Hyundai and SK Innovation announce new partnership
Hyundai and SK Innovation will jointly develop a sustainable ecosystem for electric vehicle (EV) batteries.
The cooperation aims to develop a virtuous cycle of battery usage known as the Battery as a Service (BaaS), which includes lease or rental service. As a result, the cooperation is expected to catalyse the spread of diverse cooperation systems between mobility and battery companies.
Through this partnership, the two parties aim to strengthen the stability of the battery supply chain and create a virtuous cycle of resources from recycling to production; reduce carbon emissions; encourage optimal design that connects EVs and battery reuse, and create synergies by maximising added value through the optimal design of batteries.
In particular, the two companies will seek solutions that can maximise value and eco-friendliness of EV batteries, including reuse of batteries that are no longer useable in vehicles in diverse applications such as the Energy Storage Systems (ESS); and battery recycling that extracts economically valuable metals such as lithium, nickel and cobalt.
Furthermore, the two companies plan to synergise their respective affiliates’ business infrastructures and capabilities spanning diverse industries, thereby strengthening their battery competitiveness and expanding the growth of related sectors.
Youngcho Chi, president and chief innovation officer of Hyundai, said: “Hyundai Motor Group’s cooperation with SK Innovation marks a critical first step in maximising synergies between mobility and battery companies. We expect our cooperation to play an immensely positive role in strengthening Hyundai-Kia’s competitiveness in clean mobility as well as expanding the supply of eco-friendly EVs.”
Dongseob Jee, president of SK Innovation’s battery business, added: “This collaboration between Hyundai and SK Innovation is highly meaningful in that the two have joined forces to collaborate across the entire EV cycle. Both companies will create a seamless collaboration system to explore new business opportunities across the whole battery value chain.”
