Question : Domestic Automotive Industry

(a) whether the Covid pandemic, lockdown and various restrictions along with a multitude of headwinds, played spoilsport for the domestic automotive industry;

(b) if so, the details thereof;

(c) whether any stimulus package announced for the automotive industry to recover from the worst position to come back to new normal;

(d) whether any concessions and incentives are proposed to be offered to the industry in view of the slackening demand sentiment in the two-wheeler category; and

(e) if so, the details thereof?

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY
(SHRI SOM PARKASH)

(a) & (b): Sir, the Automobile Industry has been affected in the last two years due to Covid-19 pandemic. The production and sales of Automobiles has also been impacted due to the lock-down and other restrictions imposed to contain spread of Covid-19.

The sales of Automobiles has recovered at a fast rate post the second wave of the pandemic and as per SIAM, the sales figures for April, 2021 to November, 2021 have shown an increase of 26%, 65%, and 36% over the corresponding period of the previous year, in respect of Passenger vehicles, Commercial Vehicles and Three-wheelers, respectively.

(c) to (e): Government of India has notified a Production Linked Incentive (PLI) Scheme for the Automobile and Auto component sector and a PLI Scheme for Advanced Chemistry Cell (ACC) Battery Storage manufacturing. FAME-II Scheme(Faster Adoption and Manufacturing of Electric Vehicles in India Phase II), which commenced on 1st April, 2019 for three years, was also further extended for two years upto 31st March 2024 covering electric buses, electric and hybrid four wheeler, electric three wheeler and electric two wheelers.

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