Production Linked Incentive (PLI) Scheme for Automobile and Auto Components Industry
By Ministry of Heavy Industries
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Quick Answer
A Central Government scheme offering financial incentives to automobile and auto component manufacturers for boosting domestic manufacturing of advanced automotive technology products.
- Funding amount
- ₹500Cr – ₹6485Cr
- Funding type
- Subsidy
- Provider
- Ministry of Heavy Industries
- Application deadline
- Closed
- Eligible stage
- Revenue
- Location
- Open to startups registered in India
- Registrations needed
- Private Limited company registration
Results & next round
Applications for this round closed on 9 January 2022. The organiser has not published a selection list that we can verify yet.
Selections for this programme are announced by Ministry of Heavy Industries. Official links are listed under Sources below.
We update this page when results are published, and when the next round opens.
About this subsidy
The Production Linked Incentive (PLI) Scheme for the Automobile and Auto Components Industry, spearheaded by the Ministry of Heavy Industries, Government of India, is a flagship initiative designed to significantly bolster domestic manufacturing capabilities. The core objective of the scheme is to provide financial incentives to eligible automobile and auto component manufacturers for producing advanced automotive technology products. This strategic intervention aims to overcome historical cost disabilities faced by Indian manufacturers and to foster economies of scale, making India a competitive global manufacturing hub.
Beyond financial support, the scheme is envisioned to catalyze substantial investment in the automotive sector, enhance the manufacturing ecosystem, and fortify the entire automotive value chain. It also plays a crucial role in job creation and the development of a robust, self-reliant supply chain for advanced automotive technologies, including electric vehicles (EVs) and hydrogen fuel cell vehicles. The PLI scheme is structured into two primary components: the Champion OEM Incentive Scheme, targeting original equipment manufacturers, and the Component Champion Incentive Scheme, focusing on manufacturers of auto components. Each component has tailored incentive rates and eligibility criteria to ensure a broad impact across the industry.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Ministry of Heavy Industries is a Union ministry of the Government of India. It is responsible for heavy engineering and machine tools, heavy electrical engineering and the automotive industry, and its office is in GPOA-3, Netaji Nagar, New Delhi. Most of its schemes are…
Learn moreBenefits & Funding
- Amount
- ₹500Cr – ₹6485Cr
What You Get
The Production Linked Incentive (PLI) Scheme offers substantial financial incentives to eligible automobile and auto component manufacturers. Incentives are provided based on incremental sales (Determined Sales Value) of eligible products, with a total scheme outlay of ₹25,938 crore. The maximum incentive for an entire group of companies is capped at ₹6,485 crore. Incentive rates vary from 8% to 16% depending on the scheme component (Champion OEM or Component Champion) and sales value, with additional incentives for cumulative sales exceeding thresholds and for products like Battery Electric Vehicles and Hydrogen Fuel Cell Vehicles/components. This support aims to boost domestic manufacturing, promote investment, and enhance manufacturing capabilities in advanced automotive technologies, ensuring a robust and self-reliant automotive sector in India.
- Disbursement
- Reimbursement
- Duration
- 61 months
Timelines & Process
Selection Process
The application process involves a rigorous evaluation for eligibility and completeness, conducted by the nodal agency. After initial scrutiny of the submitted documents and details, an acknowledgment will be issued to the applicant. Final approval for participation in the scheme is granted only upon strict compliance with all stipulated scheme conditions and criteria. The evaluation assesses the applicant's financial health, investment plans, product strategy, and ability to meet domestic value addition and sales growth targets.
Application Process
- 1
Submit Application
Submit the application form online or offline to the nodal agency before the deadline.
You - 2
- 3
- 4
- 5
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
What is the Production Linked Incentive (PLI) Scheme for Automobile and Auto Components Industry?
The scheme, by the Ministry of Heavy Industries, aims to boost domestic manufacturing of advanced automotive technology products by providing financial incentives to automobile and auto component manufacturers based on incremental sales and investments. It's a strategic initiative to make India a global manufacturing hub for advanced automotive technologies.
What are the two main components of the scheme?
The scheme comprises two components: the Champion OEM Incentive Scheme, designed for Original Equipment Manufacturers, and the Component Champion Incentive Scheme, focused on manufacturers of advanced auto components.
What is the maximum incentive available per company?
The total incentive an entire group of companies can receive under this scheme is capped at ₹6,485 crore, ensuring equitable distribution while providing substantial support.
What are the key eligibility criteria for applicants?
Applicants must be companies registered in India, demonstrating significant global revenue and fixed asset investments (specific thresholds apply for OEMs and component manufacturers). New non-automotive investors have distinct net worth requirements. All applicants must commit to cumulative domestic investment targets and achieve yearly milestones. Additionally, specific criteria related to domestic value addition, product pre-approval, and sales growth apply to Champion OEM and Component Champion applicants.
How long will the incentives be provided?
Incentives under the scheme are applicable for a period of five consecutive financial years, starting from Financial Year 2023-24 and extending until FY2027-28.
What is the application process?
Applications can be submitted online through the official portal (pliauto.in) using the company's CIN as a user ID. An offline process also exists, involving submission of a prescribed application form to the nodal agency. The application undergoes evaluation for eligibility and completeness, followed by an acknowledgment and eventual final approval based on compliance with scheme conditions. Approved applicants will then submit annual incentive claims for disbursement based on their performance.
Sources
Data on this page is compiled from official program and provider references.
News
- China's joint ventures expected to join India's Auto PLI Scheme for boosting electric vehicle productionmanufacturing.economictimes.indiatimes.com · last month
- Auto PLI Draws Rs 454.77 Billion Investment Creates Over 67,000 Jobsconstructionworld.in · last month
- Auto PLI scheme draws Rs 45,477 cr investment, creates over 67,000 jobs: Kumaraswamyedexlive.com · last month
- Auto PLI scheme draws Rs 45,477 crore investment, creates 67,000 jobs: Union Minister HD Kumaraswamym.economictimes.com · last month
- New EV Localisation Rules Take Effect From September 1: E-Bus, E-Truck Makers Face New Compliance Deadlineautopunditz.com · last month
- Ola Electric Secures Rs 95.8 Crore PLI-Auto Incentive For Third Straight Yearbwdisrupt.com · last month
Source: Google News aggregated
