Production Linked Incentive (PLI) Scheme for Automobile and Auto Components Industry
Ministry of Heavy Industries · Central government
A Central Government scheme gives financial incentives to automobile and auto component manufacturers to boost domestic output of advanced automotive technology products.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- ₹5,00,00,00,000 – ₹64,85,00,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
- Scheme duration
- 5 years
About this scheme
The Production Linked Incentive (PLI) Scheme for the Automobile and Auto Components Industry is run by the Ministry of Heavy Industries, Government of India. It gives financial incentives to eligible automobile and auto component manufacturers that make advanced automotive technology products. The scheme is meant to address long-standing cost disabilities that Indian manufacturers have faced and to build economies of scale, so that India can compete as a global manufacturing hub.
The scheme also aims to draw substantial investment into the automotive sector, strengthen the manufacturing ecosystem and reinforce the entire automotive value chain. It supports job creation and the development of a self-reliant supply chain for advanced automotive technologies, including electric vehicles (EVs) and hydrogen fuel cell vehicles.
The PLI scheme has two main components. The Champion OEM Incentive Scheme covers original equipment manufacturers. The Component Champion Incentive Scheme covers manufacturers of auto components. Each component carries its own incentive rates and eligibility criteria, so that the scheme's impact reaches across the industry.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership
- Udyam registration
- Not specified
- MSME registration
- Not specified
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Revenue band
- From ₹5,00,00,00,000
- Where the business may be based
- Not restricted
- The applicant must be a company incorporated in India. - The applicant must satisfy every eligibility condition, assessed against audited financial statements as on 31 March 2021. - Existing Automotive Companies (OEMs): global revenue of at least ₹10,000 crore. - Existing Automotive Companies (Component manufacturers): global revenue of at least ₹500 crore. - Existing Automotive Companies (OEMs): global investment in fixed assets of at least ₹3,000 crore. - Existing Automotive Companies (Component manufacturers): global investment in fixed assets of at least ₹150 crore. - New Non-Automotive Investor Companies: global net worth of at least ₹1,000 crore. - New Non-Automotive Investor Companies: must furnish a clear business plan for investment in India and earn revenue from advanced automotive products, and must have no prior revenue from automobile or component manufacturing as on 31 March 2021. - All applicants: must meet cumulative domestic investment targets with effect from 1 April 2021, along with yearly investment milestones. - Champion OEM Component Specific Eligibility: manufacture of advanced automotive technology vehicles; minimum 50% domestic value addition; product pre-approval; minimum sales of ₹125 crore in the first year; 10% year-on-year growth in sales. - Component Champion Specific Eligibility: manufacture of advanced automotive components; minimum 50% domestic value addition; product pre-approval; minimum sales of ₹25 crore in the first year; 10% year-on-year growth in sales.
How to apply
- Online applications are accepted via the official portal at https://pliauto.in/login. Use your CIN as the user ID when logging in. - For offline submission, the prescribed application form must be sent to the nodal agency, with every detail filled in accurately and completely. - Applications must reach the nodal agency before the deadline it notifies. - Supporting documents — audited financial statements, business plans and investment proofs — have to be uploaded on https://pliauto.in/. - Once the nodal agency has carried out an initial scrutiny and evaluation covering eligibility and completeness, it will issue an acknowledgment. - Approval is given only where all scheme conditions and criteria set out in the guidelines are fully met. - Beneficiaries whose applications are approved must file annual incentive claims for disbursement, calculated on their determined sales value and subject to meeting the investment milestones.
How applications are assessed
The nodal agency carries out a detailed check of every application to confirm eligibility and completeness. Once the submitted documents and particulars have been scrutinised, the applicant receives an acknowledgment. Approval to take part in the scheme is given only where all the stipulated conditions and criteria are met without exception.
The assessment weighs the applicant's financial position, investment plans and product strategy, along with the capacity to achieve the prescribed domestic value addition and sales growth targets.
Frequently asked questions
What is the Production Linked Incentive (PLI) Scheme for Automobile and Auto Components Industry?
The Ministry of Heavy Industries operates this scheme to encourage domestic manufacture of advanced automotive technology products, offering automobile and auto component manufacturers financial incentives tied to incremental sales and investments, with the aim of establishing India as a global manufacturing hub for such technologies.
What are the two main components of the scheme?
The scheme has two parts: the Champion OEM Incentive Scheme for Original Equipment Manufacturers, and the Component Champion Incentive Scheme for makers of advanced auto components.
What is the maximum incentive available per company?
Under this scheme, a group of companies as a whole can receive incentives of up to ₹6,485 crore, a ceiling that keeps the distribution equitable while still offering substantial support.
What are the key eligibility criteria for applicants?
Eligibility is limited to companies registered in India that meet defined global revenue and fixed asset investment thresholds, which differ for OEMs and component manufacturers, while new non-automotive investors face separate net worth requirements. All applicants must commit to cumulative domestic investment targets with yearly milestones, and Champion OEM and Component Champion applicants must additionally satisfy criteria on domestic value addition, product pre-approval and sales growth.
How long will the incentives be provided?
The scheme's incentives apply over five consecutive financial years, beginning in FY 2023-24 and running through FY 2027-28.
What is the application process?
Applications may be filed online at pliauto.in, using the company's CIN as the user ID, or offline by submitting the prescribed form to the nodal agency. Each application is assessed for eligibility and completeness, acknowledged, and finally approved subject to compliance with scheme conditions, after which approved applicants file annual incentive claims for disbursement based on performance.
Sectors
- Climate Energy Ev
- Manufacturing Industrial
- Pli
- Automobile
- Auto Components
- Manufacturing
- Advanced Automotive Technology
- Ev
- Hydrogen Fuel Cell
Details last verified on 18 September 2026. Source: the issuer's published information.