Ford and SK On are ending their U.S. battery joint venture

Ford and South Korean battery maker SK On have agreed to end their joint venture formed four years ago to produce batteries for electric F-Series trucks. While the joint venture is dissolving, the battery factories in Tennessee and Kentucky will continue operations under separate ownership: Ford will take full control of the Kentucky plants, and SK On will operate the Tennessee facility at the BlueOval SK campus. Despite ending the joint venture, SK On will maintain a strategic partnership with Ford focused on the Tennessee plant. The joint venture was initially established amid significant industry investment to scale electric vehicle production. However, EV sales growth has not met earlier optimistic forecasts, partly due to the expiration of the federal EV tax credit, which has slowed sales momentum. Ford has acknowledged SK On’s announcement but has not provided additional comments. The dissolution reflects broader challenges in the EV market and adjustments in strategic partnerships as companies adapt to evolving demand.