Gearing Up Greatness: PLI Drives India’s Auto Revolution into High Torque

India's Production Linked Incentive (PLI) Scheme for the auto and auto component sector has emerged as a cornerstone of industrial transformation. It has so far till March 2025 attracted Rs 29,576 crore of investment and generated over 44,987 jobs in the automobile value chain.

Key Developments and Strategic Consequences
- Rolled out at Rs 25,938 crore of capital outlay in FY 2023–2027, the scheme will provide a boost to domestic production of Advanced Automotive Technology (AAT) products
- The scheme consists of two sub-schemes
Champion OEM Incentive Scheme and Component Champion Incentive Scheme, both of which are designed to encourage domestic value addition
- Four firms made incentive claims in FY 2024–25, and Rs 322.01 crore has been paid until now
- The Ministry of Heavy Industries, led by H D Kumaraswamy, has assured faster disbursal of incentives and regular stakeholder workshops for trouble-free implementation

Steering Atmanirbhar Bharat and World Competitiveness
- The project aligns with India's vision to be a clean and future-proof mobility solutions hub of the world
- It promotes zero-emission technologies like battery electric and hydrogen fuel cell technologies
- Tata Motors, Mahindra & Mahindra, Ola Electric, and Toyota Kirloskar are the major players who have been cleared under the scheme

Job and Ecosystem Growth
- Job creation is extended to production, R&D, and supply chain activities - The scheme is driving deep localization and integration into global supply chains.

Sources: Economic Times Auto, The Hindu BusinessLine, Devdiscourse, MENAFN, The Week, Ministry of Heavy Industries India