SK vows to reject LG's resolution offer if its means discontinuation or reduced US business

SK Innovation Co Ltd vowed not to accept any proposal by rival LG Energy Solution to resolve their legal dispute if it would result in crippling its business in the US.

LG reportedly proposed settlement terms to SK, including financial reparations.

The South Korean battery makers are in a feud over claims SK misappropriated LG's electric vehicle battery trade secrets.

Last month, the US International Trade Commission (ITC) prohibited SK’s lithium-ion batteries to be imported into the US for 10 years. A settlement between the two firms would invalidate that ruling.

According to SK, it would “closely review" LG's terms of demand, but those will not be accepted if it would lead to discontinuing or reducing the competitiveness of their battery business in the US.

The ITC ruling can be overturned by US President Joe Biden.

SK, which supplies EV batteries to Ford, Volkswagen, and Hyundai, warned it would be halt construction of a $2.6 billion battery plant in Georgia if Biden overturns the decision.

SK, which has an annual capacity of about 40 gigawatt-hours of batteries, plans to ramp up capacity to about 125 gigawatt-hours of batteries in 2025.