Commerce, March 7, 2026 — SK Battery America Inc. laid off 958 workers — roughly 37 percent of its workforce — at its manufacturing plant northeast of Atlanta on Friday, marking one of the most significant single-day job losses in Georgia's electric vehicle industry since the sector began its rapid expansion in the state.
The affected employees, whose last working day was Friday, will continue to receive pay through May 6. Approximately 1,600 workers remain at the plant, which SK opened in January 2022 following a $2.6 billion investment in the Commerce facility. The plant had been a flagship example of the Korean battery giant's ambitions in the United States, supplying lithium-ion battery cells for Ford's F-150 Lightning electric pickup truck.
A Prefect Storm of Market Pressures
The layoffs did not arise from a single cause, but rather from a convergence of forces that have reshaped the EV landscape over the past year. SK Battery America cited automakers' shifting electrification timelines and uncertain consumer demand as the primary drivers behind the decision.
Federal policy changes under the Trump administration dealt a significant blow to the sector. The elimination of the $7,500 federal EV tax credit and the rollback of emissions standards removed two of the most powerful market incentives that had fueled demand growth. EV purchases in the United States accounted for roughly 8 percent of new vehicle sales in 2025 — flat compared to the year before — far short of the projections automakers had used to justify multi-billion-dollar battery investments.
Then came a decisive blow from SK's principal customer. In December 2025, Ford announced it would cancel the fully electric version of the F-150 Lightning. In the same month, SK and Ford ended their joint battery manufacturing venture — a partnership in which the two companies had together pledged $11.4 billion across multiple U.S. battery plants. With its biggest customer stepping back from the all-electric segment, SK's Georgia plant lost a core pillar of its
production rationale.
Legal Challenge and Workers Protections
The speed of the layoffs has drawn legal scrutiny. Law firm Strauss Borrelli has announced it was investigating whether SK Battery violated the federal WARN Act, which requires employers to provide written notification at least 60 days before major layoffs or plant closures. SK's spokesperson maintained that the company's actions comply with WARN guidelines, though the firm's investigation remains ongoing.
Political Fallout and Georgia's Response
Georgia's congressional delegation was quick to respond. U.S. Senator Jon Ossoff placed direct blame on the White House, arguing that the Trump administration's stance on electric vehicles is damaging Georgia's economy. Senator Raphael Warnock expressed concern for the workers and their families. Governor Brian Kemp's office offered a broader view, pointing to more than 219,700 new jobs announced in Georgia since 2019 as evidence of overall economic resilience.
SK's Commitment to Georgia and A Pivot
SK Battery America said it remains committed to its Georgia operations and is actively pursuing customers in the Battery Energy Storage System market — a sector serving data centers and power grid backup applications, where demand continues to grow independent of passenger vehicle trends.
The company is also pressing forward with expansion elsewhere in the region. A second Georgia battery plant, contracted to supply Hyundai Motor, is scheduled to begin production in the first half of 2026. A third facility, located in Tennessee, is expected to come online in 2028. Both plants reflect SK's ongoing bet on the long-term trajectory of EV adoption, even as the
near-term outlook grows more uncertain.
A Setback For Georgia's Green Economy Dreams
Few states benefited more conspicuously from the Biden administration's Inflation Reduction Act than Georgia. Green energy projects in the state topped $20 billion in announced investments, carrying pledges of more than 25,000 jobs. The Commerce plant was among the most prominent of these projects — a tangible symbol of what advocates called Georgia's emergence as a hub for clean energy manufacturing.
Friday's layoffs represent a sobering chapter in that story. For nearly 1,000 workers and their families in and around Commerce, the consequences are immediate and personal. For the broader question of where American EV manufacturing goes from here — and what role Korean battery companies will play in that future — the answer remains unresolved.
