Naxion Energy, a leading sodium-ion battery manufacturer, has announced plans to invest Rs 200 crore by the end of December 2026 to expand its manufacturing capabilities across India. The investment will primarily focus on establishing a new production facility in Hyderabad.
The Hyderabad-headquartered company currently operates a manufacturing plant in Coimbatore and specializes in developing high-performance sodium-ion battery packs for mobility and energy storage applications.
Abishek Reddy, CEO of Naxion Energy India, revealed the expansion plans during a media interaction on Thursday. He stated that the new manufacturing plant in Hyderabad is expected to become operational next year to cater to the increasing demand from original equipment manufacturers (OEMs) and enterprise customers.
“Our plans include setting up both an assembly plant and a cell manufacturing facility in Hyderabad, which will be Naxion Energy’s second manufacturing plant,” Reddy said.
The company also announced its intention to expand its workforce by 50 per cent as part of this growth initiative. This expansion is expected to create numerous employment opportunities in the region and strengthen the company’s production capacity.
The new Hyderabad facility will complement the existing operations in Coimbatore, enabling the company to scale up production and meet the growing market demand for sodium-ion batteries. These batteries are increasingly being recognized as a viable alternative to lithium-ion batteries for various applications.
Sodium-ion batteries have gained attention in recent years due to their potential cost advantages and the abundance of sodium compared to lithium. The technology is particularly suitable for energy storage systems and certain mobility applications where weight is less critical.
The company’s expansion comes at a time when India is pushing for increased domestic manufacturing of batteries and energy storage solutions as part of its clean energy transition goals. The government has been encouraging investments in battery technology to reduce dependence on imports and build a robust domestic supply chain.
Naxion Energy’s decision to establish both an assembly plant and a cell manufacturing facility in Hyderabad demonstrates the company’s commitment to vertical integration. This approach will allow the company to have greater control over the production process and potentially reduce costs.
The investment of Rs 200 crore over the next two years represents a significant commitment to expanding the company’s footprint in India’s growing battery manufacturing sector. The timeline extending until December 2026 suggests a phased approach to the expansion.
According to Reddy, the new facility will help the company better serve its OEM partners and enterprise clients who are increasingly looking for reliable domestic suppliers of battery solutions.
