Union Budget 2024 Highlights for Electric Vehicles and Automotive Industry

Tuesday, 23 July 2024, 08:25
In the Union Budget for FY25, the government has significantly increased the *Production Linked Incentive (PLI)* scheme for the *automotive industry*, allocating ₹3,500 crores, compared to just ₹604 crores in FY24. However, the budget has also seen a reduction in the allocation for the *FAME* (Faster Adoption and Manufacturing of Electric Vehicles) scheme. This shift emphasizes the government's commitment to boosting electric vehicle production while recalibrating its focus on direct incentives. The overall strategy reflects a concerted effort to foster growth in India's automotive sector.
Businesstoday
Union Budget 2024 Highlights for Electric Vehicles and Automotive Industry

Union Budget 2024 Overview

The Union Budget for 2024 presents significant changes aimed at enhancing the automotive industry, particularly for electric vehicles.

Key Allocations

  • Production Linked Incentive (PLI) increased from ₹604 crore in FY24 to ₹3,500 crore in FY25.
  • Allocation for the FAME scheme has been reduced.

Conclusion

This budget reflects a strong commitment to promote electric vehicles while modifying incentives to ensure sustainable growth in the automotive sector.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.

Related posts

Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe