Hindalco Industries, the metals flagship of the Aditya Birla Group, has announced a massive ₹21,000 crore expansion of its aluminium smelting capacity in Odisha. The announcement was made alongside the commissioning of two major downstream facilities, marking a significant milestone in India’s push for industrial self-reliance and the localized production of critical materials for the electric vehicle (EV) ecosystem.

Key Investment Highlights

• 
  

  Smelter Expansion: Hindalco will invest ₹21,000 crore to add 3.6 lakh tonnes per annum (tpa) of primary aluminium capacity at its Aditya Aluminium complex in Sambalpur. This project will effectively double the site’s current capacity.

  
  


• 
  

  Downstream Commissioning: The company commissioned a ₹4,500 crore facility that includes a 1.7 lakh-tpa Flat Rolled Products (FRP) mill and India’s first battery-grade aluminium foil plant.

  
  


• 
  

  Job Creation: The expansion is projected to generate over 15,000 additional direct and indirect jobs in the region.

  
  


• 
  

  Total State Commitment: These projects are part of a broader ₹37,000 crore investment pipeline earmarked for Odisha, which represents a significant portion of Hindalco’s total ₹55,000 crore pan-India capital expenditure plan.

  
  

Strategic Impact on EV and Defence Sectors

The newly commissioned battery-grade aluminium foil facility is a strategic move to indigenize the supply chain for lithium-ion batteries. The plant is designed to support up to 100 GWh of cell manufacturing capacitydirectly catering to the burgeoning electric mobility and energy storage sectors.

By sourcing input directly from the adjacent FRP complex, Hindalco has created a fully integrated value chain. Furthermore, the FRP expansion aims to cut India’s dependence on imported high-end aluminium—which currently accounts for roughly 40% of the market—by nearly half. These materials are critical for sectors including defence, aerospace, and advanced packaging.

Hindalco currently holds over 50% of India’s flat-rolled products market. This expansion reinforces Odisha’s position as a global hub for aluminium, adding to Hindalco’s existing 15-year footprint in the state, which already includes bauxite mining, alumina refining, and primary smelting.