As per the intimation by the Ministry of Heavy Industry, Production Linked Incentive (PLI) Scheme for the automobile & auto-component industry was availed by 115 automobile OEM & ancillary companies.
The ministry had invited applications for the scheme until 9th of January 2022 midnight.
As per the guidelines of the ministry, one is eligible for incentives under the said scheme for projected sales of Advanced Automotive Technology (AAT) products produced in India for 5 years effective 1st April 2022.With an objective of a sustainable cleaner environment with advanced & more efficient Electric Vehicle infrastructure for India. Schemes like PLI for Auto, PLI for ACC & FAME shall be more effective towards the same.
Approval of PLI scheme for automobile sector & auto parts industry by the government shall uplift India’s production abilities for advanced automobile products with a budget of INR. 25, 938 cr. The objective comprises creating economic scale, overcoming the cost disabilities & raising a robust supply chain in the area of ATT products.
The PLI scheme for the automobile sector is applicable for both existing & upcoming companies or ones interested in the sector.
There are 2 components to the sales value in the said scheme – Electric Battery Vehicles & Hydrogen Fuel cell vehicles across segments shall fall under the Champion OEM Incentive Scheme. The Advanced Automotive Technology parts of the vehicle such as Completely Knocked Down (CKD), Semi Knocked Down(SKD) kits or aggregators any automobiles shall fall under the Component Champion Incentive Scheme.