SK On in tough spot over quality of its EV batteries after Ford Motor suspends F-150 production

SK On Co. Ltd. reportedly halted its production of electric vehicle batteries in the United States. The decision was made after Ford Motor stopped building its F-150 Lightning pickup truck due to battery issues.

It was learned that the battery used in the said pickup model was made by SK On and because of this, the quality of the EV batteries it produces is being questioned. Its parent company, SK Innovation, took a hit as its shares fell after the news.

According to The Korea Times, Ford Motor told various news outlets on Tuesday that it suspended production and shipments of its F-150 electric pickup last week. It cited a "possible battery problem" as the cause and shared this is currently under investigation.

Then again, the company said it has not suspended sales for units that were already delivered to the dealers. This means that dealers can continue to sell the pickups that are in their stores. As for the resumption of production of the trucks, Ford Motor said it is not yet certain when this would be.

The American automaker said it is not aware of any accidents or issues related to the possible battery issues. This latest notification was issued amid increasing concerns about the possible cancellation of SK On and Ford Motor's partnership where they agreed to create the BlueOval SK joint venture in the U.S.

Meanwhile, SK On released a short statement regarding the battery issue. Firstly, the company said it has intentions of retaining its cooperation with Ford Motor. It also said that its plant in Georgia that supplies EV batteries for F-150 pickups are still operating despite the automaker's move to stop the vehicle's production.

SK On's spokesperson also assures that it is looking into the battery case. "We are investigating the matter," he simply said.