Ford Agrees to Break Up Battery Venture With Cell Partner SK
SK to Take Over BlueOval SK Plant in Tennessee, While Ford Will Take On Kentucky Factory
[Stay on top of transportation news: .]
Ford Motor Co. and South Korea’s SK Innovation Co. will break up their U.S.battery-making venture, with the two partners agreeing to independently own and operate production facilities rather than run them jointly.
SK Innovation’s battery unit SK On will take over the companies’ BlueOval SK plant in Tennessee, while Ford will take on their factory in Kentucky, according to an emailed statement.
The separation is expected to be finalized at the end of first quarter 2026, pending approval from relevant authorities.
The dissolution of the joint venture marks the latest twist in Ford’s yearslong struggle to stem losses at its electric vehicle business amid a broader industry trend of slower-than-expected EV adoption.
U.S. policy changes are rendering the transition away from combustion engines all the more challenging, with President Donald Trump eliminating EV purchase incentives and hollowing out fuel economy and emissions standards.
SK On still plans to maintain a strategic partnership with Ford centered around the Tennessee plant. The Seoul-based company said it expects the JV split to enhance productivity and improve its operational flexibility.
Want more news? Listen to today's daily briefing below or go here for more info:
