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LG, SK reach last-minute settlement in ITC battery dispute

All News 06:07 April 11, 2021

By Kim Eun-jung

SEOUL, April 11 (Yonhap) -- Two Korean battery makers -- LG Energy Solution Ltd. and SK Innovation Co. -- have reached a settlement in a trade secrets dispute in the United States, industry sources said Sunday, hours before a deadline for an import ban on SK.

The U.S. International Trade Commission (ITC) in February sided with LG in a trade secret case and issued a 10-year import ban on SK, while temporarily allowing shipments of battery components for Ford and Volkswagen to give them time to find new suppliers.

Their settlement averts the import ban, which was set to take effect unless President Joe Biden vetoes the ITC decision until the Sunday night deadline.

Details of the settlement were not immediately available.

The two companies will announce the results of the settlement later in the day, sources familiar with the matter said.

EV battery trade dispute between LG Energy Solution Ltd. and SK Innovation Co. (Yonhap file image)

Their compromise will allow SK to complete construction of the $2.6 billion electric vehicle battery plant in Georgia, which will supply electric vehicle batteries for Ford and Volkswagen.

SK earlier said it could shut down the Georgia plant if the import ban is not overturned, which could hamper the Biden administration's EV push and pledge for American jobs.

ejkim@yna.co.kr
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