American automobile giant- Ford Motor Company has announced a partnership with SK Innovation- a South Korean battery producer to establish an electric vehicle battery joint venture, which is projected to play an integral role in Ford’s proposed USD 22 billion electrification drive expected to be held in the year 2025.
Notably, the alliance was made shortly after the introduction of the latest EV by Ford- the F-150 Lightning truck, which is an electric variant of the company’s most popular offering, the Ford F- Series, across North America -
Presently, the automaker sells an all-electric Mustang Mach-E, an electric SUV variant of the Ford Mustang. Ford Motors is also bracing to introduce an all-electric version of the Transit van and is working towards electrifying most of its vehicles.
In a bid to meet the electrification strategy, the alliance with SK Innovation will play an integral role to produce and supply batteries for EVs. Under this JV, both the companies will together own a plant that will produce battery cells that can be used as rechargeable EV batteries.
Citing sources, the Ford- SK Innovation partnership is also supported by the electric mobility efforts undertaken by the Joe Biden Administration. Recently, the US President called for a government grant for new battery manufacturing facilities under the US government’s USD 174 billion electric vehicle proposal.
SK Innovation is likely to complete the construction of its plant in Georgia by the end of 2021. The company is also slated to be developing a second unit next door which is projected to commence the production of batteries in 2023. All in all, SK Innovation has invested nearly USD 2.3 billion in Georgia.
In addition to this, the South Korean company is focusing on expanding its annual battery production capacity to nearly 125 GWh of batteries by 2025, which can power approximately 1.8 million electric vehicles.
Source Credit: https://auto.hindustantimes.com/