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US Trade Panel Reaffirms Ruling on SK Innovation's Misappropriation of LG Trade Secrets

Written: 2021-03-05 13:38:37Updated: 2021-03-05 13:55:45

US Trade Panel Reaffirms Ruling on SK Innovation's Misappropriation of LG Trade Secrets

Photo : YONHAP News

A U.S. trade panel has reaffirmed its final ruling from a month ago that SK Innovation misappropriated trade secrets from its South Korean rival LG Energy Solution for the development of electric vehicle(EV) batteries.

In a redacted version of its opinion released on Thursday, the U.S. International Trade Commission(ITC) said SK Innovation's destruction of evidence was ordered at a high level and carried out by department heads throughout the company, calling the move "extraordinary."

Last month, the ITC ruled in favor of LG Energy Solution, affirming a preliminary ruling in February 2020 that SK Innovation used all 22 stolen trade secrets claimed by LG to develop EV batteries.

The commission issued a ten-year import ban on some of SK Innovation's lithium-ion battery products, saying it would have taken the company ten years to make the products without the trade secrets.

On Friday, SK Innovation expressed regret, citing a lack of evidence, before saying it would strongly push U.S. President Joe Biden to exercise his veto power over the commission's decision, which could jeopardize his Green New Deal initiative.

The Biden administration has 60 days to review the ruling. It becomes final unless vetoed by the president. 

Deputy transportation secretary nominee Polly Trottenburg promised in her confirmation hearing on Wednesday the U.S. Department of Transportation would look into the impact of the ruling on Biden’s green transportation goals.

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