AP clinches Rs 2,550 cr cathode plant in Chittoor

Vijayawada: Andhra Pradesh has clinched a decisive ₹2,550 crore investment from NPSPL Speciality Chemicals Pvt. Ltd. to establish a cathode material manufacturing facility in Chittoor district. Spread across 105 acres in Gudupalle mandal, the project marks a strategic milestone in the state's bid to anchor India's electronics and clean-energy economy.Under the leadership of chief minister Chandrababu Naidu, sustained policy-driven industrial outreach is steadily positioning Andhra Pradesh as a preferred hub for advanced technology industries.At the heart of the project is cathode material — the critical component of lithium-ion batteries that defines performance, safety, and lifecycle. From EVs and consumer electronics to grid-scale energy storage, cathode materials power the backbone of modern technology.By anchoring this project, the state is tapping into two global shifts: the surge in electronics manufacturing and the accelerating transition to clean energy. Experts note cathode materials account for a major share of battery costs and technological edge, making domestic production a strategic necessity.Approved under the Andhra Pradesh Electronics Component Manufacturing Policy (4.0) 2025-30, the project enjoys early-mover advantages and tailored incentives — including capital subsidies, 100% electricity duty exemption for 10 years, and power cost reimbursements.Beyond investment, the facility is expected to generate 400 direct jobs and catalyze a wider ecosystem spanning battery manufacturing, EV supply chains, electronics hardware, and ancillary chemical industries. More importantly, it strengthens India's self-reliance in critical materials, reducing import dependence in a sector dominated by few global suppliers. As supply chains realign, Andhra Pradesh's proactive approach is helping India secure a foothold in one of the most strategic segments of the future economy."With this move, the govt led by CM Naidu is not merely attracting investment — it is shaping the foundation of India's next-generation industrial and energy landscape," said industries minister TG Bharat.