Exide Industries, a key player in the battery sector, is in the final stages of discussions with two major two-wheeler manufacturers and several three-wheeler companies for the supply of lithium-ion cells. These talks are part of Exide’s broader plan to establish itself as a major domestic supplier of advanced battery technology.
Avik Roy, Managing Director and CEO of Exide Industries, shared with investors that discussions are progressing with top two-wheeler original equipment manufacturers (OEMs) for cylindrical cell supply. At the same time, Exide is also engaging with leading players in the three-wheeler segment, focusing on lithium iron phosphate (LFP) cell technology.
The company, through its subsidiary Exide Energy Solutions Ltd (EESL), is building a gigafactory in Bengaluru with an initial manufacturing capacity of 6 GWh, which is planned to double to 12 GWh in the future. Trial production is expected to begin this year, with commercial output starting a few months later following regulatory approvals.
Exide has already invested ₹1,000 crore in the ongoing financial year for this project and an additional ₹300 crore in April. The total equity commitment to the initiative has now reached approximately ₹3,602 crore.
The facility will produce both NMC (Nickel Manganese Cobalt) and LFP-based cells, with two production lines each for cylindrical and prismatic formats. While LFP cells are gaining popularity worldwide for their safety, longer lifespan, and cost benefits, Exide is preparing to meet market needs with both chemistries. Initial production will focus on cylindrical NMC cells, intended primarily for two-wheelers.
“Our first line to go live will be cylindrical NMC cells for two-wheelers. This will be followed by prismatic cells aimed at electric three- and four-wheelers. This phased rollout is aligned with customer demand and market readiness,” Mr Roy said. Exide plans to serve both transport and stationary energy storage needs with its upcoming cell output. Some cell models will be suited for use across both application types, enhancing flexibility in supply.
The company has a technical agreement with SVOLT Energy Technology, a China-based company specializing in lithium battery solutions. This arrangement allows Exide to use SVOLT’s expertise and designs to manufacture lithium-ion cells locally.
Exide has also formed a partnership with South Korean automakers Hyundai and Kia. The companies will use Exide’s LFP-based batteries in their future electric vehicle offerings in India. Development activities under this agreement are already underway.
Roy emphasized the growing interest from domestic and international vehicle makers. “We’re seeing strong engagement from major players across the two-, three-, and four-wheeler markets, all seeking local supply options for advanced battery cells,” he said.
In addition to the gigafactory, Exide operates a battery pack assembly unit in Gujarat with a capacity of 1.5 GWh. This facility currently uses imported cells, but will switch to Exide’s in-house cell production once the Bengaluru plant is operational. The Gujarat unit supplies battery packs to established two- and three-wheeler brands as well as telecom service providers.
Meanwhile, competitor Amara Raja is also making strides in this space. The company is building its own lithium cell plant in Telangana, with an initial 2 GWh phase expected to launch this year. Amara Raja plans to start commercial output of NMC cells for two-wheelers by late 2026, and is exploring a 4–6 GWh production plan for LFP cells. The company has alliances with Chinese firms for cell development and has recently signed supply deals with companies like Ather Energy and Piaggio India. Other Indian conglomerates such as Ola Electric, Reliance, Tata Group, JSW, and GODI India are also working on large-scale battery manufacturing projects, signaling rapid growth in the country’s battery production landscape.
Exide Industries Limited is a leading Indian multinational company specializing in the manufacture and storage of energy solutions, with a legacy spanning over seven decades. Headquartered in Kolkata, it is one of India’s largest producers of lead-acid batteries for automotive, industrial, and submarine applications, as well as a significant player in lithium-ion battery technology.
Exide’s products are widely used in vehicles, power backup systems, renewable energy solutions, and other critical sectors. The company is known for its robust manufacturing infrastructure, cutting-edge research and development facilities, and a vast distribution network across India and global markets. Committed to sustainability and innovation, Exide is actively investing in green energy technologies, including advanced battery solutions for electric vehicles, to align with the evolving needs of a cleaner and energy-efficient future.
