Korea Pledges $7 Billion Aid Package for EV Battery Supply Chain

South Korea will provide 9.7 trillion won ($7.1 billion) in financial aid for local electric-car battery makers to build a new supply chain that complies with US tax credit rules intended to reduce reliance on China.

Korean authorities will also continue to seek to secure key battery materials so domestic manufacturers can maintain their competitiveness in the US by meeting requirements of the Inflation Reduction Act, the Ministry of Trade, Industry and Energy said Wednesday. The support came after the US last week gave carmakers a two-year reprieve in sourcing minerals, such as graphite, where China dominates the global supply chain.