South Korean electric vehicle (EV) battery maker SK On has laid off about 1,000 workers at its battery factory in the US state of Georgia, local reports indicated in a company filing, as demand for EVs in the country slowed after the withdrawal of battery electric vehicle (BEV) incentives.
The company’s U.S. manufacturing subsidiary, SK Battery America, is reported to have cut 968 jobs at its Georgia-based battery plant, representing about 39% of the facility’s roughly 2,500-employee workforce.
SK On confirmed that the restructuring is in response to changing market conditions, including a sharp decline in demand for battery electric vehicles (BEVs), and that the company has decided “to streamline its operations while maintaining a commitment to building a strong US supply chain for advanced batteries.”
A $2.6 billion U.S. battery plant is slated to begin operating in early 2022, supplying batteries for Ford’s F-150 electric pickup truck as well as Hyundai and Volkswagen. The company has been hit with production plans canceled by its customers amid falling demand for BEVs in the country.
SK On plans to build a second battery plant to supply Hyundai this year in Georgia, with another plant in Tennessee to be completed in 2028.
“SK On lays off 1,000 workers at US battery factory” was originally created and published by Just Auto, a brand owned by GlobalData.
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