PLI scheme can lead to new investments in automobile industry: Industry Experts
The union government’s decision to promote India as a manufacturing hub for automobiles and related components, through a production linked incentive scheme with an outlay of ₹57000 crore, is going to bring in more investments in the automobile sector from domestic and foreign manufacturers, as per industry experts.
The scheme has been devised to generate more jobs and business opportunities in the sunshine sectors. This will further strengthen as well as enhance efficiency in the manufacturing sector of the country. PLI scheme has been launched around a time when OEMs across the world are gearing up to move a part of their supply chain network out of China to avoid any future disruption in manufacturing operations and reduce their dependence on one country for sourcing bulk of the components.
The new incentives to be offered by the union government under this scheme will be in addition to the current incentives offered to the automakers and component manufacturers.