Amara Raja charged up for future challenges

Jayadev Galla, chairman and Managing Director, Amara Raja Batteries says tackling cost, competition, and challenges is going to be a tightrope walk. While EVs will play a key role going forward, he tells Sricharan R that lead acid batteries may outlast lithium-ion.

Amara Raja Batteries has taken the next step in their business model by concentrating equally in both lead acid batteries and newer mobility needs (lithium-ion).

The company, which in 2021 announced strategic plans, said that they will expand their growth model in lead acid batteries and also establish a new energy SBU encompassing lithium cell and battery pack, EV chargers, energy storage systems, and more.

The battery maker is planning capacity expansion in both the chemistries. But, Jayadev Galla, chairman, and Managing Director, Amara Raja Batteries feels that lead acid batteries will last longer than lithium-ion batteries,“It is not the same technology stream and it has been there for 100 years now. It will be there for 100 years more. Whereas, lithium-ion will move on to solid state, and on to other chemistries. I would not be surprised if the lead acid outlasts li-ion.”

He added that the company will also be getting into solid-state batteries in the future, “To stay in the EV segment, we have to keep up with the technology. We are investing in R&D and we will get there.”

For the lead acid battery business, Galla explained that Amara Raja is looking at various options to expand geographically outside India. “We are looking at Africa, Middle East and South East Asia as a focus now. We are in the scouting process and are also looking at acquisitions. If we find a right company, then we may not need to set up a greenfield project.”