[Vegan News = Seo In-hong Reporter] SK On has decided to supply electric vehicle batteries worth 15 trillion won to the Japanese automaker Nissan.

On the 19th, SK On announced through a public disclosure that it has signed a battery supply contract totaling 99.4 GWh (gigawatt-hours). This quantity is enough to equip approximately 1 million mid-sized electric vehicles. While the contract amount has not been disclosed, industry estimates suggest it will exceed 15 trillion won considering the supply volume.

The supplied batteries will be high-performance high-nickel pouch cells and will be produced at a local factory in the United States. These batteries will be installed in Nissan's next-generation electric vehicles produced in North America from 2028 to 2033. SK On operates its own factory in Georgia with an annual production capacity of 22 GWh and is constructing four new factories in Georgia, Kentucky, and Tennessee. Once all factories are completed, SK On's battery production capacity in the United States is expected to exceed 180 GWh.

With this contract, Nissan is expected to accelerate its transition to electric vehicles by securing a stable battery supply chain. Nissan launched the world's first mass-produced electric vehicle, the 'Leaf', in 2010 and recently announced plans to release 16 out of 30 new models as electric vehicles over the past three years. From 2028, it plans to produce a total of four electric vehicles, including two SUVs and two sedans, in the U.S.

Lee Seok-hee, CEO of SK On, stated, “It is meaningful that our excellent battery technology and competitiveness have been recognized,” and added, “We will actively utilize our production capacity and expertise in the North American market to support the successful transition of our electrification partners to electric vehicles.”

This contract marks the first time SK On has secured a Japanese automaker as a client, and it is expected to further enhance its competitiveness in the global electric vehicle market. An SK On official mentioned, “Our battery technology has been validated through securing global electric vehicle clients,” and stated, “We will continue to strengthen our production competitiveness in preparation for the future expansion of demand in the electric vehicle market.”

Meanwhile, Toptec is expected to benefit as it supplies equipment to SK On's pilot line.