Auto PLI attracts investment of Rs 74,850 cr for five years
ROADS & HIGHWAYS

Auto PLI attracts investment of Rs 74,850 cr for five years

The Production Linked Incentive (PLI) scheme introduced by the government for automobile and auto component sectors in India has attracted investment proposals of Rs 74,850 crore for the next five years, up by 76.11% than the planned investment of Rs 42,500 crore.

According to data, 20 applicants approved the proposed investment of Rs 45,016 crore under the Champion Original Equipment Manufacturer (OEM) Incentive scheme and Rs 29,834 crore from 75 applicants under the Component Champion Incentive scheme.

Overall, 115 companies applied under the PLI scheme for the automobile and auto component sectors across India. Out of which, five Auto OEM companies had participated in both parts of the scheme.

The incentives are applicable under the PLI scheme for Determined Sales of Advanced Automotive Technology (AAT) vehicle products manufactured in India from 1 April 2022 for five consecutive years.

Earlier, the government launched the PLI scheme for the automobile and auto component sectors for enhancing the manufacturing capabilities of India for Advanced Automotive Products (AAT). It had a budgetary outlay of Rs 25,938 crore.

The PLI scheme for the automobile and auto component sectors proposes financial incentives to boost the domestic manufacturing of AAT products and attract investments in the automobile component manufacturing value chain.

The main objective of the scheme includes overcoming cost disabilities, creating economies of scale, providing more employment opportunities and building a robust supply chain in AAT products. This scheme will facilitate the automobile industry to increase and boost the value chain into higher value-added products in the automotive industry.

Image Source

Also read: Govt to increase fund allocation for solar PLI scheme to Rs 240 bn

The Production Linked Incentive (PLI) scheme introduced by the government for automobile and auto component sectors in India has attracted investment proposals of Rs 74,850 crore for the next five years, up by 76.11% than the planned investment of Rs 42,500 crore. According to data, 20 applicants approved the proposed investment of Rs 45,016 crore under the Champion Original Equipment Manufacturer (OEM) Incentive scheme and Rs 29,834 crore from 75 applicants under the Component Champion Incentive scheme. Overall, 115 companies applied under the PLI scheme for the automobile and auto component sectors across India. Out of which, five Auto OEM companies had participated in both parts of the scheme. The incentives are applicable under the PLI scheme for Determined Sales of Advanced Automotive Technology (AAT) vehicle products manufactured in India from 1 April 2022 for five consecutive years. Earlier, the government launched the PLI scheme for the automobile and auto component sectors for enhancing the manufacturing capabilities of India for Advanced Automotive Products (AAT). It had a budgetary outlay of Rs 25,938 crore. The PLI scheme for the automobile and auto component sectors proposes financial incentives to boost the domestic manufacturing of AAT products and attract investments in the automobile component manufacturing value chain. The main objective of the scheme includes overcoming cost disabilities, creating economies of scale, providing more employment opportunities and building a robust supply chain in AAT products. This scheme will facilitate the automobile industry to increase and boost the value chain into higher value-added products in the automotive industry. Image Source Also read: Govt to increase fund allocation for solar PLI scheme to Rs 240 bn

Next Story
Infrastructure Transport

India’s Maha Kumbh of Road Construction

The RAHSTA Forum 2025, held on June 25 at Courtyard by Marriott, Mumbai, delivered powerful insights and dialogue on the future of India’s roads and highways sector. Organised by the FIRST Construction Council, the Forum served as the curtain-raiser to the much-anticipated RAHSTA Expo 2025, set to take place on 3rd and 4th September at the Jio Convention Centre, Mumbai.Union Minister of Roads Transport & Highways Shri Nitin Gadkari, while appreciating the efforts of FIRST Construction Council and ASAPP Info Global Group, commended the awards which recognise excellence across various..

Next Story
Real Estate

Built to Last, Designed to Impress

The construction and interior design industries stand at the confluence of functionality and aesthetics, where innovation powers the creation of enduring structures and inspiring spaces. At the heart of this process are materials and solutions that enable architects, designers, and builders to realise their visions with precision and reliability.Featuring iconic brands such as Fevicol—synonymous with adhesive solutions—Dr. Fixit, a complete waterproofing system renowned for addressing every critical area of construction, and Roff, a specialist in tile-fixing solutions, Pidilite has earned ..

Next Story
Infrastructure Energy

New Push to Cut India’s Air Pollution through Power Sector Reforms

In a significant stride toward environmental sustainability, Cummins India introduced CPCB IV+ compliant gensets to India on July 5, 2023, marking a paradigm shift in the power generation industry. These generators are engineered to adhere to the progressive emission norms set by the Ministry of Environment, Forest, and Climate Change. Being the first sets in the field, they have garnered praise for their remarkable achievements in emissions reduction and cutting-edge technology. Powerica, with its four-decade-long partnership with Cummins India Limited, is dedicated to consistently deliver th..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?