In a strategic move to tap into the burgeoning electric vehicle market, Hindalco Industries, a subsidiary of the Aditya Birla Group, has announced an ₹800 crore investment to establish a battery foil manufacturing facility in Odisha. Set to be commissioned by 2025, the plant, situated in Sambalpur, will initially produce 25,000 tonnes of the essential product for Lithium-ion and Sodium-ion cell production.
As a response to the rapidly growing demand for battery materials, Hindalco aims to localize raw materials, emphasizing the significance of strategic sectors like Electric Vehicles and Grid Storage. The announcement has led to a surge in the company’s stock, reaching a 52-week high of ₹538.70 per share on BSE at 11 am on Tuesday.
The move aligns with Hindalco’s plan to expand its manufacturing capacity of high-quality aluminum foil, a critical component for rechargeable batteries. The company intends to support Gigafactories worldwide, enhancing its capabilities to supply materials for Lithium-ion cells.
Satish Pai, Managing Director of Hindalco Industries, highlighted the importance of localizing raw materials in strategic sectors. The company, leveraging its expertise in metallurgy and foil rolling, aims to provide tailor-made solutions with a focus on enhancing battery performance.
The new facility in Odisha will contribute to the growing momentum of the electric vehicle industry by supplying high-performance aluminum foils, vital as current collectors for cathode materials. Hindalco’s commitment to research and development will drive innovations, including new coatings on battery foils to improve battery performance.
This initiative comes on the heels of Hindalco’s recent support for the International Aluminium Institute’s (IAI) new greenhouse gas initiative, reinforcing its commitment to sustainable practices.
