SK On has begun reviewing a spending plan to expand its electric vehicle battery factory in Seosan, South Korea, TheElec has learned.
The expansion is being considered to better respond to demand from Hyundai Motor, which is planning to build a new electric vehicle production facility in South Korea.
SK On began construction of its Seosan factory in 2010. It went live in September 2012 with an annual production capacity of 200Mwh.
The South Korean battery maker expanded the factory three times; in 2014, 2015, and 2016.
These expansions were completed in September 2018 which secured SK On an annual production capacity of 5GWh at Seosan.
If SK On approves its latest spending plan, it will be the first in five years for its factory in South Korea.
The company was in the process of verifying whether it can secure the equipment and parts it needs to expand the factory.
Construction will likely start during the second half of next year with a target completion date in 2025.
Sources said SK On will likely add four production lines to add 10GWh in output at Seosan, which will make its total output 15GWh per year.
This will mean the factory will able to provide batteries enough for 250,000 units per year.
SK On also has factories in China, Hungary, and the US to service local automobile companies.