Hindalco Expands Smelter, Launches Battery Foil Facility in Odisha

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Hindalco Industries, the metals flagship of the Aditya Birla Group, has announced a significant expansion of its aluminium operations in Odisha, marking one of the largest industrial investments in the region. The company will invest around ₹21,000 crore to expand smelting capacity at its Aditya Aluminium complex in Sambalpur, alongside commissioning new downstream manufacturing facilities. These moves are aimed at strengthening India’s domestic metals supply base and supporting future growth in strategic sectors.

The expansion project will add 3.6 lakh tonnes per annum of aluminium smelting capacity, significantly boosting Hindalco’s upstream capabilities. In parallel, the company has inaugurated a 1.7 lakh tonne per annum Flat Rolled Products (FRP) unit and a battery‑grade aluminium foil manufacturing facility, built with an investment of roughly ₹4,500 crore. These facilities are intended to deliver high‑value products that feed into advanced industrial applications.

A key highlight of the new facilities is the battery‑grade aluminium foil plant — the first of its kind in India. This advanced unit will supply a critical raw material needed for lithium‑ion batteries, with production designed to support up to 100 GWh of battery cell manufacturing capacity. By producing this material domestically, Hindalco seeks to reduce dependence on imports and strengthen the local electric mobility and energy storage ecosystems.

Company officials say these developments are part of a broader capex roadmap, under which Hindalco plans to spend about ₹37,000 crore in Odisha across both upstream and downstream operations. This forms a significant portion of its ₹55,000 crore growth investment plan for India, reinforcing the company’s long‑term strategy of building end‑to‑end aluminium value chains.

Leaders from the Aditya Birla Group and Hindalco emphasised the strategic importance of the projects. Kumar Mangalam Birla, Chairman of the group, said the expansion reflects India’s push for integrated manufacturing, value addition, and sustainability. Hindalco’s Managing Director, Satish Pai, noted that the enhanced smelter and downstream facilities will help meet rising demand across sectors such as packaging, defence, renewable energy, and electric vehicles.

The new manufacturing footprint in Odisha also underscores efforts to reduce import reliance currently, a substantial portion of flat rolled aluminium products used in India is sourced internationally. With increased domestic production capacity and enhanced high‑grade aluminium outputs, Hindalco aims to position itself as a hub for critical metal products that support India’s industrial and clean‑energy ambitions.

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