by applying cutting-edge battery technology at the Georgia battery plant. The 3rd generation electric vehicles can travel over 500 km on a single charge, offering a driving range comparable to internal combustion engine vehicles. This distance is sufficient for long-distance travel from Seoul to Busan without the need for intermediate charging.

SK Innovation's battery technology holds a distinct competitive advantage over rivals. In particular, it has secured technology and production capacity for Lithium-ion Battery Separators (LiBS) and is the only domestic company producing separators in-house. Through SK IE Technology, a specialized materials company, collaboration with the battery business is being further advanced.

SK Innovation has also introduced a differentiated method in cell production. By eliminating the adhesive process, the number of production steps is reduced, providing a technological edge in performance and margins compared to other companies. It is also evaluated as safe, having never been identified as the cause of fires in batteries or ESS (Energy Storage Systems) where batteries are stacked.

Based on this technological capability, SK Innovation aims to establish a global production network spanning domestic Seosan, China, Hungary, and the U.S. by successfully operating the largest single-scale plant in the U.S. market, positioning itself as a global market leader with a production capacity exceeding 100GWh by 2025.

At the same time, SK Innovation plans to grow into a company that provides new value to customers throughout the entire process from battery production to disposal by developing a BaaS (Battery as a Service) model that platforms the entire battery lifecycle in the U.S.-centered mobility market.

This content was produced with the assistance of AI translation services.