Automobile industry to benefit from 26,000 crores worth PLI scheme

New Delhi: In order to boost the production of electric vehicles and hydrogen fuel vehicles, the Central government approved a new production-linked incentive (PLI) scheme worth approximately 26,000 crores today. This scheme is expected to create 7.5 lakh jobs in the auto industry, according to government estimates.

A five-year scheme with an outlay of 57,043 crores was announced by the government last year for the automobile and auto component sector.

The auto component segments covered by the PLI scheme include electronic power steering, automatic transmission assemblies (including sensors), sunroofs and supercapacitors, adaptive front lighting, tyre pressure monitoring, automatic braking, and collision warning systems.

A 1.97 lakh crore worth of production-linked incentives was announced for 13 industries in the Budget 2021-22 and the PLI scheme for the auto sector is part of it.

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