New Delhi: Epsilon Group, a leading industrial conglomerate driving the global carbon black and advanced battery materials industry, has signed a Memorandum of Understanding (MoU) with the Government of Karnataka (GoK) to invest Rs. 15,350 crores in developing state-of-the-art manufacturing and research facility for EV battery testing & advanced materials. This strategic investment, planned over the next 10 years, will bolster India’s electric vehicle (EV) ecosystem, creating thousands of jobs, and strengthen India’s position as a hub for advanced battery technology.
As part of the MoU, Epsilon Group, along with its subsidiaries Epsilon Advanced Materials and Epsilon CAM Pvt. Ltd. will manufacture sustainable and high-performance Graphite Anode and Lithium Iron Phosphate (LFP) Cathode battery materials while Inspire Energy Research Center Pvt. Ltd. will focus on R&D, testing & training for EV battery materials and battery manufacturers. The plan includes an investment of Rs. 9,000 crores to set up a Graphite Anode manufacturing plant, Rs. 6,000 crores for a LFP Cathode manufacturing plant, and Rs. 350 crores for battery materials and battery testing R&D and training center.
This initiative supports Karnataka’s ambition to become India’s energy transition hub, making the state a key destination for battery materials production. Epsilon Group will cater to Indian battery manufacturers, enabling them to access locally produced, high-performance materials to enhance supply chain resilience and support India’s growing EV market. The state government will facilitate necessary approvals, incentives, and infrastructure support for Epsilon Group’s projects, in line with its policies to promote industrial development.
To meet the rising demand for EVs in India, Epsilon Group will act as a sustainable and reliable manufacturer of Graphite Anode and LFP Cathode materials, reducing dependence on imports and supporting Indian cell manufacturers in achieving higher Domestic Value Addition (DVA). Epsilon can deliver 100% DVA for anode materials, while cathode materials achieve 60% DVA, significantly enhancing local value creation and supply chain localization.
Speaking on the occasion, Vikram Handa, Managing Director, Epsilon Group said, “This association marks a significant milestone in India’s transition towards clean energy & EV revolution. Our investment in Karnataka aligns with our vision of making India self-reliant in advanced battery materials and supporting the country’s EV ambitions. We are committed to creating jobs, fostering technology innovation, and promoting sustainable manufacturing to drive economic growth within the state to strengthen the vision of Viksit Bharat.”
Epsilon Group’s Rs. 15,350 crore investment in Karnataka is a crucial step toward reducing India’s reliance on Chinese imports and building a localized, self-sufficient battery material ecosystem. By establishing state-of-the-art Graphite Anode and LFP Cathode manufacturing plants, alongside an advanced R&D and testing center, Epsilon is ensuring that India develops indigenous capabilities in battery technology. This investment will secure a sustainable supply of critical battery materials for domestic and international EV manufacturers, strengthen India’s position as a global battery hub, reducing import dependency and enhancing energy security to support the Atmanirbhar Bharat & Viksit Bharat vision, fostering innovation and local employment with over 2,000 direct jobs and attract global OEMs & battery manufacturers looking for reliable, non-China-dependent supply chains.
About Epsilon Group
The Epsilon Group, established in 2010, is a leading industrial conglomerate driving the global carbon black and battery materials industry with a vision to decarbonize economies and support cleaner technologies through its subsidiaries, Epsilon Carbon, Epsilon Advanced Materials and Epsilon CAM Pvt. Ltd.
Epsilon Carbon is India’s 1st backward integrated carbon facility spanning 165-acres in Bellary, Karnataka for carbon black and specialty carbon manufacturing with an annual capacity of 215,000 tons and 320,000 tons respectively. Epsilon Advanced Materials Pvt. Ltd., (EAMPL) established in 2018, is a subsidiary dedicated to developing sustainable and high-performance, sustainable Graphite Anode & LFP Cathode battery materials. The company has successfully commissioned India’s 1st graphite anode material customer qualification plant in Bellary, Karnataka with plans to produce 30,000 tons/annum by 2027 to scale up to 100,000 tons/annum by 2030. It has made strategic investments globally for manufacturing graphite anode material in USA with 60,000 tons/annum by 2030; and 60,000 tons/annum by 2030 in Finland. Epsilon CAM Pvt. Ltd. forayed into lithium-ion phosphate (LFP) based Cathode Active Material business through a technology center in Germany with plans to manufacture 100,000 tons by 2030.
