In 2023, India Outperformed China in Two-Wheeler Sales Amidst Rising Rural Demand
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New Delhi, Dec 4 (NationPress) - Fueled by a significant rise in rural consumption, India has outshined China in two-wheeler sales during 2023, as local entry-level manufacturers broaden their reach to the country’s rural regions.
According to data from the Society of Indian Automobile Manufacturers (SIAM), a total of 16.6 million two-wheelers were sold in China in 2023, while India registered 17.10 million two-wheelers for the same year, as per the Vahan database, as stated by the government.
The production-linked incentive (PLI) scheme for the automobile and auto components sector was sanctioned by the government on September 15, 2021, with a financial allocation of Rs. 25,938 crore aimed at enhancing domestic manufacturing of advanced automotive technology (AAT) products and attracting investments in the automotive manufacturing value chain.
As of November 26, five original equipment manufacturers (OEMs) of two-wheelers have been approved under this scheme, as reported by Union Minister for Heavy Industries and Steel, H.D. Kumaraswamy, in a written response in the Lok Sabha.
AAT two-wheelers are also qualified for incentives under this scheme, which range from 13 percent to 18 percent based on the determined sales value.
The PLI scheme for the production of advanced chemistry cells (ACC) was initiated on May 12, 2021, with a budget of Rs 18,100 crore, aiming to establish a cumulative ACC battery manufacturing capacity of 50 GWh.
The Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI) was announced on March 15 this year to boost the production of electric passenger cars within India.
Under this scheme, approved applicants can import completely built units at a reduced customs duty of 15 percent for a period of 5 years, provided they establish electric passenger car manufacturing facilities in the country.
As of November 28, there are 82 approved applicants under the PLI-Auto scheme, possessing multiple manufacturing plants and engineering research and design units throughout India, as stated by Kumaraswamy.
