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SK Innovation said it would rather settle things in court than accept LG Energy Solution’s demands for damage compensation due to stolen battery technologies.
LG is demanding at least 3 trillion won in settlement fees and a stake in SK Innovation’s wholly-owned subsidiary SK IE Technology, which manufactures a key component for electric vehicle batteries.
SK Executive Vice President Lee Myoung-young said that accepting LG's demands will seriously undermine the competitiveness of their battery business and disturb their business in the US. He added that the company would do its best in dealing with the remaining legal proceedings.
SK President and CEO Kim Jun is currently in the US trying to reverse the US International Trade Commission’s earlier ruling that favored LG.
Kim is also speaking with local officials of Georgia and Washington to salvage the Georgia battery plant.
SK Innovation is considering ditching its $2.6 billion Georgia plant with Kim thinking of relocating the equipment to their battery factories in Hungary or China. The company is conducting a study to calculate the related costs.
The plant site in Georgia was leased to SK for free by the state.
