Lok Sabha Question No. 2353 (UNSTARRED), answered on 2024-08-06
Subject: Localisation of Technology in Automotive Industries
Ministry: HEAVY INDUSTRIES
Asked by: Dr. Sanjay Jaiswal, Shri Shashank Mani, Smt. Smita Uday Wagh, Shri Parshottambhai Rupala, Shri Chandra Prakash Joshi

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 2353

ANSWERED ON 06.08.2024

## LOCALISATION OF TECHNOLOGY IN AUTOMOTIVE INDUSTRIES

## 2353.  SMT. SMITA UDAY WAGH: SHRI PARSHOTTAMBHAI RUPALA: SHRI CHANDRA PRAKASH JOSHI: SHRI SHASHANK MANI: DR. SANJAY JAISWAL:

Will the Minister of HEAVY INDUSTRIES भारी उद्योग मंत्री be pleased to state:

- (a)  whether  the  Government  has  taken  any  steps  to  promote  advanced  localisation  of  the technology in the automotive and other industries;
- (b) if so, the details thereof including Uttar Pradesh;
- (c) whether the Government proposes to take any other initiatives with respect to technological advancements through the PLI schemes in the automotive sector; and
- (d) if so, the details thereof?

## ANSWER THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI BHUPATHIRAJU SRINIVASA VARMA)

- (a) to (d): Yes, this Ministry is promoting advanced localization of technology in automotive industries through the following schemes:
- (i) Production  Linked  Incentive  (PLI)  Scheme  for  the  Automobile  and  Auto  Component Industry  (PLI-Auto  Scheme)  was  launched  on  15 th September,  2021,  for  enhancing  India's manufacturing  capabilities  for  Advanced  Automotive  Technology  (AAT)  products  with  a budgetary outlay of Rs. 25,938 crores for a period of 5 years. The scheme proposes financial incentives for those products which have a minimum domestic value addition of 50%.  There are seven (7)  approved  applicants  with  thirteen  (13)  manufacturing  locations  in  the  state  of  Uttar Pradesh.  The details of manufacturing locations are at ANNEXURE-I.
- (ii) Production  Linked  Incentive  (PLI)  scheme  for National  Programme  on  Advanced Chemistry Cell (ACC) Battery storage (PLI ACC Scheme) was launched on 12 th May 2021, with an outlay of Rs. 18,100 crores in 7 years.  The beneficiary firms are required to achieve a domestic value addition of at least 25% in the first year of production and raise it to 60% within 5 years. The three beneficiary firms under this scheme are setting up their plants in the states of Tamil Nadu, Karnataka and Gujarat.
- (iii) Electric  Mobility  Promotion  Scheme  (EMPS) 2024  with  an  outlay  of  Rs  778  crore  to promote  manufacturing  and  adoption  of  Electric  2-wheelers  (e2Ws)  and  Electric  3-wheelers (e3Ws) with a mandatory requirement of localisation through a Phased Manufacturing Programme (PMP).  This Scheme is applicable over the entire country.

- (iv) Scheme for Promotion of Manufacturing of Electric Passenger Cars in India (SPMEPCI) was notified on 15 th March, 2024 to promote the manufacturing of electric cars in India.  This requires applicants to achieve domestic value addition of 25% at the end of the third year and 50% at the end of the fifth year.
- (v) Further details of above mentioned four schemes are given in ANNEXURE-II.

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REFERRED IN LOK SABHA UNSTARRED QUESTION NUMBER 2353 PART (a) to (d) FOR 06.08.2024 ASKED BY SMT. SMITA UDAY WAGH, SHRI PARSHOTTAMBHAI RUPALA,  SHRI  CHANDRA  PRAKASH  JOSHI,  SHRI  SHASHANK  MANI AND  DR. SANJAY JAISWAL REGARDING 'LOCALISATION OF TECHNOLOGY IN AUTOMOTIVE INDUSTRIES'

ANNEXURE-I

|   # | Name of the Applicant Company         | Name of Manufacturing Location          | City/ District      |
|-----|---------------------------------------|-----------------------------------------|---------------------|
|   1 | TATAMOTORS LIMITED                    | TATAMOTORS LIMITED                      | LUCKNOW             |
|   2 | MINDACORPORATION LIMITED              | MINDACORPORATION LIMITED                | GAUTAM BUDDHA NAGAR |
|   3 | MINDACORPORATION LIMITED              | MINDACORPORATION LIMITED                | GAUTAM BUDDHA NAGAR |
|   4 | MINDACORPORATION LIMITED              | MINDACORPORATION LIMITED                | GAUTAM BUDDHA NAGAR |
|   5 | WABCO INDIA LIMITED                   | WABCO INDIA LIMITED                     | BARABANKI           |
|   6 | HERO CYCLES LIMITED                   | HERO CYCLES LIMITED                     | GHAZIABAD           |
|   7 | HERO CYCLES LIMITED                   | HERO MOTORS LIMITED                     | GAUTAM BUDDHA NAGAR |
|   8 | MOTHERSON SUMI SYSTEMS LIMITED        | MOTHERSON SUMI SYSTEMS LIMITED          | GAUTAM BUDDHA NAGAR |
|   9 | MOTHERSON SUMI SYSTEMS LIMITED        | MOTHERSON INVENZEN XLAB PRIVATE LIMITED | GAUTAM BUDDHA NAGAR |
|  10 | MOTHERSON SUMI SYSTEMS LIMITED        | MOTHERSON INVENZEN XLAB PRIVATE LIMITED | GAUTAM BUDDHA NAGAR |
|  11 | MOTHERSON SUMI SYSTEMS LIMITED        | MOTHERSON INVENZEN XLAB PRIVATE LIMITED | GAUTAM BUDDHA NAGAR |
|  12 | MOTHERSON SUMIWIRING INDIA LIMITED    | MOTHERSON SUMI WIRING INDIA LIMITED     | GAUTAM BUDDHA NAGAR |
|  13 | LINCHPIN TECHNOLOGIES PRIVATE LIMITED | LINCHPIN TECHNOLOGIES PRIVATE LIMITED   | GAUTAM BUDDHA NAGAR |

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REFERRED IN LOK SABHA UNSTARRED QUESTION NUMBER 2353 PART (a) to (d) FOR 06.08.2024 ASKED BY SMT. SMITA UDAY WAGH, SHRI PARSHOTTAMBHAI RUPALA,  SHRI  CHANDRA  PRAKASH  JOSHI,  SHRI  SHASHANK  MANI AND  DR. SANJAY JAISWAL REGARDING 'LOCALISATION OF TECHNOLOGY IN AUTOMOTIVE INDUSTRIES'

## ANNEXURE-II

The details of the four schemes are given as below:

- (i) PLI-Auto scheme: https://heavyindustries.gov.in/pli-scheme-automobile-and-autocomponent-industry.
- (ii) PLI  ACC  scheme:  https://heavyindustries.gov.in/pli-scheme-national-programmeadvanced-chemistry-cell-acc-battery-storage.
- (iii) EMPS scheme: https://emps.heavyindustries.gov.in/.
- (iv) SPMEPCI  scheme:  https://heavyindustries.gov.in/scheme-promote-manufacturingelectric-passenger-cars-india-0.

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