WASHINGTON -- The settlement of an electric vehicle battery dispute between two South Korean manufacturers will help build US confidence in their reliability, a White House official said Monday.

White House spokeswoman Jen Psaki said the conclusion of the dispute also marked great news for American workers.

"The settlement we announced over the weekend...by SK Innovation and LG (Energy Solution) is a positive step that builds confidence in their reliability and responsibility as suppliers to the US auto industry," the spokeswoman said in a daily press briefing.

"It's great news for many people in the country, including people of Georgia and other states that are impacted a great deal by this issue," she added.

The two South Korean companies announced on Sunday (Seoul time) their settlement of the prolonged dispute, only hours before the deadline for US President Joe Biden to veto a February decision by the US International Trade Commission to impose a 10-year import ban on EV battery products from SK Innovation.

Biden earlier hailed the settlement as a "win for American workers and the American auto industry."

Psaki noted electric vehicles and batteries played a significant role in Biden's "Build Back Better" campaign.

"A key part of the president's Build Back Better plan includes a significant increase in the number of electric vehicles and batteries built here in America. We need a strong, diversified and resilient US based electric vehicle battery supply chain, so it can meet the growing global demand for these vehicles and components," she said. (Yonhap)