Hindalco Plans 800 Crore Investment in Odisha for Battery Foil Manufacturing Facility Targeting EV Market

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Hindalco Industries, the world’s largest aluminum rolling and recycling company, is set to expand its manufacturing capabilities significantly to meet the soaring demand for high-quality aluminum foil, crucial in rechargeable batteries for electric vehicles (EVs) and energy storage systems. In a move to cater to this burgeoning market, the company has announced an investment of Rs. 800 crore to erect a new facility near Sambalpur in Odisha. Initially, this plant is slated to produce 25,000 tonnes of the resilient aluminum product, pivotal in the construction of Lithium-ion and Sodium-ion cells.

Forecasts indicate an exponential surge in demand for battery-grade aluminum foil in India, projected to reach 40,000 tonnes by 2030, largely propelled by the rapid proliferation of gigafactories specializing in advanced cell manufacturing.

Satish Pai, the Managing Director of Hindalco Industries, highlighted the company’s focus on supporting India’s self-reliance by investing in strategic sectors like battery materials and technologies. He emphasized the criticality of localizing raw materials for the burgeoning EV and energy storage sectors.

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Hindalco has already achieved a technological breakthrough in manufacturing high-quality battery foils at its Mouda unit in Maharashtra. This unit is in the process of qualification with Lithium-ion cell manufacturers across India, Europe, and the United States. The new Odisha facility will bolster the company’s capabilities to cater to Gigafactories globally.

The high-performance aluminum foils serve as current collectors for cathode materials in battery cells. Leveraging its expertise in metallurgy and aluminum rolling, Hindalco aims to enhance the mechanical strength, thickness precision, and surface characteristics of these advanced application foils. Furthermore, the company is actively working on innovative coatings to optimize performance by improving adhesion, reducing resistance, and minimizing corrosion.

This ambitious project aligns with the government’s green initiatives to curb carbon emissions and foster sustainable growth. Moreover, Hindalco is collaborating closely with original equipment manufacturers (OEM) to co-develop critical components such as battery enclosures, motor housings, busbars, structural and safety components, and lightweight load bodies—an initiative aimed at introducing novel designs in India.

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Planned to be situated alongside a 25 MW solar power plant, the factory will have access to additional solar energy through a 400 KV National Grid connection. Expected to commence operations by July 2025, this unit will complement Hindalco’s existing facility in Mouda, Maharashtra.

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