South Korean battery maker SK On and Japanese carmaker Nissan have inked a KRW 15 trillion ($10.3 billion) contract for battery supply in the US, Kallanish reports.

According to an SK On regulatory filing on Wednesday, SK Battery America will provide 99.4 gigawatt-hours of batteries to Nissan North America’s plant in Canton, Mississippi. Deliveries under the six-year deal are expected to run from 2028 to 2033.

“Contract terms such as supply quantity and contract period regarding the supply agreement may change in line with future consultations with customers,” SK On adds.

The batteries, to power four EV models (two sedans and two SUVs), will be manufactured at SK’s US factories. The company already operates a factory in Georgia and is building three more in the state through joint ventures with Hyundai Motor and Ford Motor. The JVs are also building plants in Kentucky and Tennessee.

In February, SK On said it expects its production capacity to rise to 180 GWh this year with lines commissioning in the US and China. It currently operates nine plants across South Korea, China, Hungary and the US, with a combined design capacity of 121 GWh.

SNE Research estimates SK On saw its global battery shipment volume fall from 57 GWh in 2023 to 31 GWh last year.