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Business expansion investment

Hindalco Industries Expands Odisha Aluminium Operations

Analysis based on 6 articles · First reported Jan 27, 2026 · Last updated Jan 27, 2026

Sentiment
70
Attention
6
Articles
6
Market Impact
General
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The expansion by Hindalco Industries is expected to positively impact the Indian metals and mining sector by boosting domestic production of high-grade aluminium and reducing import dependence. It will also support the growth of electric mobility and renewable energy sectors in India by providing critical raw materials for lithium-ion batteries.

metals and mining electric vehicles renewable energy

Hindalco Industries, a subsidiary of Aditya Birla Group, announced a major expansion of its aluminium operations in India — Odisha, India. The company plans to invest ₹21,000 crore in smelter expansion at its Aditya Aluminium complex in Sambalpur and commission a new ₹4,500 crore Flat Rolled Products (FRP) and battery-grade aluminium foil manufacturing facility. These projects, inaugurated by India — Odisha Chief Minister Mohan Charan Majhi, are part of Hindalco Industries's broader ₹37,000 crore investment plan for India — Odisha and a total ₹55,000 crore capital expenditure across India. The expansion aims to indigenize critical raw materials for lithium-ion batteries, support India's electric mobility and energy storage ecosystems, and enhance domestic capabilities in high-grade aluminium products. The new battery-grade aluminium foil plant, India's first, will support up to 100 GWh of lithium-ion cell manufacturing capacity. The expanded FRP capacity is expected to reduce India's dependence on imported flat-rolled aluminium by nearly 50%. The smelter expansion will also incorporate round-the-clock renewable energy for a portion of its power needs. This initiative is projected to create over 15,000 additional jobs and strengthen India's self-reliance in key manufacturing sectors.

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Hindalco Industries announced a significant expansion of its aluminium operations in India — Odisha, investing ₹37,000 crore in the state as part of a larger ₹55,000 crore capital expenditure plan across India. This expansion is expected to boost its market share, reduce import dependence, and support India's electric mobility and energy storage ecosystems.
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Aditya Birla Group is the parent company of Hindalco Industries, and its chairman, Kumar Mangalam Birla, commented on the strategic importance of the expansion for India's manufacturing growth and self-reliance.
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Kumar Mangalam Birla, Chairman of Aditya Birla Group, emphasized the importance of the expansion for India's manufacturing growth, integration, value addition, and sustainability.
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Satish Pai, Managing Director of Hindalco Industries, highlighted the integrated upstream-downstream growth strategy exemplified by the expansion projects.
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