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Auto sector will help achieve $5 trillion dollar economy target, says Minister

09:49 AM Sep 30, 2021 | PTI |

New Delhi: Union Minister for Heavy Industries Mahendra Nath Pandey on Wednesday said India would become a manufacturing hub and the automotive sector will play a major role in making the country a $5 trillion economy.

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The government is very much focused on the development of electric mobility and the project work undertaken by the Automotive Research Association of India (ARAI) to establish components and systems for electric vehicles (EVs) is a big step towards the future, a statement quoted Mr Pandey as saying. He was addressing an auto sector symposium.

“Several businesses including the automotive industry took a hit during the pandemic but now it is recovering. Research work, manufacturing, and acquisition for EV components like charging points, batteries, fuses, bio-gas resources, and other parts will be supported by the government. We believe that the progress in the sector will also give rise to employment generation among the youth and the government’s vision of ‘Atmanirbhar Bharat’ will be fulfilled,” Mr Pandey said.

The minister noted that the Union Cabinet has approved a ₹ 26,800-crore production linked incentive (PLI) scheme for the auto sector focused on promoting the manufacturing of EVs and hydrogen-fuel vehicles.

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