Hyundai, Tata Motors, M&M among 20 auto makers shortlisted under PLI scheme
The Ministry of Heavy Industries has extended the benefits of its much-talked about production linked incentive (PLI) scheme to 20 car manufacturers with an aim to boost clean and green technologies.
Hyundai, Tata Motors, Kia and Mahindra and Mahindra are among the major auto players that made the cut among 115 companies that applied under the automotive PLI scheme for passenger vehicles, two wheeler and new non-automotive companies.
The Centre says the response to its PLI scheme for automakers has been good with the participating companies promising investment of ₹45,016 crore in the coming five years.
The PLI scheme, with an outlay of Rs 25,938 crore, aims to boost production of electric and hydrogen fuel-powered vehicles in India with an aim to achieve 30 percent electrification by 2030.
The scheme will be rolled out on April 1 this year for a period of 5 years and offer incentives of up to 18 per cent to auto manufacturers.
Incentives will be offered for deciding sales criteria of advanced automotive technology products, including vehicles and components made in India.
Surprisingly, Maruti Suzuki failed to make it to the list. Media reports suggest that Maruti Suzuki had withdrawn applications in favour of its parent company Suzuki Motor after it failed to meet the criteria set by the Union government. As per media reports, Maruti Suzuki may have failed to make the cut under the PLI Scheme, but may still manage to get incentives under the Component PLI scheme.
The 20 auto makers include two-wheeler manufacturers like Hero MotoCorp, TVS, Bajaj Auto, Piaggio. On the other hand, Elest, Ola Electric, Hop Electric, Booma Innovative, Axis Clean Mobility and Powerhaul vehicles have been approved under new non-automotive category. Bharat Forge, Ather Energy & Hero Electric failed to meet eligibility criteria.