Auto PLI scheme draws US$ 4.82 billion investment, creates 67,000 jobs: Union Minister for Heavy Industries and Steel Mr. H.D. Kumaraswamy
- IBEF
- September 3, 2026
India's Production Linked Incentive (PLI) scheme for automobiles and auto components has attracted investments of Rs. 45,477 crore (US$ 4.82 billion) and generated more than 67,000 employment opportunities as of June 30, 2026, according to Union Minister for Heavy Industries and Steel Mr. H.D. Kumaraswamy. The Minister highlighted that the next phase of India's automotive growth should focus on building scale, deepening localisation, accelerating innovation and strengthening India's position as a globally competitive hub for advanced and green mobility technologies. The government has also enhanced the outlay for its electric two-wheeler support scheme by Rs. 1,000 crore (US$ 105.96 million) to Rs. 11,900 crore (US$ 1.26 billion), with the programme expected to support 45.79 lakh electric two-wheelers. More than 25.66 lakh electric two-wheelers, 2.75 lakh electric three-wheelers and 53 electric trucks have already received support under various government initiatives. Additionally, Rs. 4,391 crore (US$ 465.25 million) has been allocated for deploying 14,028 electric buses, of which 13,800 buses have already been allocated.
The government has further earmarked Rs. 2,000 crore (US$ 211.91 million) for public charging infrastructure, with proposals worth Rs. 729 crore (US$ 77.24 million) covering 7,254 chargers already approved. A payment security mechanism with an outlay of Rs. 3,435 crore (US$ 363.96 million) is expected to support the deployment of more than 38,000 electric buses. The PLI scheme for Advanced Chemistry Cell (ACC) Battery Storage, with an outlay of Rs. 18,100 crore (US$ 1.92 billion) aims to establish 50 GW of domestic battery manufacturing capacity while strengthening India's capabilities in critical components such as sintered rare-earth permanent magnets. Meanwhile, India's auto component industry crossed Rs. 7.60 lakh crore (US$ 86.00 billion) in FY26, recording growth of 12.7%, while exports reached Rs. 2.27 lakh crore (US$ 25.69 billion). The continued expansion of government support, manufacturing capacity and domestic value addition is expected to strengthen India's automotive ecosystem and support its transition towards advanced, cleaner and globally competitive mobility technologies.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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