SK Innovation asks the White House to intervene in the US ITC battery decision

Input 2021.03.02 07:06 | Revision 2021.03.02 08:21

SK Innovation, which is having a battery dispute with LG Energy Solutions, requested the White House to intervene. It is an appeal to exercise the right to veto the decision of the US International Trade Commission (ITC).

The Wall Street Journal (WSJ) reported on the 1st (local time) that SK Innovation submitted a document containing such information to the White House last week.

The document states that the decision of the U.S. International Trade Commission (ITC), which issued a “10 years ban on imports from the U.S.,” for infringement of trade secrets, could negatively affect an EV battery plant under construction in Georgia. .

SK Innovation is building plants 1 and 2 that can produce 430,000 units of electric vehicle batteries per year (21.5 GWh) by investing about 3 trillion won in Georgia. When this factory is completed, an additional 3,400 jobs could be created by 2025, according to SK Innovation.

SK Innovation requested the White House to intervene because the decision of ITC, an administrative agency, must be approved by the President. The President has the right to ultimately veto ITC decisions.

WSJ said that LG also met with trade officials from the Biden administration last week and said that ITC’s decision should not be reversed. LG has applied for an investigation to ITC, claiming that SK Innovation has removed its manpower and infringed trade secrets regarding rechargeable battery technology used as batteries for electric vehicles.

ITC, a quasi-judicial body under the U.S. administration that investigates and regulates unfair trade practices, gave LG’s hand in preliminary trials in February last year and reached the same conclusion in the final trial.