Vedanta, the Indian metals-to-oil conglomerate, aims to increase its production of nickel and nickel sulphate in response to growing demand for electric vehicle (EV) battery materials in northeast Asia. The company, under its business unit Vedanta Nico, announced plans for this expansion but did not disclose specific production figures or investment amounts.
While India’s electric vehicle market is still developing, Vedanta has urged the Indian government to negotiate with Japan and South Korea to eliminate import duties on nickel sulphate, which is essential for EV batteries. This move comes as the company seeks to tap into the rising demand for these materials in countries like Japan and South Korea.
Vedanta’s strategy includes exporting nickel sulphate, which it sees as a high-value product vital for battery production. The company believes this expansion could significantly contribute to India’s export goals, aiming to increase overall goods exports to $1 trillion by 2030, up from $437 billion in the 2023/24 fiscal year.
The Indian government, recognizing the importance of nickel for cleaner technologies, is offering substantial incentives for companies to establish local EV and battery manufacturing. Currently, EV sales in India are relatively low, accounting for about 7% of the total vehicle sales of 23.8 million last year.