Hindalco Industries is investing Rs. 800 crore rupees (~U.S. 96.4 million) to build a new aluminum foil plant near Sambalpur in Odisha, India. The facility aims to produce high quality battery foil for the rapidly growing electric vehicle and energy storage system markets.
The company expects demand for battery-grade aluminum foil in India to grow significantly to 40,000 tonnes by 2030, primarily driven by mushrooming growth in gigafactories for advanced lithium-ion and sodium-ion battery cell manufacturing. In addition, high performance aluminum foils are used by cell makers as a current collector for the cathode materials.
“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 localization is critical in such strategic sectors,” said Satish Pai, managing director, 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.”
Hindalco is already manufacturing fine quality battery foils at its Mouda unit in Maharashtra, India. The Mouda unit is currently in the process of qualifying with lithium-ion cell manufacturers in India, Europe, and the U.S.
The new foil manufacturing unit in Odisha will further augment capability with 25,000 tonnes of production to supply material to gigafactories across the world. It will be located next to a 25 MW solar power plant and will be able to access additional solar energy from a 400 KV national grid connection. The facility is scheduled for commissioning in July 2025.
In addition to building the new plant, Hindalco is continuing to research and develop its foil products. It is applying its deep understanding of metallurgy to develop cathode foils, with the aim of increasing the mechanical strength, fine tuning the thickness, and enhancing the surface characteristics of these advanced application foils. It is also working on new coatings on the battery foils that will boost performance by delivering better adhesion, lower resistance, and reduced corrosion. It will tap its robust R&D to provide tailor-made solutions for its customers.
Additionally, the company is working closely with original equipment manufacturers (OEM) to co-develop and make critical components like battery enclosures, motor housings, busbars, structural and safety components, and lightweight load bodies — many of which are being designed and developed for the first time in India. These series of investments support Hindalco’s metamorphosis from a manufacturer of metal to a provider of high-tech metal solutions.