Incentives range from 4% to 15% of incremental sales
Minister of Steel and Heavy Industries H.D. Kumaraswamy has launched the third round of PLI scheme for Specialty Steel, following on the success of the first two rounds which have secured investments of Rs.22,973 crore as of Sept 2025 http://steel.gov.in.
The PLI scheme has so far attracted a commitment in investment of Rs.43,874 crores, direct employment of 30,760 people and estimated production of 14.3 million tonnes of ‘Specialty Steel’, the Ministry said on 4 Nov.
The PLI Scheme for Specialty Steel, approved by the Cabinet in July 2021, is a key initiative under the Atmanirbhar Bharat vision to make India a global hub for steel production. The third round (PLI 1.2) aims to attract new investments in emerging and advanced steel products, such as super alloys, stainless steel long and flat products, titanium alloys, and coated steels. This is expected to generate significant employment, expand high-end steel capacity, and position India as a preferred supplier in the global value chain for specialty steels https://www.bseindia.com/.
Kumaraswamy said the PLI scheme “stands as a shining pillar of the Atmanirbhar Bharat Abhiyan, a mission to make India self-reliant, globally competitive, and technologically advanced in every sphere of industrial production.”
“The response to the first two rounds has been highly encouraging. The success demonstrates the strength of India’s reform-oriented and industry-driven policy framework,” the Minister said.
He said the third round will also open up new avenues for MSMEs and existing producers who have expanded or upgraded their capacities following the earlier phases.
“PLI 1.2 is designed to accelerate India’s journey toward becoming a global hub for high-grade steel production,” said the Minister, adding that the new phase would make Indian steel manufacturers more competitive on the global stage.
“Through this initiative, we aim not just to produce steel for India, but to supply the world from India,” he underscored.
Key Highlights of the Third Round (PLI 1.2):
Application Window: Applications are invited through the online portal https://plimos.mecon.co.in for a period of 30 days from the date of launch.
Eligibility: Companies registered in India engaged in end-to-end manufacturing of the notified products are eligible to apply https://www.nseindia.com/.
Product Coverage: The third round of PLI Scheme covers 22 product sub-categories across five broad target segments including strategic steel grades, commercial grades (Categories 1 and 2), and coated/wire products.
Incentive Rates: Incentives will range from 4% to 15% of incremental sales, depending on the product sub-category and year of production.
Incentive Period: Benefits will be available for a maximum of five years starting from FY 2025–26, with incentive disbursal commencing in FY 2026–27.
Other changes: Base Year for prices have been revised from 2019-20 to 2024-25 to reflect current trends. Fiinews.com
