Amara Raja Energy & Mobility has cleared a major investment in Telangana. Its subsidiary, Amara Raja Advanced Cell Technologies, approved a ₹2,320 crore capital expenditure on 2 November 2026. The money will expand battery pack manufacturing capacity from 4 GWh to 9 GWh. It will also fund a new LFP cell plant.
The new plant will come up at the Telangana Giga Corridor in Divitipalli, Mahbubnagar. The company aims to complete the project within 30 months. It will fund the expansion through a mix of equity and debt.
The approval is part of the company’s wider ₹9,500 crore Giga Corridor programme. The programme targets up to 16 GWh of lithium-ion cell capacity by around FY30. In July 2026, the company commissioned a ₹500 crore, 60 MWh Customer Qualification Plant.
Commercial production from the initial 2 GWh Giga 1 facility is expected in mid-2027. This facility will first focus on NMC chemistry for mobility applications. The new LFP plant reflects the company’s shift toward LFP chemistry after its early NMC lines. The company continues to deal with technology and cost challenges compared with imported cells.
The project supports local manufacturing in India’s growing EV and energy storage sectors, including the company’s ongoing BESS expansion. It also falls under the Telangana MoU, which targets thousands of jobs in the state.
