Latest news with #BlueOvalSK
Korea Herald
17 hours ago
- Automotive
- Korea Herald
BlueOval SK rolls out 1st EV battery product
SK On-Ford joint battery venture in Kentucky seeks customer diversification amid lagging EV growth BlueOval SK, a 50:50 joint venture between Korean battery maker SK On and American automaker Ford, has finally begun commercial production of electric vehicle batteries at its first Kentucky plant amid the prolonged stagnation of the EV market growth. According to BlueOval SK on Tuesday, its first-ever battery to be delivered to Ford rolled off the assembly line at the Kentucky 1 factory in Glendale. The batteries from this production will power the American automaker's electric pickup truck, the F-150 Lightning. 'We are proud to build batteries at our Kentucky 1 facility that will power next-generation electric vehicles,' BlueOval SK CEO Michael Adams said. 'The start of production is a significant milestone that strengthens our position in the electric vehicle battery market.' BlueOval SK added that the Kentucky 1 plant will also produce batteries for Ford's current E-Transit electric van. SK On and Ford joined hands to set up BlueOval SK in 2022 as they announced a $11.4 billion investment to build three battery production facilities: two in Glendale, Kentucky and one in Stanton, Tennessee. 'Today, Kentucky marks a historic milestone four years in the making as production officially begins at two of the largest battery plants in the world, set to deliver EV batteries that will transform the automotive industry and the future of our commonwealth,' said Kentucky Governor Andrew Beshear. 'This remains the single largest investment in the history of our state, and it sparked a surge of new investment and job announcements that placed Kentucky at the center of EV-related innovation. I am grateful to Ford and SK On leaders for believing in Kentucky and our workforce.' The joint venture's first commercial production has been delayed due to the EV market's slower-than-anticipated growth rate over the last few years. Ford announced earlier this month that it will delay the launch of two new EVs — next-generation models of the F-150 Lightning and E-Transit — to 2028 but instead shift focus to smaller, more affordable cars to launch a midsize, four-door electric pickup in 2027. With the stalling EV demand, Adams, CEO of BlueOval SK, said in an interview with Bloomberg that both SK On and Ford are looking for opportunities for new business and securing new clients is 'fairly high.' There have been rumors that BlueOval SK was nearing a contract to sell batteries to Nissan, but no confirmations were made.
Yahoo
a day ago
- Automotive
- Yahoo
BlueOval SK begins production one week out from pivotal union vote. Here's what that means
GLENDALE, Ky. ― BlueOval SK has begun production of electric vehicle batteries at its sprawling Hardin County plant, the company announced Aug. 19, a historic step for Kentucky's single largest economic development project on record. The first battery to be sold to BlueOval SK's customers came off the assembly line in Glendale Aug. 19, according to a Facebook post and email newsletter shared by the company. The batteries will be used to power Ford's F-150 Lightning pickup truck and current E-Transit, according to BlueOval SK's newsletter announcement. "We are proud to build batteries at our Kentucky 1 facility that will power next-generation electric vehicles," BlueOval SK CEO Michael Adams said in the newsletter. "The start of production is a significant milestone that strengthens our position in the electric vehicle battery market." Earlier in August, Ford delayed new generations for both models until 2028, extending a previously announced delay. A Ford spokesperson did not respond to The Courier Journal's request for comment. BlueOval SK is a joint venture between Ford and South Korean company SK On. Its $5.8 billion Kentucky site includes two plants, Kentucky 1 and Kentucky 2. Only Kentucky 1 is in production; production at Kentucky 2 was previously delayed indefinitely, due to less-than-anticipated demand for electric vehicles. "Today, Kentucky marks a historic milestone four years in the making," Gov. Andy Beshear said in a press release. "This remains the single largest investment in the history of our state, and it sparked a surge of new investment and job announcements that placed Kentucky at the center of EV-related innovation." Production is beginning just one week ahead of a major crossroads for workers. Plant staff will vote on whether or not to unionize with the United Auto Workers on Aug. 26 and 27. The workers' campaign to unionize has been driven in part by occupational safety and health concerns. Plant employees have filed a slew of complaints to state investigators, describing chemical exposure risks, inadequate personal protective equipment, respiratory hazards and more. Earlier this year, workers outright refused to work with a hazardous chemical in the plant, according to records reviewed by The Courier Journal. Recent Trump administration reversals in federal policy support for electric vehicles are also expected to pinch the market. Tax credits for EV purchases will expire at the end of September, a change that's expected to hurt consumer demand after a surge in EV adoption in recent years. Still, Ford and other automakers have indicated they plan to forge ahead on EV technology, seeing it as the inevitable direction of the industry as Chinese companies make gains. Ford recently announced a $5 billion investment in EVs, including retooling the Louisville Assembly Plant for production of a new electric midsize pickup. The batteries produced in Hardin County also stand to cut into transportation emissions, the largest contributor of U.S. greenhouse gases. If both Kentucky plants and BlueOval SK's additional plant in Tennessee produce batteries at the company's planned capacity, it would displace "over 455 million gallons of gasoline per year for the lifetime of the vehicles," according to the Department of Energy. "BlueOval SK is creating good-paying, American jobs in the heart of the Commonwealth," Adams said. "We are strengthening the domestic supply chain and driving the transition to zero-emissions transportation." Occupational safety investigations persist In previous interviews, workers have shared concerns that safety issues encountered in the past year could be amplified once the plant ramps up production. BlueOval SK has received at least one citation from state labor investigations so far, records show, related to improper fire extinguisher placement. Other incidents, including one in which a worker was sprayed with a hazardous chemical, did not result in citations. A new state investigation from July is still open, as officials look into several reports from workers this summer. One complainant described an electrocution from a faulty power adapter, causing the worker's arm to remain "in a stun state for most of the day." Another described improper lockout-tagout procedures, meant to keep potentially dangerous equipment disconnected while not in use: "...People are inside of those areas cleaning or working while the line is running and operating," according to the complaint. These recent complaints follow a series of other worker concerns raised in the last year, largely related to chemical exposure risks and access to adequate personal protective equipment, or PPE. More: EXCLUSIVE: Workers at Ford, SK On battery plant in Kentucky file for union election BlueOval SK has consistently rejected claims of safety issues, and said the plant follows all regulations. Workers have cited safety issues as a key reason for unionization efforts. Previously, the UAW has successfully unionized other EV battery plants, including projects that were associated with other Michigan-based automakers General Motors and Stellantis. Ford factories are unionized with the UAW across the U.S. and have been for decades. A UAW victory at BlueOval SK in Kentucky would give the union a greater stake in the South's growing "battery belt," where right-to-work laws leave joining a union to individual choice. BlueOval SK under pressure to hire The BlueOval SK Battery Park's 2025 start to production is consistent with the company's previously shared plans for the site, but the future of Kentucky 2, the other half of the site, is still uncertain. BlueOval SK may be under heightened pressure to ramp up operations in Kentucky 2 in the coming years, as the company strives to hit hiring goals established by the terms of its forgivable loan from the state. As part of the state incentive package BlueOval SK Battery Park received, the company must meet specific job and wage requirements. The first job and wage measurements will be taken in December 2026, according to a company presentation to lawmakers in June. By 2027, BlueOval SK Battery Park will need to employ 2,500 workers in Kentucky. The company said it expected to have roughly 1,400 workers at the Kentucky plant by May, according to filings with the National Labor Relations Board, and predicted employment of 1,800 by October and 2,500 at a later date. The NLRB, in its decision on workers' petition to unionize, called these hiring plans "speculative." "The record does not contain any evidence to establish when it expects to be fully staffed, or where the additional employees will be employed," whether in the Kentucky 1 plant or neighboring Kentucky 2, the NLRB found. This story has been updated to include a quote from Gov. Andy Beshear. Connor Giffin is an environmental reporter at The Courier Journal. Reach him directly at cgiffin@ or on X @byconnorgiffin. Contact business reporter Olivia Evans at oevans@ or on X at @oliviamevans_. This article originally appeared on Louisville Courier Journal: BlueOval SK begins production in Kentucky one week before union vote Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
07-05-2025
- Automotive
- Yahoo
Investor group urges Ford to address claims of ‘union avoidance' at Kentucky battery plant
Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Generate Key Takeaways Construction of the battery plant in Glendale in January 2023. (BlueOval SK photo) A nonprofit faith-based group that seeks to leverage its investing to advance human rights, racial equity and 'the common good' is calling on automaker Ford to address claims of anti-union activities at the BlueOval SK battery plant in Kentucky. The letter from Investor Advocates for Social Justice details the group's concerns over 'strong indications that BlueOval Kentucky is engaging in union avoidance activities,' ranging from disseminating 'anti-union flyers and media' to the United Auto Workers (UAW) telling the Washington Post that anti-union consultants have been brought in to persuade workers against unionization. The UAW launched a campaign last year to unionize the BlueOval SK battery plant in Hardin County, and workers at the plant in January asked the National Labor Relations Board to hold a union election. The BlueOval SK battery plant, one of two planned at Glendale to produce batteries for electric vehicles, is jointly owned by Ford and South Korean company SK Group. The investor group is urging Ford to address the concerns in an annual shareholder meeting Thursday. 'Companies have an obligation to respect human rights, including freedom of association and collective bargaining, and to extend this obligation to their business relationships, which include joint ventures,' the investor group wrote in part. 'Failure to uphold these rights can expose investors to material risks, including operational, reputational, regulatory, legal, and financial risks.' The letter also noted concerns brought by a community group in Tennessee over a BlueOval SK electric vehicle and battery plant there urging Ford to sign an agreement ensuring the operation doesn't harm the community environmentally or socioeconomically. The letter comes after the New Jersey-based Sisters of St. Joseph of Peace, one of the members of the investor group, tried to offer a proposal to be voted on at Ford's shareholder meeting that would have requested the company's board of directors adopt a 'noninterference' policy for when workers seek to unionize at joint venture plants. The U.S. Securities and Exchange Commission granted Ford's request to block the proposal from being voted on ahead of the meeting. Susan Francois, assistant congregation leader and treasurer of the Sisters of St. Joseph of Peace, in a statement said their Catholic community believes 'it is both good business and the right thing to do to call on companies like Ford to respect human rights.' 'We urge Ford to effectively and expeditiously address these issues, which are not going away just because the shareholders have been prevented from voting on it,' Francois said. 'God expects the economy to support life and the livelihood of all, not the few.' A news release about the investors letters notes that taxpayers have spent billions supporting Ford's joint venture. The federal government announced $9.63 billion in loans in December to the three BlueOveral SK battery plants. Tennessee approved $900 million in incentives while Kentucky is providing $250 million in public subsidies. Emails sent Wednesday afternoon to Ford and BlueOval SK requesting comment on the letter were not immediately returned. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
07-05-2025
- Automotive
- Yahoo
Investor letter urges Ford, Blue Oval SK to address reported union-busting, engagement concerns
Members of BlueOval Good Neighbors, a coalition of residents from Haywood, Tipton, Lauderdale, Shelby, and Fayette counties, march to BlueOval SK's Arlington, Tenn. office on May 6, 2025. (Photo: BlueOval Good Neighbors/Tennessee for All) A group of Ford Motor Company investors sent a letter to the company's board May 1, asking it to address concerns over reported union-busting activity at a Kentucky battery plant and lack of engagement with Black communities surrounding its BlueOval City project in Tennessee. The letter references three electric vehicle battery plants — two in Kentucky and one in Stanton, Tennessee — run by BlueOval SK, a 50/50 joint venture between Ford and Korea-based SK On. While BlueOval SK is a separate legal entity from Ford, the signatories note the 'significant leverage and influence Ford has over this joint venture,' and call on the company to 'expeditiously address these serious concerns.' The 14 investors who signed the letter urged board members to respond at Ford's virtual Annual Meeting of Shareholders on May 8. Combined, the investors represent more than $58 billion in total assets under management, though their individual stakes in Ford are not public. Investor Advocates for Social Justice, which coordinated the investors' effort, also signed. The letter comes after one investor, Sisters of St. Joseph of Peace, filed a shareholder proposal in March asking Ford to adopt a policy to remain neutral in unionization efforts at its plants and to negotiate with BlueOval Good Neighbors, a community coalition pushing Ford for a legally binding community benefits agreement for the Tennessee BlueOval City project. The proposal — which is solely advisory and not binding — would have gone on the company's proxy statement to be voted on by shareholders at the May 8 meeting, but Ford successfully requested the U.S. Securities and Exchange Commission block the measure from the ballot, citing its 'vague' nature and attempt to 'micromanage' the company. Members of BlueOval Good Neighbors, a coalition of residents from Haywood, Tipton, Lauderdale, Shelby, and Fayette counties, march to BlueOval SK's Arlington, Tenn. office on May 6, 2025. (Photo: BlueOval Good Neighbors/Tennessee for All) Sisters of St. Joseph of Peace has long invested in Ford and other companies to 'help us fund our mission and take care of our sisters,' Assistant Congregation Leader and Congregation Treasurer Sister Susan Francois said. 'It would be wonderful if our concerns over freedom of association and collective bargaining were addressed so that the workers were able to negotiate good working conditions, and then also that the Blue Oval Good Neighbors are able to raise their concerns and be in dialogue with Ford,' Francois, who also sits on the Investor Advocates for Social Justice board, said. 'Ultimately, Ford are the ones that are running the company. We understand that. But as shareholders, we really just want them to be good neighbors, and believe it'll be better for business.' In separate statements to Tennessee Lookout, BlueOval SK affirmed its compliance with U.S. labor laws and Ford highlighted its engagement with residents, community leaders and elected officials surrounding the new campus. Investors had not yet received a response from Ford as of 4:30 p.m. Tuesday. Union concerns Workers at a BlueOval SK Battery Park in Glendale, Kentucky filed for an election to join the United Auto Workers union in January. A date has yet to be set for a secret-ballot election. If a majority of workers vote in favor of the union, the next step is negotiating a contract. The letter expresses investors' 'alarm' at BlueOval SK's attempts to 'dissuade workers from unionizing,' including anti-union flyers and materials on the company's website. 'The ask of BlueOval SK would be to stop its anti-union campaign … investors believe that workers should truly have the freedom to unionize if they want,' Aaron Acosta, program director at Investor Advocates for Social Justice, said Monday. BlueOval SK has maintained that the January filing was premature, as the plant had not yet begun production or hired the plant's full staff. 'We celebrate and empower each team member to define their own success by speaking for themselves,' spokesperson Mallory Cooke wrote in an email to Tennessee Lookout. 'BlueOval SK team members are free to choose whether to keep a direct relationship with leaders or turn over their voice to a labor union. BlueOval SK supports the U.S. labour law requirement that a substantial and representative complement of the employees impacted by this choice have the opportunity to vote.' The National Labor Relations Board case database shows three open complaints against BlueOval SK in Kentucky, including allegations of coercive actions and statements, retaliation and interrogation. The NLRB has yet to reach decisions on these cases. Company, coalition spar over 'good neighbor' commitments The Blue Oval Good Neighbors coalition, supported by advocacy group Tennessee for All, marched to BlueOval SK's corporate office in Arlington, Tennessee Tuesday to present a petition 'signed by more than 1,000 local residents in support of a binding agreement for the company's multi-billion dollar, taxpayer-subsidized project.' The group has pushed for Ford to commit to providing legal representation and subsidies for locals affected by eviction and land loss stemming from construction and rising property values surrounding the massive campus. They have also called for Ford to contribute to a 'bank' of public land to be used for public projects, a commitment to 50% local hire in West Tennessee and the creation of a board of neighbors with oversight authority to ensure accountability. Ford unveiled its $9 million 'Good Neighbor Plan' to support areas surrounding the electric vehicle manufacturing campus in late January. The slate of investments was sourced from resident feedback and input from Ford's hand-selected Equitable Growth Advisory Council. Members of BlueOval Good Neighbors, a coalition of residents from Haywood, Tipton, Lauderdale, Shelby, and Fayette counties, are reflected in the windows of BlueOval SK's Arlington, Tenn. office on May 6, 2025. (Photo: BlueOval Good Neighbors/Tennessee for All) Plans include the restoration of a historic African American schoolhouse into a new Ford Community Center in Stanton, in addition to scholarships for local automotive manufacturing programs, a new childcare facility, a community assistance fund for families facing temporary hardship and funding for mobile healthcare services. While BlueOval Good Neighbors has said the company's plan does include some of its demands, it is not legally binding. The coalition has also criticized the makeup of Ford's Equitable Growth Advisory Council, including elected officials who were serving during a 2021 Fayette County redistricting process that is now the subject of a U.S. Department of Justice voting rights lawsuit claiming the new maps strip Black voters of equal opportunity. 'What we hear most from residents is that they want to speak for themselves,' Ford spokesperson Jessica Enoch wrote in an email to Tennessee Lookout. 'Ford has been contacted by many groups that say they speak on behalf of residents, many of which are not from the area. It would not be feasible for us to engage with every third-party group that purports to speak on behalf of residents.' Enoch said residents can share ideas with Ford at commrels@ SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Korea Herald
17-03-2025
- Automotive
- Korea Herald
FSK L&S secures fulfillment deal for Ford-SK battery plants in US
FSK L&S, SK Square's logistics subsidiary, said Monday it has secured a deal to operate fulfillment centers for three battery plants of BlueOvalSK, a joint venture between SK On and Ford Motor Company, in the US. 'When FSK L&S receives battery orders from Ford, the service involves packaging and delivering pre-stocked battery inventory,' said an SK Square official. 'This is the first time a company has provided fulfillment services for electric vehicle batteries, a service traditionally associated with the retail industry.' The company will initially implement this service at the fulfillment center of BlueOval SK's first Kentucky plant, with plans to extend it to two additional plants in Kentucky and Tennessee currently under construction. These three production bases, located in the Southeast region of the US — known as the 'battery belt" — boast an annual capacity of 127 gigawatt-hours, enough to power 1.2 million Ford electric pickup trucks. The contract spans six years, from this year to 2030, with an option to extend until 2034. During this period, FSK L&S expects significant revenue from BlueOval SK and its vendors, totaling tens of billions of won. FSK L&S' digital logistics platform, KEROL, will automate and streamline processes such as monitoring inventory in real-time, strategically placing parts in fulfillment centers and deciding the optimal shipping sequence, thereby minimizing excess inventory and labor costs. In light of the growing importance of setting up local production bases due to US tariff measures, the company said that operating BlueOval SK's US fulfillment centers is a timely business expansion. 'Our goal is to move beyond traditional logistics services by leveraging data and IT platforms to manage the entire logistics process in real-time,' stated FSK L&S CEO Kim Yong-jik. 'This approach will allow us to optimize customer-centric supply chain management and reduce logistics costs, thereby actively advancing the digital transformation of logistics services.'
