Tata Motors, four others rev up top PLI claims; may raise over Rs 2000 crore this fiscal – check details
NEW DELHI: Tata Motors, Bajaj Auto, Mahindra & Mahindra (M&M), Ola Electric, and TVS Motor are expected to raise over Rs 2,000 crore in claims under the Production Linked Incentive (PLI) scheme for the auto sector this fiscal, as per a government estimation.The claims are based on the companies meeting their investment and incremental sales targets for the financial year ended March 31, ET reported.Among the automakers, Bajaj Auto is expected to file the highest claim at Rs 630 crore, followed by Tata Motors with Rs 409 crore and Ola Electric at Rs 380 crore. TVS Motor and M&M are projected to seek Rs 330 crore and Rs 283 crore, respectively.Despite the sizeable expected disbursals, the total claims are likely to fall Rs 702 crore short of the FY26 Budget target.“Companies have more time to seek claims,” a senior official told ET, highlighting that beneficiaries can submit applications until September.Heavy industries minister HD Kumaraswamy conducted a review of the PLI scheme on Thursday. He instructed the ministry to provide comprehensive support to applicants regarding operational aspects, claims, and domestic value addition (DVA), as reported by officials.“The scheme has so far attracted significant domestic investments worth Rs 29,576 crore until March 2025,” Kumaraswamy said after the review. “Going forward, we are committed to regular industry workshops, faster claim disbursals, and robust support to stakeholders paving the road for a self-reliant and globally competitive auto sector,” he added.Officials said Rs 322 crore worth of claims were disbursed under the PLI scheme in FY24 to companies like Tata Motors, Mahindra & Mahindra, Ola Electric, and Toyota Kirloskar Auto Parts (TKAP), based on their performance targets. This comes even though over 80 companies had initially received approval under the scheme. The Centre had launched the PLI scheme for the auto sector in September 2021 with a Rs 25,938 crore budget allocation, aiming to address cost challenges faced by domestic manufacturers of Advanced Automotive Technology (AAT) products.
