Summary
- SK On and Nissan have announced a battery supply agreement to support Nissan’s EV production in North America
- SK On will supply nearly 100 GWh of high-nickel batteries to Nissan from 2028 to 2033 for next-gen EVs
- The production will create 1,700 US jobs at SK On and involve a total investment of $661 million, in addition to Nissan’s $500 million investment
- SK On’s production capacity is expected to exceed 180 GWh once fully operational, supporting Nissan’s electrification strategy
- Nissan plans to launch 16 new electrified vehicle models over the next three years, including all-new EVs from its Canton assembly plant starting in 2028
Article
SK On and Nissan have announced a new battery supply agreement that will support Nissan’s EV production in North America. Under this agreement, SK On will supply nearly 100 GWh of high-nickel batteries to Nissan from 2028 to 2033. These US-manufactured batteries will power Nissan’s next-generation EVs to be produced at its Canton, Mississippi assembly plant. The production is expected to create 1,700 US jobs at SK On and involves a total investment of $661 million, including equipment purchases, in addition to Nissan’s $500 million investment for EV production at the Canton Assembly Plant.
This partnership marks SK On’s first supply agreement with a Japanese automaker, showcasing the strength of its battery technology and growing presence in the North American market. SK On, a subsidiary of South Korea’s SK Group, currently operates two battery plants in the US and is building four additional plants with partners. Once fully operational, SK On’s annual US production capacity is expected to exceed 180 GWh. SK On President and CEO Seok-hee Lee expressed commitment to supporting Nissan’s electrification strategy by leveraging its production footprint and expertise.
Nissan, as part of their electrification strategy, plans to launch 16 new electrified vehicle models over the next three years, including all-new EVs from its Canton assembly plant starting in 2028. Christian Meunier, Chairman of Nissan Americas, emphasized the significance of the agreement with SK On in bolstering Nissan’s electrification journey and supporting further investment in US manufacturing. By partnering with SK On, Nissan can utilize their growing US production capacity to deliver innovative and high-quality electric vehicles, aligning with their commitment to sustainable mobility.
The announcement of this battery supply agreement between SK On and Nissan reinforces the companies’ dedication to advancing electric vehicle technology and production in North America. By sourcing high-nickel batteries from SK On, Nissan aims to power its next-generation EVs, contributing to a more sustainable automotive industry. The agreement not only supports Nissan’s efforts in electrification but also signifies a strategic partnership that facilitates the growth of both companies in the evolving EV market.
SK On and Nissan’s collaboration highlights the importance of partnerships between global battery manufacturers and automakers to drive the adoption and production of electric vehicles. With a focus on enhancing battery technology and expanding production capacities, both companies are poised to play key roles in shaping the future of electric mobility in North America. Through this agreement, SK On and Nissan are demonstrating their commitment to sustainability and innovation by working together to bring advanced EV technology to the market and support the transition to a greener transportation landscape.
In conclusion, the battery supply agreement between SK On and Nissan represents a significant step forward in the electrification efforts of both companies. By leveraging SK On’s expertise in battery production and Nissan’s commitment to promoting electric vehicles, the partnership aims to accelerate the adoption of sustainable transportation solutions in North America. This collaboration underscores the importance of strategic alliances in advancing the development and production of EVs, ultimately contributing to a more environmentally friendly automotive industry. As SK On and Nissan work together to bring cutting-edge EV technology to the market, their agreement sets a strong foundation for continued innovation and growth in the electric vehicle sector.
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