[속보]Battery war beats LG … US “SK ban on production and import for 10 years”

The US International Trade Commission (ITC) raised LG’s hand in a lawsuit against LG Energy Solutions and SK Innovation’s infringement of electric vehicle battery trade secrets. Accordingly, SK Innovation’s business in the United States, one of the largest battery markets along with Europe and China, was affected.

ITC decided on the 10th (local time) that SK Innovation’s lithium-ion batteries for electric vehicles would be banned from production and import in the US for 10 years. However, ITC postponed the ban on imports for batteries for Ford electric vehicles, which SK Innovation had previously ordered, for four years and for batteries for Volkswagen electric vehicles for two years. Ford and Volkswagen, which have already signed a battery supply contract with SK Innovation, seem to be taking steps to ensure that they can find alternative battery suppliers during the two-year grace period.

Immediately after the ITC decision, SK Innovation expressed regret that “this ITC decision was regrettable because it failed to reveal the fact of the infringement of trade secret, the issue of the lawsuit.” SK Innovation also said, “Through the remaining procedures (Presidential Review, etc.) to ensure that battery production in the US is not disrupted, SK batteries of high safety quality and the Georgia plant in the US are essential and key roles in the eco-friendly automobile industry that the US government is strongly promoting. I will do it.” SK Innovation is currently building battery plants 1 and 2 in Georgia, USA. This is a factory to supply batteries to global automakers Volkswagen and Ford.

The ITC’s decision was due to LG Energy Solutions filing a lawsuit against SK Innovation in April 2019 for infringement of trade secrets. LG Energy Solution and SK Innovation tried to reach an agreement prior to the final decision, but disagreements over the size of the settlement amount, etc., were not successful. In February of last year, ITC ruled that SK Innovation loses early in a preliminary decision. LG Energy Solution and SK Innovation can discuss ITC’s decision over the next 60 days, and if they do not reach an agreement, it will be confirmed.

‘LG vs. SK’ battery business secret infringement lawsuit log. Graphic = Reporter Jaemin Shin [email protected]

Reporter Kim Young-min [email protected]