Epsilon Advanced Materials (EAM) has revealed its plans to invest $650 million (Rs 5,360 crore) in the USA.
It aims to establish a 50,000 TPA synthetic graphite anode manufacturing facility in the USA to supply high-capacity anode materials produced through green technologies.
The proposed facility will provide critical battery materials to power more than a million electric vehicles.
Currently, this synthetic graphite anode processing facility is the largest Indian investment in the US electric vehicle battery industry.
This investment is directed towards building a strong US-India trade relationship and contributing towards creating cleaner and sustainable energy alternatives.
The joint statement by President of USA Joe Biden and India’s Prime Minister Narendra Modi acknowledged Epsilon Advanced Materials’ investment in USA.
EAM is currently evaluating multiple locations across the US for the proposed facility, subject to regulatory approvals, environmental permits and state and local incentive agreements.
It has already signed strategic supply agreements with local raw material suppliers and transport partners to create a seamless supply chain network with focus on minimizing carbon emissions and reducing transportation costs.
Through this facility, EAM will produce high-capacity synthetic anode materials, customized for specific cell chemistries. It is expected to generate revenue of more than $500 million (Rs 4,123 crore) at full capacity by 2031.
The company will generate more than 1,500 direct and indirect employment opportunities at this facility. The facility is expected to be commissioned by 2026.
Vikram Handa, Founder and MD, Epsilon Advanced Materials said, “Our investment in the USA is driven by the intent of Energising the World with clean energy solutions. The battery value chain is a critical enabler to electric mobility adoption, and we are channelizing our efforts to localize the battery manufacturing ecosystem. This will the help automakers leverage the EV subsidies under the U.S. Inflation Reduction Act and pass on the benefits to the end-user.”
The U.S. government has set up an ambitious goal for electric vehicles with the vision to convert 50 percent of vehicle sales to be electric by 2030 and generate 1,000 GWh of battery capacity.
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