Hindalco Announces ₹21,000-Crore Smelter Expansion, Commissions FRP and Battery Foil Facilities in Odisha

Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, on Tuesday announced a ₹21,000-crore expansion of its aluminium smelting capacity in Odisha and commissioned new downstream facilities aimed at strengthening India’s electric mobility and advanced manufacturing ecosystem.

The company revealed plans to expand its Aditya Aluminium smelter in Sambalpur by 3.6 lakh tonnes per annum, alongside commissioning a 1.7 lakh tonnes per annum Flat Rolled Products (FRP) plant and a battery-grade aluminium foil manufacturing facility, with an investment of ₹4,500 crore. The projects were inaugurated by Odisha Chief Minister Mohan Charan Majhi.

The battery-grade aluminium foil unit—India’s first of its kind—will draw feedstock directly from the FRP complex and is designed to support up to 100 GWh of lithium-ion cell manufacturing capacity, a critical step towards indigenising key raw materials for EVs and energy storage.

These initiatives form part of Hindalco’s broader growth capex programme, with around ₹37,000 crore earmarked for Odisha and a total planned investment of ₹55,000 crore across India.

Hindalco currently accounts for over 50% of India’s flat-rolled aluminium market. With nearly 40% of flat-rolled aluminium being imported, the expanded FRP capacity is expected to reduce import dependence by almost half, boosting domestic manufacturing competitiveness. The smelter expansion will also integrate round-the-clock renewable energy (RE-RTC) for part of its power needs, reinforcing the company’s energy transition goals.

Commenting on the development, Aditya Birla Group Chairman Mr. Kumar Mangalam Birla said the investments reflect the group’s commitment to building a fully integrated aluminium ecosystem—from upstream resources to high-value downstream products—while supporting India’s self-reliance and sustainable manufacturing ambitions.

Hindalco Managing Director Mr. Satish Pai said the projects underscore the company’s integrated growth strategy, enabling it to deliver aluminium solutions across packaging, defence, electric mobility, renewable energy and advanced manufacturing.

Hindalco has invested over ₹25,000 crore in Odisha over the past 15 years across mining, refining, smelting and downstream operations. Its integrated value chain now spans bauxite, alumina and primary aluminium through to FRP and battery foil.

The company currently employs nearly 23,000 people in the state, with the new phase expected to generate over 15,000 additional direct and indirect jobs. The wider investment pipeline includes the Kansariguda alumina refinery, Meenakshi coal mine, specialised materials such as white fused alumina, and ancillary manufacturing units—further positioning Odisha as a national aluminium hub.

Sustainability remains central to Hindalco’s expansion strategy, supported by renewable energy integration, advanced technologies and responsible resource management, alongside CSR initiatives in education, healthcare, skill development and women’s empowerment.