The government on Wednesday cleared approximately Rs. 26,000 crore worth new production-linked incentive (PLI) scheme for the auto sector, to boost the production of electric vehicles and hydrogen fuel vehicles. The PLI scheme will generate as many as 7.5 lakh jobs for the auto sector, as per government estimates.
Last year, the government had announced the scheme for the automobile and auto components sector with an outlay of Rs. 57,043 crore, for a period of five years.
The auto component segments that are covered under the PLI scheme include electronic power steering system, automatic transmission assembly, sensors, sunroofs, supercapacitors, adaptive front lighting, tyre pressure monitoring system, automatic braking, tyre pressure monitoring system, and collision warning system.
The PLI scheme for the auto sector is part of the overall production-linked incentives announced for 13 sectors in the Budget 2021-22 with an outlay of Rs. 1.97 lakh crore.