LG Energy wins third suit against 'patent freeloading' Chinese battery firm

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LG Energy wins third suit against 'patent freeloading' Chinese battery firm

The logo of LG Energy Solution is pictured at its office building in Seoul on Nov. 23, 2021. [REUTERS/YONHAP]

The logo of LG Energy Solution is pictured at its office building in Seoul on Nov. 23, 2021. [REUTERS/YONHAP]

 
LG Energy Solution has scored its third consecutive legal victory against the Chinese technology company Sunwoda in a series of battery patent lawsuits, signaling the intensifying global competition for battery patents amid escalating rivalries in the electric vehicle sector.
 
Tulip Innovation, a patent management company, said Thursday that a German court had ruled in favor of LG Energy Solution on Thursday, July 17, in a lawsuit concerning battery technology.
 

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Founded in 1997, Sunwoda is a Chinese lithium-ion battery manufacturer that produces batteries for EVs and energy storage systems (ESS). It supplies batteries to major automakers including Renault, Nissan Motor, Geely Auto Group and Dongfeng Motor.
 
The Korean battery maker claimed that Sunwoda’s prismatic batteries used in the Dacia Spring electric vehicle violated its patented electrode assembly structure. The technology involves a robust integration of electrode layers using a coated separator, ensuring they remain intact and durable. It is widely used in producing high-capacity high-output batteries for EVs and ESS.
 
The German court sided with LG Energy Solution, ordering the following: a ban on the sale of infringing batteries in Germany, the recall and disposal of remaining stock, submission of relevant accounting data and compensation for damages. Although the ruling is immediately enforceable, Sunwoda can appeal.
 
Back in May, LG Energy Solution also won two separate patent cases against Sunwoda regarding its safety-reinforced separator coating technology. The German court similarly banned the sale of affected Sunwoda batteries in Germany. Those orders are currently being appealed.
 
With LG Energy Solution holding some 40,000 registered patents and 72,000 applications as of February, it is one of the most patent-rich companies in the battery industry. Legal disputes over core battery technologies are expected to intensify as Chinese manufacturers continue their aggressive global expansion.
 
“We are taking strong action against rampant patent freeloading in the industry,” said an LG Energy Solution spokesperson. “We have already identified numerous commercialized products from competitors — ranging from small batteries for IT devices to large EV batteries — that infringe on our proprietary technologies. We will respond firmly through lawsuits and warnings while also leading the creation of a global battery patent licensing market to ensure fair competition.”


Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY NA SANG-HYEON [[email protected]]
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