India

Epsilon to collaborate on non China EV battery material sourcing

News, 21 July 2025

Epsilon Advanced Materials, a prominent battery materials manufacturer, has announced its readiness to forge long-term strategic partnerships with companies aiming to procure high-quality graphite anode and cathode materials from sources outside of China.

Currently, China dominates over 90% of the global processing capacity for graphite anode and cathode materials used in electric vehicles.

Recent restrictions imposed by China on the export of crucial battery-grade materials and technologies for both graphite anode and cathode (specifically lithium iron phosphate-based) have heightened global anxieties regarding supply chain dependencies within the EV industry, including in India.

This development aligns with India’s accelerated efforts to establish a robust, localized battery supply chain, particularly in response to China’s increasing export controls on critical battery technologies.

Epsilon Advanced Materials possesses its own proprietary technology for manufacturing lithium iron phosphate (LFP) cathode materials, supported by a research and development (R&D) facility in Germany.

Many companies in India that relied on Chinese LFP cathode; are now facing challenges, as they will need to invest in their own R&D, a process that typically requires 5-6 years to mature. Epsilon Advanced Materials, however, is investing ₹15,350 crore in Karnataka to develop a state-of-the-art manufacturing and research facility. This facility will focus on electric vehicle battery materials, battery testing, and advanced materials R&D.

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