Himadri Speciality Chemical, one of India’s largest producers of coal tar derivatives and speciality carbon black, is making a strategic pivot into lithium-ion battery materials and advanced chemicals, aiming to emerge as a non-Chinese supplier to global electric vehicle (EV) and energy storage supply chains.
The company is investing in lithium iron phosphate (LFP) cathodes, anode materials, silicon-carbon technology, and tyres, according to Chairman and Managing Director Anurag Choudhary.
Himadri, which began as a supplier of coal tar pitch to aluminium smelters, will continue to expand its core businesses.
Chairman and Managing Director Anurag Choudhary said, “We are not abandoning coal tar; we are using it to fund the future.” He added, “This company was built on one idea, take a by-product for others and make it a core product for us. Coal tar pitch was a by-product for steel plants. For us, it was the main product. That thinking is now being applied to battery materials.”
The pivot aligns with a broader global trend of chemical companies moving up the value chain to improve margins and reduce reliance on commodity segments. Choudhary noted that the strategy involves expanding current businesses organically and using the cash flow to invest in new areas.
In the financial year ended March 2025, Himadri reported consolidated revenue of ₹4,599 crore, EBITDA of ₹847 crore with margins of 18.4%, net profit of ₹556 crore, and return on capital employed of 19.6%.
The company, which dominates India’s coal tar pitch market with over 60% share, is expanding coal tar pitch capacity to 600,000 metric tonnes from 500,000 tonnes and carbon black capacity to 130,000 tonnes from 60,000 tonnes, with a capital expenditure of ₹220 crore. The focus is on speciality carbon black, used in plastics, coatings, cables, inks, and lithium-ion batteries.
Choudhary said, “With this expansion, we will be among the top global producers of speciality carbon black.”
Himadri is also working to increase income from coal tar distillates and plans to commission its anthracene and carbazole project in the second quarter of FY27.
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