Seoul: SK On Co., a major South Korean battery manufacturer, has laid off nearly 1,000 workers at its U.S. battery plant in Georgia amid slowing electric vehicle (EV) demand, a company filing showed Saturday.
According to Yonhap News Agency, SK Battery America Inc., SK On's U.S. unit, dismissed 968 employees at its battery manufacturing facility in Commerce, Georgia, as detailed in a Worker Adjustment and Retraining Notification (WARN) notice posted on a Georgia state website. These layoffs represent approximately 37 percent of the plant's total workforce of around 2,500 employees.
The company indicated that the workforce reduction was part of restructuring efforts driven by slowing EV sales and evolving market conditions. The decision aims to adjust operations while maintaining the company's commitment to the state of Georgia and its efforts to establish a robust U.S. supply chain for advanced battery manufacturing.
The Georgia plant has been a supplier of EV batteries to automakers such as Germany's Volkswagen and South Korea's Hyundai Motor. It also provided batteries for Ford Motor's F-150 Lightning electric pickup truck, though profitability was impacted following Ford's decision to cancel production plans for the model.
SK On is currently in the process of building a second battery plant in Georgia, intended to supply batteries to Hyundai Motor, with production set to commence in the first half of this year. Additionally, another facility in Tennessee is projected to begin production in 2028.