Hindalco Expands Aluminium Operations with ₹21,000 Crore Investment

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Hindalco Industries Limited, the metals flagship of the Aditya Birla Group, has announced a major expansion of its aluminium operations in Odisha, reinforcing its long-term growth and manufacturing strategy in the state. The company outlined a ₹21,000 crore expansion of its aluminium smelting capacity at the Aditya Aluminium complex in Sambalpur, which will add 3.6 lakh tonnes per annum. In addition, Hindalco has commissioned a new Flat Rolled Products (FRP) and battery-grade aluminium foil manufacturing facility with a combined capacity of 1.7 lakh tonnes per annum, involving an investment of ₹4,500 crore.

The projects were inaugurated by the Hon’ble Chief Minister of Odisha, Mohan Charan Majhi, and represent a significant step towards strengthening India’s domestic capabilities in high-grade aluminium products. The newly commissioned battery-grade aluminium foil facility—the first of its kind in India—will draw feedstock directly from the FRP plant and is designed to support up to 100 GWh of lithium-ion battery manufacturing capacity, aiding the growth of electric mobility and energy storage ecosystems.

These developments form part of Hindalco’s broader capital expenditure programme, with nearly ₹37,000 crore planned for aluminium operations in Odisha across upstream and downstream segments. This accounts for a substantial portion of the company’s overall ₹55,000 crore growth investment across India.

As India’s largest producer of flat rolled aluminium, with a domestic market share exceeding 50%, Hindalco’s expanded FRP capacity is expected to significantly reduce the country’s reliance on imports, nearly half of which currently meet domestic demand. The smelter expansion also incorporates sustainability measures, including the planned use of round-the-clock renewable energy to meet a portion of its power requirements.

Commenting on the announcement, Kumar Mangalam Birla, Chairman of the Aditya Birla Group, said the expansion reflects a commitment to building an integrated, value-added and sustainable aluminium ecosystem. He highlighted Odisha’s continued role as a key partner in Hindalco’s growth journey, strengthening self-reliance and advancing India’s transition towards advanced manufacturing.

Satish Pai, Managing Director, Hindalco Industries Limited, said the expansion at Sambalpur demonstrates the company’s integrated upstream-to-downstream strategy, enabling it to serve high-growth sectors such as 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 manufacturing. Its integrated operations currently employ nearly 23,000 people, with the next phase expected to generate over 15,000 additional direct and indirect jobs. The company’s ongoing investments—including alumina refining, coal mining, specialised materials and ancillary units—further strengthen Odisha’s position as a national aluminium hub.

Sustainability remains central to Hindalco’s growth approach, supported by renewable energy integration, advanced technologies and responsible resource management. Through its CSR initiatives in education, healthcare, skill development and women’s empowerment, the company continues to align industrial expansion with inclusive development.