Even with continued dominance of conventionally powered vehicles and sports cars, electric models are becoming more relevant. With greater range and better infrastructure, EV anxieties are slowly getting erased. Nonetheless, the life force of these EVs depends on a critical component – the battery. Hyundai Motor Group and SK Innovation see the need for an ecosystem for EV batteries, forming a collaboration to develop a sustainable one.
Entire Battery Life Cycle
The collaboration between Hyundai Motor Group – parent of Hyundai, Kia, and Genesis – and SK Innovation covers diverse business areas that are related to the EV battery industry. Its focus won't be just on battery supply, as the partnership covers the entire life cycle of EV batteries, with the aim of creating a stable battery value chain.
Aside from creating a stable battery supply chain, the partnership wants to give birth to a virtuous cycle of battery usage dubbed as Battery as a Service (BaaS). Thus, cycle of resources won't just entail production, recycling, and sales, but also management, lease, or rental. The partners expect theirs to be the first of similar collaborations between carmakers and battery companies.
Optimal Battery Design
A reduction in carbon emissions is already a given in the world of EVs. However, Hyundai and SK Innovation are searching for the optimal EV battery design that would encourage battery reuse in EVs, hoping that the maximized added value of such efforts would further create synergies.
Hyundai Motor Group has plans to release 16 EVs by 2025 and it has tapped SK Innovation to supply battery systems for its new models underpinned by its new Electric Global Modular Platform (E-GMP). The collaboration will initially work on the Kia Niro EV, focusing first on the collection and verification of the crossover's battery.
Hyundai’s EV Seriousness
To show its seriousness, the South Korean motor group even created the new Ioniq brand dedicated to EVs, all of which will sit on the E-GMP. It's also looking at a new skateboard platform with Canoo. With other carmakers venturing deeper into EVs, Hyundai wants to be a step ahead.
Source: Hyundai Motor Group