US firm IBC to invest ₹8,000 crore in Karnataka, set up lithium-ion battery plant

Karnataka govt & International Battery Company sign MoU to set up ₹8,000 crore recyclable Lithium-ion battery unit.

Published on: Aug 2, 2023, 10:23:19 IST

By Yamini C S

Prefer HTon Google

Share via

Copy link

In a major boost to Karnataka's EV industry, the state is all set to get a lithium-ion battery plant in the outskirts of Bengaluru, as the state government and battery manufacturing giant International Battery Company (IBC) on Tuesday entered into an agreement.

Lithium batteries are used largely in electric vehicles.

The battery maker signed a memorandum of understanding (MoU) with the state to establish a gigafactory with an investment of ₹8,000 crore, news agency PTI reported. Talks were on since June, when the company had said it is mulling setting up a facility in Karnataka where equipment, parts and other products related to electrification and decarbonisation technologies will be manufactured.

READ | Battery maker IBC mulling ₹8,000 cr investment in Karnataka, to set up lithium cell plant

The investment of ₹8,000 crore comes up to 1 billion US dollars. The unit, the second such plant in Karnataka, is expected to be established on a 100-acre land at the Information Technology Investment Region (ITIR) at Devanahalli in the Bengaluru Rural district.

"After the realisation of the project, the state would have its second Lithium-ion battery manufacturing facility paving the way for becoming the front runner as a Li-ion battery manufacturing state in the country," Large and Medium Industries Minister M B Patil said.

READ | Foxconn unit proposes second iPhone plant in Karnataka, to invest ₹8,800 crore

IBC India Pvt Ltd President Venkatesh Valluri and Department of Commerce and Industries Principal Secretary Dr Selvakumar signed the MoU while Patil was present, the agency said.

The battery making company harped on the importance of recyclable batteries and said its investment would cover land, plant, machinery and building. It also said it will set up "dry rooms and clean rooms" for production of high-quality batteries. Lithium batteries are used largely in electric vehicles.

(With inputs from PTI)

ABOUT THE AUTHOR
Yamini C S
Yamini CS is a Senior Content Producer at Hindustan Times with nearly six years of experience in digital journalism. She is part of the India News desk, where she works on a wide range of stories cutting across civic issues, city-based developments, politics, governance, public policy, breaking news, trending topics, and international affairs that have an impact on India. Her role involves tracking fast-moving developments, verifying information from official and on-ground sources, and presenting news in a clear, accessible format for a digital-first audience. A significant part of her work includes handling live blogs during major news events, such as elections, court verdicts, political developments, civic disruptions, protests, weather-related alerts, and unfolding national or international incidents. Through live coverage, she focuses on timely updates to help readers follow complex stories as they evolve. Before moving to the broader India News desk, Yamini was associated with the Bengaluru desk at Hindustan Times, where she extensively covered urban governance, infrastructure, traffic and transport issues, weather events, public grievances, and civic administration in the city. This experience strengthened her grounding in city reporting and sharpened her focus on citizen-centric journalism. She began her career as a correspondent with Reuters after completing a postgraduate diploma in journalism from the Indian Institute of Journalism and New Media. Her early training instilled a strong emphasis on accuracy, sourcing, and news ethics, which continue to shape her reporting style. Outside of work, Yamini enjoys reading across genres, listening to music, and spending time with her family, which help her maintain balance in a fast-paced newsroom environment.Read More

Get the latest City News, local updates, weather alerts and breaking stories from Bengaluru, Delhi, Mumbai, Hyderabad and other major cities across India on Hindustan Times.