The US Transportation Department will brief President Joe Biden on how a recent court decision to impose a 10-year import ban on SK Innovation will impact his green transportation goals.

During a hearing held Wednesday, freshman Sen. Raphael Warnock, a Democrat from Georgia, asked Polly Trottenberg, nominee for deputy secretary of the transportation department, whether she would provide the president an analysis of the ruling’s expected effect on his green transportation goals.

“The department is already aware of the issue with this plant and I think (they are) starting to look into the issues,” Trottenberg answered.

On Feb. 10, the US International Trade Commission delivered a final ruling siding with LG Energy Solution on the case that accused SK Innovation of misappropriating trade secrets related to electric vehicle battery technology.

The final ruling included a 10-year import ban, which blocks SK Innovation from importing products and equipment related to lithium-ion batteries to the US. The punishment would derail the operation of SK’s two battery factories under construction in Georgia.

President Biden and the United States Trade Representative have 60 days, until April 11, to review the case and decide whether to veto the USITC decision.

According to Warnock, SK Innovation’s Georgia plant worth $2.6 billion would provide 2,600 clean energy jobs in the short term and ultimately 10,000 clean energy jobs in the state.

“An adverse ruling by the International Trade Commission threatens seriously the future of that project, whether it will happen at all. President Biden has 60 days to review the ruling and can alter it or block it. (This is) a severe punch in the gut, if you will, for the folks who are counting on those jobs, not to mention President Biden’s own goals,” Warnock said during the hearing.

SK Innovation’s battery order backlog in the US from Ford and Volkswagen is estimated to be worth 20 trillion won ($17.3 billion). As the import ban has a grace period up to four years, SK Innovation would be allowed to continue supplying batteries to Ford for two years and to Volkswagen for six months once the two Georgia battery factories are completed.

By Kim Byung-wook (kbw@heraldcorp.com)