India PLI program expands, faces automation gap

India’s Production Linked Incentive (PLI) framework continued to report strong cumulative results through July 2026. By 21 July the schemes had attracted over Rs 2.40 lakh crore in investment, generated about 14.15 lakh jobs and supported exports exceeding Rs 15.2 lakh crore. The largest single‑sector investment was in high‑efficiency solar PV modules, followed by pharmaceuticals, automobiles, specialty steel and large‑scale electronics. Within the automotive PLI, 225 units were approved, with Maharashtra hosting the most factories.

On 24 July officials announced additional incentives for medical‑device projects (Rs 266.64 crore) and the Medical Device Parks Scheme (Rs 209.80 crore), bringing total PLI disbursements to Rs 35,354 crore as of 31 March 2026. The medical‑device segment highlighted production of MRI, CT and other diagnostic equipment and the construction of three device parks in Noida, Ujjain and Kanchipuram.

A 28 July update noted that the automotive and auto‑component PLI had attracted cumulative investments of ₹44,326 crore—surpassing its ₹42,500 crore target—and created 67,820 jobs. The scheme also supported 463 public EV‑charging stations in West Bengal under FAME‑II, while the textile Production Linked Promotion Scheme approved 24 firms in Maharashtra, committing ₹167.51 crore.

On 4 August the Ministry of Heavy Industries reported that 18 applicants had received Domestic Value‑Addition certificates covering 155 advanced automotive‑technology products, underscoring the scheme’s focus on high‑value manufacturing. However, India’s factory robot density remains low at six industrial robots per 10,000 workers, far below South Korea (1,220) and China (166), highlighting a gap between the PLI’s manufacturing ambitions and on‑ground automation adoption.