Exide and Amara Raja battery bet still runs through China

Exide Industries and Amara Raja Batteries have started production at their lithium-ion battery gigafactories, but NDTV Profit reports that their raw material supply chains remain almost entirely dependent on China. A fresh round of Chinese export controls on battery-grade lithium and related inputs is due in November, threatening the companies' domestic ambitions.

Both firms had planned to reduce reliance on Chinese imports under the government's production-linked incentive scheme. While the gigafactories are now operational, key precursors such as lithium iron phosphate cathode and electrolyte are still sourced from Chinese suppliers. The upcoming export restrictions could force the companies to either build their own precursor capacity or seek alternative sources, adding cost and delays.

The November deadline comes as India pushes for self-reliance in battery manufacturing. The two companies have not yet announced any alternative supply arrangements, and industry analysts are watching whether the export controls will disrupt the early output of the gigafactories.