How Amara Raja plans to lead in battery technology with 16 GWh capacity giga factory
The company initially projected 16 GWh of capacity, but expects to exceed it, with evolving demand and partnerships.
As the global shift towards electric mobility accelerates, Amara Raja positions itself at the forefront of this transformation with its 16 GWh capacity gigafactory in Telangana. The company’s gigafactory, with an initial cell capacity of 4 GWh—split evenly between LFP (Lithium Iron Phosphate) and NMC (Nickel Manganese Cobalt)—and a 5 GWh pack facility, is poised to play a crucial role in meeting future demand.
“We initially projected 16 GWh of capacity,” Vikram Gourineni, Executive Director at Amara Raja Energy & Mobility notes. “However, with evolving demand and partnerships, especially with companies like Goshen Inobat, we expect to exceed these figures,” he adds.
By 2030, projections for battery demand in India have been revised upwards, with estimates ranging from 200 to 250 GWh. This increase reflects a more optimistic outlook compared to earlier forecasts, prompting Amara Raja to align its capacity and investment plans accordingly.
The company’s name change last year from Amara Raja Batteries to Amara Raja Energy and Mobility signals a significant shift in the company's vision. “We’re expanding beyond just batteries,” he said. “Our focus now includes power conversion, power electronics, and thermal management. We want to capture the full value of the energy ecosystem, not just the battery component,” he adds.
He added that the company’s recent collaboration with Ather Energy exemplifies Amara Raja’s strategy of leveraging partnerships to enhance product offerings. “Ather’s focus on localised, high-quality design aligns well with our goals. Our partnership with Ather allows us to refine battery characteristics based on their extensive data and expertise,” he said. Amara Raja is also exploring further collaborations with various OEMs and customers. Despite the current competitive landscape, which includes aggressive players like Ola Electric, Gourineni believes there is ample room for growth. “The market is large enough to accommodate multiple players,” he asserts. “Our focus is on successful industrialisation and leveraging our extensive experience in automotive manufacturing.”
He also acknowledges the challenges posed by international competition, particularly from China. “China’s advancements in battery technology and supply chain integration present both challenges and opportunities. We aim to partner with those who excel in these areas while building local capabilities,” he said.
In terms of future technologies, such as solid-state batteries, Amara Raja remains cautiously optimistic. “We’re exploring new technologies but recognise that traditional lithium-ion batteries will continue to play a significant role,” he said.
He adds that with a focus on expanding beyond battery manufacturing, embracing new technologies, and forging impactful partnerships, Amara Raja is set to play a significant role in the future of energy and mobility.
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