Ford and SK Innovation proclaimed yesterday they have inked an MoU to make a joint venture, to be called BlueOvalSK, to produce approximately 60GWh yearly in traction battery cells and array modules, starting mid-decade, with the potential to enlarge. The creation of the JV is subject to definitive agreements, regulatory agreements and other conditions. The next-gen cells and arrays would be used to power numerous future Ford battery electric vehicles.
SK Innovation is a global energy conglomerate headquartered in Seoul, South Korea. The firm has pioneered the development of mid- to large-size EV batteries since 1991 and has extended its battery operations globally since 2010. SK already runs a battery plant in Commerce, Georgia, USA serving two global OEMs and is expanding its
production capacity in the European Union and China. SK Innovation strategies to develop one of the world’s top three EV battery suppliers by 2025 with over 125GWh in global production capacity.
Ford’s global BEV strategy calls for at least 240GWh of battery cell capacity by 2030, roughly 10 plants’ worth of capacity. Approximately 140GWh would be mandatory in North America, with the balance dedicated to other key regions, including Europe and China. Ford plans to lead the electric vehicle revolution counting by delivering fifth-generation lithium ion batteries as well as formulating for the transition to solid-state batteries, which promise longer range, lower cost and safer EVs for customers.
Ford this year declared its commitment to invest at least $22 billion through 2025 to deliver connected, all-electric vehicles, building on its areas of forte, starting with EV versions of its most popular nameplates including Mustang Mach-E, E-Transit and F-150 Lightning. To assist its longer-term battery plans, Ford is investing in battery R&D. Last month, Ford proclaimed a new global battery center of excellence, named Ford Ion Park, to rush its battery and battery cell technology R&D, including future battery manufacturing.
Ford is constructing on nearly two decades of battery expertise by centralizing a cross-functional team of 150 experts in battery technology development, research, manufacturing, planning, purchasing, quality and finance to aid Ford more quickly grow and manufacture battery cells and batteries, eventually targeting to deliver more, even better, lower cost EVs for customers.