- Exide Energy Solutions will begin lithium-ion cell sample deliveries by FY27, marking a shift toward customer validation and commercialization.
- Rising investments and partnerships highlight India’s push to localize battery manufacturing and reduce import dependency.
Exide Industries is entering a crucial phase in its lithium-ion battery journey, as its subsidiary Exide Energy Solutions prepares to initiate customer sample deliveries from cylindrical cell lines by the first quarter of FY27. This milestone signals a transition from project execution to real-world validation, where battery cells will be tested by potential customers across automotive and energy sectors. The company’s move aligns with growing demand for localized battery production in India, where manufacturers are actively seeking alternatives to imported lithium-ion cells to strengthen supply chain resilience.
Progress in Cell Manufacturing and Trials
The cylindrical cell line will be the first to reach the sampling stage, followed by prismatic cell lines entering product trials shortly after. These developments indicate steady progress at the project site as Exide Energy Solutions moves toward commercialization readiness. Simultaneously, the company is engaging with multiple original equipment manufacturers and energy solution providers to secure long-term offtake agreements. This dual approach of production readiness and customer engagement is expected to accelerate adoption once full-scale manufacturing begins.
Investment Growth and Capacity Expansion
Exide Industries has continued to strengthen its financial commitment to the lithium-ion venture. During the fourth quarter of FY26 alone, the company infused Rs 600 crore into its subsidiary, bringing total annual investment to Rs 1,500 crore. The cumulative equity investment has now reached Rs 4,802.23 crore, including earlier allocations to the merged entity. The company is developing a 12 GWh lithium-ion cell manufacturing facility in India, structured in two phases of 6 GWh each, aimed at meeting rising domestic demand.
Technology Collaboration and Strategic Partnerships
To strengthen its technological capabilities, Exide has partnered with SVOLT Energy Technology, which is providing manufacturing know-how and cell design expertise. This collaboration enables Exide to adopt proven lithium-ion technologies and adapt them for the Indian market. Additionally, global automotive players such as Hyundai Motor and Kia have already signed agreements to source locally produced batteries, particularly lithium-iron-phosphate cells, for their electric vehicle strategies in India.
India’s Push for Domestic Battery Ecosystem
The development of domestic cell manufacturing capacity is becoming increasingly critical as India scales its electric mobility and energy storage sectors. Battery cells are among the most import-dependent components in the EV value chain, and local production is essential to reduce costs and supply risks. Exide Energy Solutions aims to address this gap by supplying batteries for electric two-wheelers, three-wheelers, passenger vehicles, buses, and stationary storage systems, all of which are expected to witness significant growth in the coming years.
Competitive Landscape and Industry Outlook
Competition in India’s lithium-ion segment is intensifying, with Amara Raja also investing heavily in cell manufacturing. The company is developing a facility with a planned capacity of 16 GWh for cells and 5 GWh for battery packs over the next decade. Its first battery pack phase was inaugurated in 2024, and commercial cell production based on NMC chemistry is expected by the end of 2026. As multiple players expand capacity, India’s battery ecosystem is set to become more self-reliant and globally competitive.
Exide vs Amara Raja Lithium-Ion Expansion Comparison
| Company | Planned Capacity | Timeline |
|---|---|---|
| Exide Industries | 12 GWh (Phase-wise) | Sample delivery by FY27 |
| Amara Raja | 16 GWh Cells + 5 GWh Packs | Cell production by 2026 |
Frequently Asked Questions
When will Exide Energy Solutions start lithium-ion cell deliveries?
Exide Energy Solutions is expected to begin customer sample deliveries from its cylindrical lithium-ion cell lines by the first quarter of FY27. This marks the transition from development to validation, allowing OEMs and energy companies to test product performance. Following this, prismatic cell trials will commence, further expanding the company’s product offerings. These steps are critical before moving into full-scale commercial production and securing long-term supply agreements.
Why is local lithium-ion battery manufacturing important for India?
Local lithium-ion battery manufacturing reduces dependence on imports and strengthens the domestic EV supply chain. As demand rises across electric vehicles and energy storage applications, domestic production helps control costs, improve supply security, and support industrial growth. Companies like Exide and Amara Raja are investing heavily to build this ecosystem, which is expected to play a key role in India’s electrification goals and long-term energy transition.
Click above to visit the official source.