The Adani Group announced plans to invest $11.5 billion in a new aluminium production plant in Odisha, in partnership with Emirati investment firm International Holding Company (IHC). The facility is expected to have a capacity of 2 million tonnes per annum (mtpa), aiming to reduce India's dependence on imported aluminium. The group’s entry into aluminium production positions it against established players like the Aditya Birla Group and Vedanta Group, according to livemint.com.
The partnership between Adani Group and IHC will focus on establishing the plant in Odisha, a state with strategic advantages for industrial projects. Karan Adani, the elder son of group chairman Gautam Adani, is expected to lead the aluminium business. The project aligns with India's growing demand for aluminium, which currently consumes 5.5 million tonnes annually but produces just over 4 million tonnes locally, per livemint.com.
This investment marks a significant move in India's aluminium sector, which is critical for industries such as electric vehicles and battery manufacturing. The planned plant's 2 mtpa capacity would boost domestic production substantially, helping to curb imports. The Adani Group's entry intensifies competition with the Aditya Birla Group and Vedanta Group, two major aluminium producers in India, as reported by livemint.com.
The Adani Group’s $11.5 billion aluminium project in Odisha is among the largest investments in the sector this year. The company aims to leverage this capacity to meet rising domestic demand and support India’s strategic goal of self-reliance in critical metals, according to livemint.com.