SK Innovation has raised its annual battery production target to 200GWh in 2025 and several overseas factories are under construction

According to foreign media reports, South Korean battery company SK Innovation stated on July 1 that it plans to increase its annual battery output to 200GWh in 2025, a 60% increase from the previously announced target of 125GWh. Its second plant in Hungary, the Yancheng plant and Huizhou plant in China, and the first plant in the United States are under construction.

On July 1, according to foreign media reports, South Korean battery company SK Innovation (SK Innovation) said today that it plans to increase its annual battery production to 200GWh in 2025, a 60% increase from the previously announced target of 125GWh.

Public information shows that since 1991, SK Innovation has been the first to develop power batteries suitable for medium and large new energy vehicles, and has started its battery business worldwide in 2010. SK Innovation has battery production bases in the United States, Hungary, China and South Korea. The current annual battery production capacity is about 40GWh.

Dong-Seob Jee, CEO of SK’s innovative battery business, said: “From the current level of 40GWh, it is expected to reach 85GWh in 2023, 200GWh in 2025, and more than 500GWh in 2030. In terms of EBITDA, there will be a turning point this year. Later, we will be able to generate 1 trillion won in 2023 and 2.5 trillion won in 2025.”

Battery Network noted that on May 21st, Ford announced that the company and SK Innovation announced that the two parties had signed a memorandum of joint venture to jointly establish a joint venture named “BlueOvalSK” in the United States and produce cells and battery packs locally. BlueOvalSK plans to achieve mass production around 2025, producing a total of about 60GWh of cells and battery packs per year, with the possibility of capacity expansion.

According to SK Innovation’s overseas factory construction plan, its second plant in Hungary is scheduled to be put into operation in Q1 of 2022, and the third plant will start construction in Q3 this year and put into operation in Q3 2024; China’s Yancheng and Huizhou plants will be put into operation in Q1 this year; The first factory will be put into operation in Q1 of 2022, and the second factory will be put into operation in Q1 of 2023.

In addition, in terms of performance, SK Innovation predicts that power battery revenue is expected to reach 3.5 trillion won in 2021, and the scale of revenue is expected to further increase to 5.5 trillion won in 2022.