By Twesh Mishra
Copyright indiatimes
AgenciesReadying fiscal incentives for domestic rare-earth magnet production: Kumaraswamy
India is readying fiscal incentives to encourage domestic production of rare-earth magnets, Union Heavy Industries Minister H D Kumaraswamy said Friday. In a video address at the 65th annual session of Automotive Component Manufacturers Association (ACMA), Kumaraswamy said his Ministry is actively addressing vulnerabilities in critical raw materials.“Rare-earth magnets are central to electric vehicle (EV) motors and currently dominated by Chinese supply, we are preparing fiscal incentives to encourage domestic production,” he said while adding a scheme aimed at powering India’s participation in global value chains, through targeted support for both capital expenditure and operational expenditure requirements of the industry, is being readied.Kumaraswamy said these will help bridge cost gaps, offer tariff relief on key equipment, and ensure continuity of supply in the face of rising global restrictions.Asking the domestic players to also participate in efforts, the minister urged the industry to “significantly increase its investment in Research and Development, particularly in auto electronics, advanced driver assistance systems, and new materials.”Commenting on existing policies for the sector, Kumaraswamy said the Production Linked Incentive Scheme for Automobiles and Auto Components has attracted over Rs 29,500 crore in investments and created close to 45,000 new jobs.Live EventsThe PM E Drive notified in 2024, is supporting electric two- and three-wheeler adoption. Highlighting recent developments, he said the PM E-Drive scheme, originally launched in September 2024 with a ₹10,900 crore outlay through March 2026, has now been extended to March 31, 2028 – focusing exclusively on electric buses, e-ambulances, and e-trucks, EV public charging station, and upgrade of testing agencies.Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our Economic Times WhatsApp channel)
Read More News ondomestic productionfiscal incentiveselectric vehicle motorsH D KumaraswamyAutomotive Component Manufacturers AssociationProduction Linked Incentive Scheme
(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
(You can now subscribe to our Economic Times WhatsApp channel)Read More News ondomestic productionfiscal incentiveselectric vehicle motorsH D KumaraswamyAutomotive Component Manufacturers AssociationProduction Linked Incentive Scheme(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
