Hindalco plans to Invest INR 800 Crore to establish Battery Foil Manufacturing Unit in Odisha

Hindalco plans to Invest INR 800 Crore to establish Battery Foil Manufacturing Unit in Odisha

Aluminum manufacturer Hindalco Industries said on Tuesday that it would invest INR 800 crore to build a battery foil manufacturing facility in Sambalpur, Odisha, to take advantage of the rapidly growing market for electric vehicles. The facility is expected to be operational by July 2025 and will initially produce 25,000 tonnes of the aluminum foil, which is the foundation of sodium- and lithium-ion cells.

According to a statement from Hindalco, the business also intends to greatly increase its ability to produce high-quality aluminum foil, which is used in rechargeable batteries.

“Hindalco Industries is investing INR 800 crore to build a new plant near Sambalpur in Odisha that will initially produce 25,000 tonnes of the resilient product which forms the backbone of Lithium-ion and Sodium-ion cells,”

the statement said.

The business projects that by 2030, India’s need for battery-grade aluminium foil will soar to 40,000 tonnes, mostly due to the rapid expansion of gigafactories that are involved in the production of sophisticated cells.

“We are seeing a fast traction in battery materials demand, driven by an impressive outlook for the electric vehicle and grid storage sectors. Raw material localisation is critical in such strategic sectors,” said Satish Pai, Managing Director at Hindalco Industries.  

said Satish Pai, Managing Director at Hindalco Industries.  

“Hindalco is thus making various investments in battery materials and technologies towards building Atmanirbhar Bharat. Investment in this new battery foil mill is another such step in this direction,”

he added.

Furthermore, according to Hindalco, the company is collaborating closely with original equipment manufacturers (OEM) to co-develop and produce vital parts like lightweight load bodies, motor housings, busbars, battery enclosures, and structural and safety components—many of which are being designed and developed in India for the first time.

According to the statement, the investments are what are driving Hindalco’s transformation from a metal manufacturer to a supplier of advanced metal solutions.

The government’s green strategy to lower carbon emissions and promote sustainable growth will get a boost from this Sambalpur project, it said.

Hindalco stated that the new unit in Odisha will complement the facility at Mouda and further enhance the capacity to supply material to gigafactories worldwide. The factory will be situated next to a 25-MW solar power plant and can access additional solar energy from a 400-KV national grid connection.

Cell manufacturers use high-performance aluminum foils as a current collector for the cathode materials, according to Hindalco, which also said that its access to its own aluminium metal, vast expertise in rolling sheets and foils, and profound knowledge of metallurgy provide it with a strong platform for growth.

Additionally, the firm announced that it is developing new coatings for battery foils that will improve performance by offering improved adhesion, less resistance, and decreased corrosion. It also plans to use its R&D resources to create customized solutions for its clients.

Content Credit: ET Auto