SK IE Technology Co. (SKIET), a producer of electronics components for the SK Group in South Korea, announced on Monday that it has agreed to deliver a battery component to Sunwoda, a Chinese company that makes batteries for electric vehicles.

As per the agreement, SKIET will give Sunwoda battery separators made at its Changzhou factory in China.

The sale of EV battery separators to a Chinese EV battery manufacturer is SKIET's first significant agreement. The Korean business has previously provided Sunwoda Group with separators for IT and electronic devices.

Among Sunwoda's top clients are the Geely Auto Group, Volvo Cars, Volkswagen, Dongfeng Motor Corp., and Shanghai Automotive Industry Corp.

One of the essential parts of EV batteries, battery separators are crucial for keeping batteries from exploding during charging.

Sunwoda, which was founded in 1997, launched its EV battery business in 2008. It can currently produce 40 gigawatt hours of batteries per year and hopes to reach 138 GWh by 2025. 

After Samsung Group, SK Group is the second-largest chaebol in South Korea. The 186 subsidiaries and affiliates that make up the SK Group all utilise the SK brand and the SKMS (SK Management System) management system. In 1998, the organisation changed its name from Sunkyong Group to SK Group. Through a holding company called SK Inc., the estate of Chey Tae-won controls the group. The segment of chemicals and energy that makes up SK Group is its foundation.