Ministry of Heavy Industries Manufacturing Schemes Progress Report
The Ministry of Heavy Industries administers multiple schemes to promote domestic manufacturing and technological upgradation across key industrial sectors. The Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry (PLI-Auto) was approved on September 23, 2021, with a budgetary outlay of ₹25,938 crore to enhance India's manufacturing capabilities for Advanced Automotive Technology products, including electric vehicles requiring minimum 50% Domestic Value Addition. As of March 31, 2026, the scheme has attracted investments of ₹44,326 crore and generated employment for 67,820 people. The scheme permits beneficiary firms to count Research and Development expenditures toward meeting investment criteria.
The Production Linked Incentive Scheme on National Programme on Advanced Chemistry Cell (ACC) Battery Storage was approved on May 12, 2021, with a budgetary outlay of ₹18,100 crore to establish a competitive domestic manufacturing ecosystem for 50 GWh of ACC batteries. The scheme has awarded 40 GWh ACC capacity to four beneficiary firms and established a Giga-Scale ACC manufacturing plant with 1.4 GWh installed capacity. As of May 31, 2026, the scheme attracted investments of ₹5,180 crore and created direct employment for 1,277 people, with R&D expenditures similarly permitted for investment criteria.
The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Scheme has been approved with an outlay of ₹10,900 crore effective from April 1, 2024, until March 31, 2028. The scheme supports domestic manufacturing of electric vehicles including e-2W, e-3W, e-Trucks, e-buses, and e-Ambulances, along with EV public charging stations and upgradation of testing agencies.
The Scheme on Enhancement of Competitiveness in the Indian Capital Goods Sector- Phase-II aims to encourage technology development and strengthen domestic manufacturing capabilities. Under this scheme, the Ministry has established 4 Smart Advanced Manufacturing and Rapid Transformation Hub (SAMARTH) Centres to promote Industry 4.0 and sanctioned 10 cluster Industry 4.0 Experience Centres nationwide through Centre for Industry 4.0 (C4i4), Pune at a project cost of ₹35 crore.
Additional digital manufacturing support includes approval of the 'Augmentation of Centre of Excellence by Indian Institute of Science (IISc), Bangalore' with total project cost of ₹44.6 crore and 'Development of Laser-based directed energy deposition additive manufacturing machine' by Central Manufacturing Technology Institute (CMTI) with project cost of ₹4.943 crore.
The Ministry has also notified the 'Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnet' with financial outlay of ₹7,280 crore, aiming to establish 6,000 Metric Tons per annum (MTPA) of sintered Rare Earth Permanent Magnet manufacturing capacity in India to enhance self-reliance and position India as a key player in the global REPM market.