Exide Industries Powers Ahead: Lithium-Ion Cell Production Set to Transform Market

Exide Industries plans to begin production at its lithium-ion facility by the end of FY'26, with advanced talks underway with major two-wheeler OEMs. Initial production lines will focus on NCM-based cylindrical cells for two-wheelers and LFP prismatic cells for stationary use, highlighting significant investment and growth strategies.

Exide Industries announced that production at its new lithium-ion cell facility is expected to commence by the close of FY'26. Installations and commissioning of equipment are nearing completion, propelling the company towards a pivotal shift into the rapidly evolving battery sector.

In strategic discussions with leading two-wheeler OEMs, two companies are likely to become Exide's first customers for these advanced batteries. The production will initially focus on NCM-based cylindrical cells for two-wheelers, with a prismatic LFP line planned for stationary applications, as disclosed during the recent post-earnings analysts' conference call.

The company has invested a substantial Rs 3,947 crore in its subsidiary, Exide Energy, reflecting its commitment to expanding operations. Exide aims to optimize utilization rates to 80-90% to balance margins with its current lead-acid battery business, leveraging local production advantages amid global supply challenges.

(With inputs from agencies.)