Relax PLI, PM e-drive schemes, say auto cos
New Delhi: With supply chains crippled due to curbs on shipments of
rare earth magnets
by China, the auto industry sought relaxation from govt in meeting domestic value addition (DVA) norms towards
production-linked incentive
(PLI) scheme and phased manufacturing programme (PMP) in PM e-drive programme.
Sources said the companies, which include top manufacturers like Maruti Suzuki, Tata Motors, Hyundai, Mahindra & Mahindra, Bajaj Auto, Hero Moto and TVS also petitioned govt for approval to import complete assemblies of components from China in short-term to ensure that production schedules are not disturbed.
'DVA requirement in PLI and PMP in PM e-Drive schemes may have to be relaxed to allow for imports of completed assemblies,' the industry, which is currently not getting supplies from China and is banking on existing inventory, said in a representation to govt, sources told TOI.
'In the eventuality of the challenge not being resolved, the industry will be constrained to import complete assemblies of components from China in the short term,' the companies said.
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