(MENAFN- KNN India) New Delhi, Nov 4 (KNN) Union Minister of Steel and Heavy Industries H.D. Kumaraswamy launched the Production Linked Incentive (PLI) Scheme for Specialty Steel, aiming to accelerate India's push toward high-value steel manufacturing and industrial self-reliance.

The latest round, referred to as PLI 1.2, seeks to attract new investments in advanced steel categories such as super alloys, cold-rolled grain-oriented (CRGO) steel, stainless steel long and flat products, titanium alloys and coated steels - key materials for sectors including defence, aerospace, energy, automotive and infrastructure.

Applications for the new round will be accepted online for 30 days from launch. Companies registered in India and engaged in end-to-end production of the notified steel categories are eligible to apply.

The scheme covers 22 product sub-categories across five target segments, with incentives ranging from 4 percent to 15 percent of incremental sales for up to five years starting FY 2025-26.

Incentive disbursal will begin in FY 2026-27, and the base year for pricing has been revised to 2024-25.

Calling the initiative a key pillar of India's industrial strategy, Kumaraswamy said the PLI scheme reflects the government's commitment to boosting global competitiveness and strengthening the domestic value chain.

He added that PLI 1.2 is expected to create opportunities for MSMEs and existing producers expanding capacity, while positioning India as a preferred global source for high-grade steel.

The PLI scheme, first approved in July 2021 under the Atmanirbhar Bharat initiative, has so far drawn investment commitments of Rs 43,874 crore, with an estimated 30,760 direct jobs and 14.3 million tonnes of additional specialty steel capacity expected to be created.

As of September 2025, participants under the first two rounds have invested Rs 22,973 crore and generated 13,284 jobs.

(KNN Bureau)

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