Korea Eximbank Provides US$500 Mil. in Green Loan to SK Innovation

SK Innovation’s second battery plant in Hungary, which is under construction

The Export-Import Bank of Korea (Korea Eximbank) announced on June 9 that it will provide a green loan of US$500 million to help SK Innovation finance the construction of its second battery production plant in Hungary.

A green loan refers to a loan used for eco-friendly projects such as renewable energy and electric vehicles. A company promoting such a project can receive the loan from a domestic or foreign financial institution after receiving an eco-friendly certificate from a global certification institution.

SK Innovation is building a new battery plant with an annual production capacity of 9.8 GWh next to its first plant in northern Hungary. The second plant will start mass production in the first quarter of 2022. The existing plant started mass production in the first quarter of 2020. The company announced in January this year that it will start construction of a third plant in Hungary in the third quarter of this year.

SK Innovation is looking forward to expanding its presence in the rapidly growing European electric vehicle battery market.