**Policy Summary: Promotion of Electric Vehicle Manufacturing in India**
This document summarizes the Indian government's initiatives to promote electric vehicle (EV) manufacturing, as of August 8, 2025. The primary initiative, Faster Adoption and Manufacturing of Electric Vehicles in India Phase II (FAME II), was implemented from April 1, 2019, to March 31, 2024. FAME II provided demand incentives for electric two-wheelers (e2W), three-wheelers (e3W), and four-wheelers (e4W), along with grants for deploying electric buses (eBuses) and establishing EV public charging stations (EV PCS).
As of June 30, 2025, FAME II supported the following number of vehicles: 1,435,065 two-wheelers, 1,65,029 three-wheelers, and 22,644 four-wheelers. It also facilitated the deployment of 5,165 buses, with commitments for 6,862 buses. By July 1, 2025, 8,885 EV PCS had been installed under FAME II.
The FAME II scheme incorporated a Phased Manufacturing Programme (PMP) to encourage domestic manufacturing of EVs, their assemblies/sub-assemblies, and parts/sub-parts. Only EVs compliant with the PMP were eligible for incentives.
To further attract private investment in battery manufacturing and EV supply chains, the government introduced the following Production Linked Incentive (PLI) schemes:
* **PLI for Automobile and Auto Component Industry (PLI-Auto):** Notified on September 23, 2021, with a budgetary outlay of Rs. 25,938 crores. This scheme aims to enhance India's manufacturing capabilities for Advanced Automotive Technology (AAT) products, including EVs and their components.
* **PLI for Advanced Chemistry Cell (ACC) Battery Storage:** Approved in May 2021, with an outlay of Rs. 18,100 crores for 50 GWh ACC capacity.
This information was provided by the Minister of State for Heavy Industries and Steel, Shri Bhupathiraju Srinivasa Varma.
Key Entities Referenced
Ministry of Heavy Industries: The Indian government ministry responsible for the Promotion of Electric Vehicle Manufacturing.
FAMEII Scheme: Faster Adoption and Manufacturing of Electric Vehicles in India Phase II, a scheme to promote electric vehicle adoption.
Electric Vehicle: Road vehicles powered by electric motor and onboard rechargeable batteries or energy storage.
Phased Manufacturing Programme PMP: An initiative under FAMEII to promote domestic manufacturing of electric vehicles and their components.
Production Linked Incentive PLI scheme: Government scheme to attract private investment in battery manufacturing and EV supply chains.
Production Linked Incentive PLI Scheme for Automobile and Auto Component Industry in India PLIAuto: A PLI scheme to enhance India's manufacturing capabilities for Advanced Automotive Technology (AAT) products including EVs and components.
National Programme on Advanced Chemistry Cell ACC Battery Storage: A PLI scheme for Advanced Chemistry Cell (ACC) Battery Storage.
Shri Bhupathiraju Srinivasa Varma: Minister of State for Heavy Industries and Steel.
Ministry of Heavy Industries
PROMOTION OF ELECTRIC VEHICLE
MANUFACTURING
Posted On: 08 AUG 2025 4:11PM by PIB Delhi
st st
The FAME-II Scheme was implemented for a period of five years w.e.f. 01 April, 2019 to 31 March, 2024.
FAME-II provided demand incentive for e-2W, e-3W, e-4W and grant for deployment of e-buses and setting
up of EV public charging stations (EV PCS).
The physical progress for EVs subsidized/ supported under FAME-II is given below-
Electric Vehicle Category No. of Vehicles supported as on 30.06.2025
2 Wheeler 14,35,065
3 Wheeler 1,65,029
4 Wheeler 22,644
Deployed 5,165
Buses
(Committed - 6,862)
8,885 EV PCS have been installed under FAME-II, as on 01.07.2025.
Under FAME-II, Phased Manufacturing Programme (PMP) was introduced with the objective to promote
domestic manufacturing of electric vehicles, its assemblies/subassemblies and parts/sub-parts.Only those EVs
which were complying with PMP were incentivised under FAME-II.
The following steps have been taken to attract private investment in battery manufacturing and EV supply
chains under the Production Linked Incentive (PLI) scheme:-
Production Linked Incentive (PLI) Scheme for Automobile and Auto Component Industry in India
(PLI-Auto):PLI-Auto scheme was notified on 23.09.2021, for enhancing India's manufacturing capabilities
for Advanced Automotive Technology (AAT) products (including EVs and its components) with a budgetary
outlay of Rs. 25,938 crores.
PLI Scheme for National Programme on Advanced Chemistry Cell (ACC) Battery Storage: The
Government of India has approved the PLI-ACC scheme “National Programme on Advanced Chemistry Cell
(ACC) Battery Storage” in May 2021, with an outlay of Rs. 18,100 Crore for 50 GWh ACC capacity.
This information was given by the Minister of State for Heavy Industries and Steel, Shri Bhupathiraju
Srinivasa Varma in a written reply in the Rajya Sabha today.
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TPJ/NJ
(Release ID: 2154129)