U.S. rules force South Korea's EV battery makers to rethink China deals

U.S. rules force South Korea's EV battery makers to rethink China deals

SEOUL -- Proposed new guidelines by the U.S. would classify joint ventures as a foreign entity of concern if a company controlled by China holds a stake of 25% or more in the venture.
 
This could become a very expensive problem for South Korea's electric vehicle industry, and suppliers as well as makers may soon face a hard choice: either negotiate with Chinese counterparts to reduce their stakes, or, in effect, give up on the U.S. market.