LG Energy Solution and SK Innovation, two major manufacturers of battery cells and battery packs for electric cars, settled their patent and trade secret dispute in the United States on Sunday. This allows for new plant plans to go ahead and deliver parts.
With this agreement, the risk of shortages of battery cells and battery packs for Ford and Volkswagen vehicles in the United States eliminated.
Ford is working on an electric version of the F-150 pickup truck, which was the best-selling car in the world after last year’s Toyota Corolla. Volkswagen wants to start producing cars from the electric identity family in 2022.
At first, it seemed that SK Innovation would have to abandon its plans to set up a new battery pack factory in the US state of Georgia. In February, the US International Trade Commission (ITC) ruled in favor of LG Energy Solution in a trade secret dispute. The factory is investing $ 2.6 billion (2.18 billion euros). The production center will also create 2,600 jobs in Georgia.
Republican Gov. Brian Kemp asked President Joe Biden to intervene. SK Innovation also called on the president to reconsider ITC’s decision. Deadline ends at night from Sunday to Monday.
LG Energy Solution and SK Innovation will not allow it to come this far. So the companies reached a settlement in the trade secret issue. In April, ITC ruled in favor of SK Innovation in a dispute over potential patent infringements. According to the commission, this was not the case.