SK On Targets Defense Battery Market...In Talks on Orders with U.S. and EU

Discussions Under Way to Supply Batteries
for Defense Platforms Such as UUVs and eVTOLs
Exploring Cooperation with U.S. and European Defense Companies
Aiming to Secure Mid- to Long-Term Growth Drivers

SK On has identified the defense sector as a next-generation demand source for batteries and is accelerating diversification of its customer portfolio. This move is seen as a strategy to move beyond its electric-vehicle-centered business structure and expand its supply scope into the defense and unmanned systems markets, where high reliability and safety are required, in order to secure mid- to long-term growth drivers.

Aerial rendering of Hyundai Rotem's 4th-generation HR-Sherpa. Provided by Hyundai Rotem

According to industry sources on February 4, SK On is in talks with a U.S. defense company on a plan to supply batteries for an artificial intelligence (AI)-based unmanned underwater vehicle (UUV). One of Europe’s global defense companies has also explored the possibility of equipping vertical take-off and landing (e-VTOL) aircraft, helicopters, and cargo aircraft with SK On batteries. An SK On official said, “It is not yet at a stage where we can disclose detailed information, but it is true that discussions are under way with multiple companies.”

Batteries for defense applications are subject to clearly differentiated requirements compared with general commercial batteries. Unmanned underwater vehicles, unmanned ground vehicles, and aerial platforms require high energy density to extend operational radius and endurance, while also demanding instantaneous power output for rapid acceleration, maneuvering, and powering various onboard equipment. In addition, due to the characteristics of military operations, they must operate stably even in harsh environments involving shocks, vibrations, and extreme temperature changes, making safety and reliability verification key factors.

For this reason, batteries for defense use are considered to depend more on long-term technology verification and trust-building than on short-term mass production. Industry observers believe that, in the short term, SK On is highly likely to consider its ultra-high-nickel ternary batteries, which are strong in high energy density, as a leading candidate for defense applications, and in the mid- to long term, all-solid-state batteries. The actual timing of supply is expected to become visible from as early as 2028, after various tests and evaluations are completed.

SK On has already secured application cases in the field of unmanned defense platforms. It supplies battery cells for Hyundai Rotem’s next-generation multipurpose unmanned vehicle program, and Hyundai Rotem is known to be producing modules and packs based on these cells, installing them in unmanned vehicles, and conducting demonstration tests. Hyundai Rotem is enhancing its unmanned capabilities by applying AI-based autonomous driving and swarm control technologies to its unmanned vehicle lineup, including the “HR-Sherpa.”

SK On’s technological capabilities in all-solid-state batteries are cited as a key reason it can move to secure additional customers in the defense market. Unmanned defense systems demand both high energy and high power output within limited space, while also being subject to stringent safety standards. As a result, once all-solid-state batteries are commercialized, their range of applications in this field is expected to expand significantly.

SK On has set 2029 as its target for commercializing all-solid-state batteries and is developing sulfide-based all-solid-state batteries and lithium metal batteries at a pilot plant built within its Future Technology Center in Daejeon. In addition, through its collaboration with Solid Power, it is leveraging cell design and process technologies for research and development, and is accelerating development by sourcing sulfide-based solid electrolytes.

A battery industry official said, “As unmanned defense systems and physical AI technologies advance in tandem, demand for high-performance, high-safety batteries is likely to grow rapidly,” adding, “New growth opportunities in the defense sector will open up for companies that secure next-generation battery technologies ahead of others.”

This content was produced with the assistance of AI translation services.