Mumbai, January 27, 2026: Hindalco Industries Limited (BSE: 500440 | NSE: HINDALCO) on Tuesday announced a major capacity expansion in its aluminium operations, committing ₹21,000 crore towards a new smelter expansion at its Aditya Aluminium complex in Odisha, while simultaneously commissioning flat rolled products and battery-grade aluminium foil facilities in the state.
₹21,000 Crore Smelter Expansion at Sambalpur
The company plans to expand smelting capacity by 3.6 lakh tonnes per annum at the Aditya Aluminium complex in Sambalpur, strengthening its upstream aluminium footprint. The expansion forms part of Hindalco’s long-term growth capital expenditure strategy and is aligned with rising domestic demand from electric mobility, defence, packaging and advanced manufacturing sectors.A portion of the expanded smelter’s power requirement is planned to be met through round-the-clock renewable energy, integrating sustainability into large-scale industrial growth.
Commissioning of FRP and Battery Foil Facilities
Alongside the smelter expansion, Hindalco commissioned a 1.7 lakh tonnes per annum flat rolled products facility and a battery-grade aluminium foil manufacturing unit in Odisha, with a combined investment of ₹4,500 crore.The battery-grade aluminium foil unit is India’s first such facility and is designed to support up to 100 GWh of lithium-ion cell manufacturing capacity. The facility draws input directly from the FRP complex, creating an integrated downstream value chain for the electric mobility and energy storage ecosystem.
Import Substitution and Market Impact
Hindalco currently accounts for over 50 percent of India’s flat rolled aluminium market. With nearly 40 percent of flat rolled aluminium still imported into the country, the expanded FRP capacity is expected to reduce import dependence by nearly half, improving domestic availability of high-grade aluminium products and enhancing competitiveness.Odisha at the Core of Growth Capex
The Odisha projects are part of a broader ₹37,000 crore investment pipeline planned by Hindalco in the state across upstream and downstream aluminium operations. This forms a significant portion of the company’s overall ₹55,000 crore growth capital expenditure planned across India.Hindalco has already invested more than ₹25,000 crore in Odisha over the past 15 years across bauxite mining, alumina refining, aluminium smelting and downstream manufacturing.
Employment and Industrial Ecosystem
Hindalco’s integrated operations currently provide employment to nearly 23,000 people. The latest phase of expansion is expected to generate over 15,000 additional direct and indirect jobs, further strengthening Odisha’s position as a national aluminium manufacturing hub.The broader investment pipeline includes the smelter expansion, FRP and battery foil facilities, alumina refining capacity, captive coal mining and specialised materials manufacturing.
Management Commentary
Kumar Mangalam Birla, Chairman of the Aditya Birla Group, said the investments reinforce India’s manufacturing ambitions through integration, value addition and sustainability. He highlighted that Hindalco is building a fully integrated aluminium ecosystem spanning upstream resources to high-value downstream products, strengthening self-reliance and supporting critical sectors.Satish Pai, Managing Director of Hindalco Industries, said the FRP expansion and smelter growth reflect the company’s integrated upstream-downstream strategy, enabling it to serve sectors such as packaging, defence, electric mobility, renewable energy and advanced manufacturing while creating long-term value.
Sustainability Focus
Downstream manufacturing continues to deliver lower carbon intensity per tonne, supported by renewable energy integration, advanced technologies and responsible resource management. The company also continues to invest in community development initiatives across education, healthcare, skill development and women’s empowerment.About the Company
Hindalco Industries Limited is the metals flagship of the Aditya Birla Group and one of the world’s largest aluminium producers by revenue. The company operates across the aluminium and copper value chain, from mining and smelting to high-value downstream products. Hindalco’s global manufacturing footprint spans multiple countries, with India remaining a key growth market driven by infrastructure, energy transition and manufacturing demand.Source:
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