Tata Motors, Suzuki, Hyundai among 20 selected companies
NEW DELHI: The center has accredited 20 companies including Tata Motors, Suzuki Motor Gujarat, Mahindra & Mahindra, Hyundai and Kia India Pvt under the Production Linked Incentive (PLI) program for the automotive industry.
Other vehicles registered in the four wheel segment include Ashok Leyland, Eicher Motors Ltd, PCA Automobiles India and Pinnacle Mobility Solutions.
According to an official statement, the automotive PLI program was a great success in terms of the response received, with the government receiving investment proposals that were worth it €45,016 crore from admitted applicants.
Bajaj Auto, Hero MotoCorp, Piaggio Vehicles and TVS Motor Company are among the successful contenders in the two and three wheeler segment.
Selected applicants in the New Non-Automotive Investor category include Ola Electric Technologies, Axis Clean Mobility, Booma Innovative Transport Solutions, Elest Pvt Ltd, Hop Electric Manufacturing Pvt Ltd and Powerhaul Vehicle Pvt Ltd.
The program will provide an incentive of up to 18% to encourage industry to make new investments in the domestic supply chain of Advanced Automotive Technology (AAT) products.
According to the government, the PLI program is valuable for automobiles and auto components €25,938 crore and PLI for Advanced Chemistry Cell ( €18,100 crore) along with the FAME program ( €10,000 crore) will help India’s transition to a greener, more sustainable, more advanced and more efficient ecosystem based on Electric Vehicles (EVs).
A total of 115 companies had applied for incentives under the program, which was reported on September 23, 2021. Incentives under the Automotive PLI program will be rolled out beginning April 1, 2022 for a period of five years.
The PLI automotive industry program was open to both existing automotive companies and new investors not currently involved in automotive or automotive component manufacturing.
Don’t miss a story! Stay connected and informed with Mint. Download our app now!!