Biden urged overturning the ruling that crippled the Georgia factory — and the clock is ticking
President Joe Biden has only four days left to save SK Innovation’s electric vehicle battery plant in Georgia. The plant will create more than 2,600 local jobs unless it is first closed by a decision of the US International Trade Commission (ITC). In February, the ITC upheld a previous judgment by a judge in support of LG Chem, who accused South Korean associate SK Innovation (SKI) of stealing corporate secrets related to the manufacture of lithium-ion batteries. The ITC has only one tool for imposing all sorts of remedies on businesses in the event of perceived fraud. That is, you can block imports through exclusion orders. If the ruling is passed, the 2.4 million-square-foot plant in Commerce, Georgia will be essentially closed “before it starts,” SKI’s adviser told National Review. “We’re almost at the finish line and the ITC says:” No, you can’t import these rare stuff. [Earth] The materials and other materials needed to make these batteries, “said the advisor. “They’re stuck and there’s no other place to get these things. They need to import those components. So if the ITC says it can’t import, it’s a business. That means no. ”The first phase of the plant will bring 2,600 Georgians to manufacture the new Ford EV F-150 truck and batteries specially designed for the electric vehicle manufacturing plant in Chattanooga, Tennessee. I plan to hire. This decision allowed SKI a limited transition period to meet client needs, but the company banned the import of critical battery components for 10 years. Parliamentarians on both sides of the aisle have asked Biden to reject the panel’s decision, as the ruling threatens to destroy one of the largest single investments in job creation initiatives in Georgia’s history. .. Within 60 days of the ruling, the president blamed the reason, as former President Barack Obama did in 2013 when the commission moved to ban the import of some older models of the iPhone and iPad in a dispute between Apple and Samsung. You can reject the decision regardless. Biden will need to intervene until April 11, as the ITC announced its decision in February. Those seeking to intervene in Biden and dismiss the ruling argue that there is a better place to resolve the issue between the two South Korean companies. A parallel proceeding has been filed in the US District Court in Delaware with the same allegations. “Even if the president opposes this decision, it doesn’t mean that LG has been defeated and incapable of seeking a claim in court,” she said. “Everyone else is still spending the day in court.” But the district court can impose “better remedies,” so the factory remains open and saves American jobs. , You can strengthen your supply chain. Rick Manning, president of the Americans for Limited Government, reiterated this sentiment, telling the National Review that the White House could “take your cake and eat here” by refusing the decision and arguing in the district court. .. “If Joe Biden wants to create an eco-friendly job and Joe Biden wants to make an electric car stand out, he refuses because his goal can’t be achieved otherwise. You have to do it, “he said. Proponents argue that in a state with two Democratic senators, there are thousands of high-paying jobs and there are many reasons to reject a decision in favor of Biden. “It will be very difficult to find someone who does not want to open this large and large facility,” said SKI Advisor. US Senator Raphael Warnock (Democratic Party of Georgia) said in a recent hearing that the ITC’s ruling was a “gut punch” for the state. Republican Governor of Georgia Brian Kemp called on Biden to intervene last month, saying “thousands of Georgians’ livelihoods are in your hands.” “The commerce plant fits perfectly with the publicly announced goal of electrifying the US car fleet and provides local workers with high-paying jobs,” Kemp wrote. “In addition, a recently announced executive order on the supply chain recognized the important role of EV batteries in our economy and national security. China is now a major producer of EV batteries and has closed commerce. Given that, the Georgia factory will lag the United States further behind China in the global EV battery race, “he said when the factory was completed,” very much needed in our country. It will account for almost half of all non-captive EV batteries, and EV makers will be able to buy them in the free market. ” The only major EV battery plant in the country, built without federal subsidies, he said, has the first annual output to supply enough battery capacity for 330,000 electric vehicles. I’m adding. Currently, if an automaker wants to buy a battery, they need to import the battery or look for a joint venture with a major battery company. Currently, most imports come from China, which accounts for about 75% of the battery production business. “It’s very important for US car makers that more batteries are being manufactured here. Importing them is expensive,” said an SKI adviser, who said imports had a regional value of 75%. He said it would also affect foreign-based manufacturers under the US-Mexico-Canada trade agreement. If a factory is closed, it will be difficult, if not impossible, to meet the requirements. Some wonder why LG Chem can’t take over the factory, but SKI’s adviser says the company “basically buys a shell.” “There isn’t an ounce of equipment left there. They have to bring in engineering, people, equipment, and everything else. This is years, years, years of work.” LG acquired the factory. Or even opening a new factory, “it’s years away and it only significantly disrupts the schedules of these car makers.” It seems like “a tedious decision to allow you to stand up when there is a really easy fix,” she added. “The overall purpose of the Corporate Secrets section and ITC is to protect American industry,” she added. “The only effect of this decision is to close a large American factory, which seems to be changing the overall purpose of the ITC head-on,” she said.