Hindalco’s Novelis To Invest $2.5 Billion On Low-Carbon Recycling Plant
More than half of the capacity of Novelis' new plant will be used to serve growing demand for aluminium cans in North America.
Hindalco Industries Ltd.'s subsidiary Novelis Inc. will invest $2.5 billion (more than Rs 19,000 crore) to build a new low-carbon recycling and rolling plant in Bay Minette, Alabama, U.S.
The facility will have a capacity of 600 kilotonnes of finished aluminum goods a year initially, according to the parent's filing. Kumar Mangalam Birla, chairman of the Aditya Birla Group, said in the statement that it's the largest global greenfield expansion project of the conglomerate, taking its investments in the U.S. to more than $14 billion.
More than half of the capacity of the new facility will be used to serve growing demand for aluminum beverage can sheet in North America, driven by consumer preference for more sustainable packaging, the statement said.
"This investment marks the start of another transformational growth phase for Novelis. We continue to invest in each of the markets Novelis serves—from beverage can to automotive, aerospace and specialties—and in all geographies," Birla said in the statement. "Novelis has a track record of success in delivering customers the low-carbon, sustainable aluminum solutions they seek, and we will continue that storied history with this investment and others to come."