Ford Motor Co. and South Korean battery maker SK On Co. together with its subsidiary on Thursday finalized establishing a three way partnership for constructing and working battery manufacturing amenities in the USA.
The JV, BlueOval SK LLC, will set up a battery plant for EVs in Tennessee and two different amenities in Kentucky, the U.S. automaker stated in a regulatory submitting.
Ford will contribute as much as $6.6 billion in capital to BlueOval SK over a five-year interval ending in 2026, the automaker stated.
Each firms had signed a memorandum of understanding for the JV in Might final 12 months. BlueOval SK is anticipated to provide about 60 gigawatt hours of energy yearly that could possibly be raised additional.
A number of battery makers have introduced plans to spend money on the U.S. as a part of an trade pattern to fulfill the anticipated progress for EVs and scale back reliance on manufacturing in China, in addition to minimize the associated provide chain dangers.
South Korean battery makers have introduced funding plans of $5.5 billion this 12 months in U.S. crops.
