The Production Linked Incentive (PLI) Scheme for Automobile and Auto Components has attracted cumulative investment of over Rs 44,326 crore and generated close to 68,000 jobs, Union Minister for Heavy Industries and Steel H D Kumaraswamy said.
Speaking at the 8th FADA Auto Retail Conclave 2026, Kumaraswamy said the Rs 25,938-crore scheme has 82 approved applicants, with incentives extended to more than 30.6 lakh vehicles.
50% Domestic Value Addition Mandatory for PLI Incentives
He said incentives are available only for products achieving a minimum of 50% domestic value addition, as the government looks to deepen automotive manufacturing in India.
“This is not import substitution on paper. It is value being created in India,” Kumaraswamy said.
Manufacturing Central to India's Viksit Bharat 2047 Push
The minister said manufacturing will have to remain at the core of India’s economic growth as the country moves towards its Viksit Bharat 2047 goal. However, he stressed that manufacturing growth must also translate into economic benefits at the household level.
India's Auto Retail Network Spans 15,000 Dealerships, 30,000+ Outlets
Kumaraswamy also highlighted the reach of India’s automotive retail ecosystem, comprising around 15,000 dealerships and more than 30,000 outlets across the country. He said the network helps create employment in districts and brings jobs closer to people’s families, contributing to inclusive growth.
PM E-DRIVE Scheme Backs Government's EV Push
He also referred to the government’s electric mobility push through the Rs 10,900-crore PM E-DRIVE scheme.
“Bharat is indeed in the driver’s seat. Let us keep the growth broad-based, keep the transition human, and keep the Indian customer at the centre of every decision,” Kumaraswamy said.