SK "LG's US Battery Lawsuit Aims to Oust SK and Establish Monopoly Position"

[Asia Economy Reporter Choi Dae-yeol] SK Innovation belittled LG Energy Solution’s recent announcement of a large-scale investment in the United States as an "effort to block the U.S. president’s veto." It also said LG’s actions were "irresponsible and excessive activities that only provoke rejection within American society."

In a statement released on the 16th, SK Innovation claimed, "After the U.S. International Trade Commission (ITC) decision, LG Energy Solution announced an investment plan without substance to prevent the veto and even distorted the facts." Last month, the ITC issued a final ruling that "SK infringed on LG’s trade secrets" and decided to impose a 10-year import ban.

The presidential review is scheduled until the 11th of next month. If the two companies do not reach an agreement or the president does not exercise the veto, the import ban will take effect. SK hopes the president will exercise the veto for the sake of the U.S. electric vehicle industry and the local economy. Amid this, LG’s recent announcement of a 5 trillion won scale battery plant investment plan in the U.S. has reignited the conflict between the two companies.

SK Innovation said, "(LG’s announcement of the U.S. investment plan) openly revealed that the purpose of this lawsuit, as analyzed in the market so far, is to expel SK Innovation from the U.S. market and establish their own monopoly position." It added, "The real purpose of announcing an investment without substance is to prevent the U.S. government’s veto to obstruct a competitor’s business, which American society already knows well," and argued, "Making announcements without specificity or binding force is an irresponsible act that undermines the credibility of K-battery, which should be a partner in Korea-U.S. economic cooperation, especially in the U.S.’s eco-friendly policies."

Regarding LG sending letters to local senators, SK viewed it as an act of sowing discord between Georgia, where SK’s battery plant is located, and SK. SK claimed this clearly showed LG’s lack of sincerity despite their previous statements about wanting coexistence. SK said, "(LG) outwardly claims that the presidential veto will not be exercised, but inwardly shows concern that the possibility of a veto is high."

Even after last month’s ITC ruling, negotiations between the two companies have reportedly made little progress. The industry sees this as due to a large gap in perceptions regarding the settlement amount. SK stated, "Senior officials from both sides met earlier this month," and added, "If LG Energy Solution agrees, we are willing to disclose all negotiation progress."

Meanwhile, SK Innovation said, "If LG Energy Solution has suffered damages due to trade secret infringement, it can be sufficiently remedied through future legal procedures such as in the Delaware federal court," and expressed hope that "the U.S. president will make a wise decision to allow a reasonable path where only the parties involved in the dispute settle their legal interests in court without burdening the U.S. economy."

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