TechDogs-"India Automotive Manufacturing Policy Impact Analysis Report 2023-2026"

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India Automotive Manufacturing Policy Impact Analysis Report 2023-2026

By PR Newswire

PR Newswire
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DUBLIN, Aug. 16, 2023 /PRNewswire/ -- The "India's Automotive Manufacturing Policy - Economic Impact and Growth Opportunities" report has been added to's offering.

This research service focuses on the economic impact of India's automotive manufacturing policy, particularly the automobiles and auto components production-linked incentive (PLI) scheme.

Following the outbreak of the COVID-19 pandemic and the subsequent shocks to global supply chains, India launched 14 PLI schemes across various industries as a crucial policy initiative to drive manufacturing sector development and attract new manufacturing investments.

The automobile PLI scheme extends sales value-linked financial incentives to battery electric vehicles, hydrogen fuel cell automobiles, and auto components. This study undertakes an economic impact assessment to examine the effect of the automotive PLI scheme on the Indian market in terms of output, employment, wages, and spending. The framework of this economic impact relies on the Leontief input/output (I/O) model.

The automotive PLI scheme will generate output and jobs in the automotive industry with a multiplier effect across the Indian economy. For example, increased car production will drive higher demand for metals, batteries, and other raw materials and components, creating additional output and employment in allied industries.

Hence, the final economic result considers direct, indirect, and induced impacts. This study also highlights the growth opportunities in India's manufacturing and automotive industry arising from a combination of supportive government policies, supply chain diversification trends, and the sustainability push.

Key Issues Addressed

  • What is the strategic imperative behind the fortification of India's manufacturing sector?
  • What ripple effects will the automotive PLI scheme generate across allied industries and the larger economy?
  • What will be the 2026 direct output, gross value-add, and employment impact of the PLI scheme?
  • How do the indirect and induced impacts of the automotive PLI scheme compare to the direct impact?
  • What is the per second and year output of the automotive PLI scheme?
  • What growth opportunities does India present as it seeks to build local automotive and supply chain manufacturing capabilities and drive sustainability?

Growth Opportunities

  • Manufacturing and Infrastructure Boost from PLI and Global Supply Chain Reorientation
  • Battery Electric and Hydrogen Fuel Cell Vehicles Supply Chain
  • Lithium-ion Battery and Supply Chain Growth

Key Topics Covered:

1. Strategic Imperatives

  • Why is it Increasingly Difficult to Grow?
  • The Strategic Imperative 
  • The Impact of the Top 3 Strategic Imperatives on the Indian Economy
  • Growth Opportunities Fuel the Growth Pipeline Engine

2. India's Manufacturing and Automotive Industry

  • India's Manufacturing and Automotive Industry - Overview
  • I/O Table and Leontief Multiplier - Introduction
  • Economic Impact Assessment - Overview of Impact Forms
  • Economic Impact Assessment - Types of Impact Analysis
  • Key Findings on the Impact of the Automotive PLI Scheme
  • Manufacturing Growth Drivers
  • Manufacturing Growth Restraints

3. Policy Thrust in India's Manufacturing and Automotive Industry

  • Vision and Policy Support for Manufacturing
  • PLI Schemes - Deep Dive of Automotive PLI Scheme

4. Methodology and Framework for Economic Impact Assessment

  • Direct Impact Analysis
  • Indirect Output and GVA Impact Analysis
  • Indirect Employment Impact Analysis
  • Induced Impact Analysis

5. Results of Economic Impact Assessment

  • B&MV's Contribution to the Indian Economy
  • Impact Findings of the PLI Scheme on Batteries and Vehicles
  • Total Economic Output Impact
  • Sectoral Share in Output and GVA
  • Total Employment Impact
  • Impact on Labor Compensation

For more information about this report visit

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SOURCE Research and Markets

First published on Thu, Aug 17, 2023

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