Hyperdrive
Chinese Firms Are Seeking Korean Partners to Skirt US EV Rules
- Some five tieups in the battery sector have happened so far
- Firms hope to take advantage of Korea-US free-trade agreement
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Chinese firms are lining up to invest in South Korea’s battery industry because they want to use it as a gateway to the US market, undermining the Biden administration’s efforts to limit China’s involvement in the electric car supply chain.
Over the past four months, Chinese companies and their Korean partners have announced some 5.1 trillion won ($4 billion) of investments in five new battery factories in Korea. And at least one local government is in talks for more projects, officials from the Saemangeum Development and Investment Agency say.