SEOUL—Hyundai Motor Group plans to set up an electric vehicle (EV) battery cell production joint venture in the U.S. with partner SK On.

In November 2022, the Group signed a memorandum of understanding with SK On to secure EV battery supply for North America. The total investment amount for the joint venture is expected to be approximately $5 billion, with each company holding a 50 percent stake.

Through the joint venture, both parties plan to establish an EV battery cell plant in Bartow County, Georgia, close to the Group’s U.S. production facilities, including Hyundai Motor Manufacturing Alabama, Kia Georgia, and Hyundai Motor Group Metaplant America.

The new plant is expected to start manufacturing battery cells in the second half of 2025 with an annual production capacity of 35 gigawatt-hours, which is sufficient to support the production of 300,000 EVs. Hyundai Mobis will assemble battery packs using cells from the plant, then supply them to the Group’s U.S. manufacturing facilities for production of Hyundai, Kia and Genesis EV models.