Tata Motors has successfully claimed ₹527 crore under the Indian government's Production-Linked Incentive (PLI) scheme for the automobile and auto components sector in FY25, with a notable focus on localization and the electric vehicle (EV) ecosystem. The company's annual report revealed that ₹385 crore of the total claim was from FY25, with an additional ₹142 crore from FY24. These incentives were recognized post receiving official approvals and completing the required Techno Commercial Audit (TCA). The breakdown of the claim includes ₹352 crore for the passenger vehicle division and ₹175 crore for the commercial vehicle segment. The PLI scheme, introduced by the government, aims to boost domestic production of advanced automotive technology (AAT) products with a budget of ₹25,938 crore. Tata Motors earned incentives based on incremental sales over a base year, benefiting from rates ranging from 8% to 18%, particularly for electric and hydrogen vehicle components, which fall under the higher incentive bracket. The company's EV models like Tiago EV, Starbus EV, and Ace EV contributed significantly to the sales value, totaling ₹1,380 crore. Tata Motors attributed its qualification for the scheme to its EV localization efforts, currently at 75-80% at Tier-1 level. This localization strategy not only cuts costs and enhances supply chain efficiency but also aligns with India's EV objectives. Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility, highlighted that the EV business achieved a positive EBITDA due to strategies like localization and cost control. With over 64,000 electric passenger vehicles sold in FY25, Tata Motors has become a leading EV car manufacturer in India. The PLI scheme remains a pivotal element in Tata Motors' EV roadmap. The company plans to reinvest the incentive benefits into sustainable mobility solutions, showcasing its dedication to fostering the growth of EVs in India.