Himadri Speciality Chemicals is accelerating its entry into the electric vehicle (EV) battery materials space, initiating advanced discussions with global EV manufacturers and battery makers to supply lithium iron phosphate (LFP) cathode materials. Through this move, the company aims to tap the fast-growing demand for cost-effective and safer battery chemistries while strengthening its presence in the global energy storage value chain.
Phased Plan to Serve 100 GWh Battery Demand
Himadri plans to roll out its LFP business in phases, targeting supply for nearly 100 GWh of batteries over the next five years. The company will cater to both domestic and international markets, positioning itself as a reliable alternative supplier outside China, which currently dominates the global LFP ecosystem. Importantly, the first phase of the LFP cathode active material facility is underway. It is expected to be operational by Q3 FY27.
₹1,125-Crore Odisha Plant to Anchor Expansion
To support its ambitions, Himadri will invest ₹1,125 crore to set up a large-scale lithium iron phosphate cathode active material manufacturing plant in Odisha. The facility will have a production capacity of 2 lakh metric tonnes per annum (MTPA). Once operational, it is expected to be the only LFP cathode plant of its scale outside China, giving Himadri a strategic edge in global supply chains. By localising production, the company aims to reduce import dependence and support India’s growing EV and energy storage manufacturing ecosystem.
Why LFP Batteries Are Gaining Ground
The shift toward lithium iron phosphate batteries is accelerating worldwide, driven by safety, cost, and sustainability advantages.
Compared with conventional lithium-ion chemistries, LFP batteries offer:
*Lower cost and higher affordability
*Longer lifespan of up to 10 years
*Superior thermal stability and resistance to overheating
*No cobalt or nickel, making them more environmentally friendly
As a result, EV manufacturers increasingly prefer LFP batteries for mass-market vehicles. Beyond mobility, these batteries also power solar energy storage systems and portable power stations, further expanding their demand base.
Strong Core Business Supports Diversification
While expanding into advanced battery materials, Himadri continues to maintain a strong foothold in its core segments. The company remains India’s largest producer of coal tar derivatives and specialty carbon black.
Financially, Himadri delivered solid performance in the December quarter, reporting:
*Revenue of ₹1,133 crore
*EBITDA of ₹249 crore
*Net profit of ₹195 crore
The results exceeded the company’s internal projections set three years ago, reflecting improving operational efficiency and strong demand.
Growth Outlook: Doubling Profits by FY28
Looking ahead, Himadri plans to sustain its growth momentum. The company will pursue a mix of greenfield projects and brownfield expansions over the next 10 quarters. Chairman and Managing Director Anurag Choudhary expressed confidence that the company’s diversified growth strategy will help double profits to ₹1,100 crore by FY28. As reported by thehindubusinessline.com, Himadri is entering the high-growth LFP battery materials segment. At the same time, it is strengthening its legacy businesses to position itself as a key player in India’s evolving clean energy and EV supply chain.
