Volkswagen Says Korea Battery Rows Would Disrupt Supplies
German automaker Volkswagen says a legal row in the United States between South Korean battery producers would interrupt supply chains. Along with Ford, the company said that it would disrupt the flow in key electric vehicle parts.
The technology company then added that it could cost jobs in the United States amid the ongoing pandemic.
The statement was from the two automakers’ documents which they submitted to the American trade panel. The two companies asked the US International Trade Commission to grant SK Innovation permission to manufacture batteries in their proposed factory in Georgia.
Ford is using the facility to produce its F-150 and other electric car units.
Technology news reports say that, last year, the South Korean battery producer LG Chem sued SK Innovations. The lawsuit was over the alleged trade secret theft in America.
LG Chem sought to bar SK Innovations in the US battery production market from importing material to make its cells.
Volkswagen said earlier this year that any remedial order should look to avoid collateral damages to SK’s clients. Furthermore, in the company’s statement, it said that the commission should allow SK to produce EV batteries in the United States.
On the other hand, Ford said that LG Chem’s claims to replace SK in the market are not “credible”. This is because of the given battery supply shortages and the long period needed to develop them for EVs.
LG Chem has denied to give comments regarding the matter as of press time.
SK is constructing a battery facility in Georgia to serve Volkswagen’s plant in Tennessee starting in 2022. The company is also looking to build another facility that will cater Ford’s orders.
Voluntary Recall
Just recently, there were reports that the German automaker voluntarily issued recalls of its passenger cars in Malaysia.
The company isn’t spared from making mistakes even with modern technology pumping new innovations. Volkswagen Passenger Cars Malaysia has been under fire for some of its issues.
The company is now recalling the models produced between 2011 and 2015 to fix the serious problems. Among the errors include the hydraulic pressure accumulator.
The company recently released a statement in the country, where owners could voluntarily allow their vehicles to undergo inspections.
The affected models include the Cross Touran, Beetle, Gold, Passat, Jetta, and more. The German company then clarified that this will not affect models produced from 2016 onwards.
According to local reports, car owners will have personal notifications via email if their units are affected. The company also said that owners could check their website for their car’s status and reach customer care lines.
