SK On and Ford’s joint venture delays spending by 3 months
Production schedule to have minimal impact
The electric vehicle (EV) battery joint venture between South Korean battery maker SK On and Ford has delayed its spending plan by around three months, TheElec has learned.
Blue Oval SK was formed in May of last year and the pair had announced spending of US$11.4 billion from the venture to build battery factories.
The company has recently told its suppliers to turn in their request for quotation (RFQ) after August. The original plan was to have them turn them in by June. The precise reason for the slight delay is unknown.
Last month, those from Ford visited South Korea and discussed the roadmap of Blue Oval SK, sources said.
They’ve also visited major suppliers in the country and are expected to visit again in July, they added.
The delay is for Blue Oval SK’s planned factory in Tennessee, one of the three planned factories.
The one in Tennessee is planned to have 17 production lines and an annual production capacity of 43GWh. It will make batteries 300mm and 600mm in length.
Blue Oval SK will start its spending this year up to 2025. The factory in Kentucky will start installing equipment during the second half of next year, with trial production starting in 2024. Commercial production will start in 2025.
The factory in Tennessee will start installing equipment in September next year with trial production starting in February of 2024. Commercial production is expected to start in August of 2025.