Skoda’s Maruti Suzuki Swift, Hyundai i20 rival on cards for India: Decision on MQB A0 platform soon

Share This Post

German automaker Volkswagen Group is likely to deploy its Skoda brand to enter the mass-market segment with the hope to increase and maybe double the market share in India. Skoda is likely to take a call to invest in developing a low-cost version of VW’s small-car platform confirms Automotive News Europe quoting CEO Bernhard Maier. The new MQB A0 platform is aimed at cost-sensitive car markets like India.

Volkswagen Passenger cars, Skoda and Audi are currently present in India with two facilities in Pune and Aurangabad. If the management of the company approves the use of this platform, then we could see a new budget car in making and would go on sale in 2020-2021. Skoda and Volkswagen both could make their own versions of the car and sell them. Similar to what Renault and Nissan do.

Domination by the likes of Maruti Suzuki and Hyundai has not allowed European manufacturers like Volkswagen, Skoda and Renault to have a smooth outing in the Indian market. India recently overtook Germany to become the fourth-largest automobile market in the world. Skoda’s sales in India currently are at all-time high and the new products like Skoda Superb and Skoda Kodiaq have been fairly successful. Skoda’s plan to co-develop a low-cost platform for India with Indian automaker Tata Motors did not work out. Skoda said that the cost to upgrade Tata’s AMP platform to meet the upcoming stronger emissions and safety standards.

Instead, Skoda now plans to make its modular MQB A0 platform more cost-effective and base its future India models on the same. The popular Volkswagen Polo in India is based on the PQ25 platform. However, globally the new Volkswagen Polo underpins the MQB platform as it is too expensive to bring the Polo’s MQB platform to India in its current form.

Renault-Nissan’s CMF-A platform that underpins the Renault Kwid and Datsun Redi-Go have seen some success in the country. In fact Renault Kwid sales have crossed 1 lakh mark and helped the company to improve its market share as well.

However, we don’t expect Skoda or Volkswagen to build an Alto or a Kwid rival. The future small car built by Volkswagen Group for the Indian market would be more expensive than Renault Kwid. We expect Skoda to build a Maruti Suzuki Swift or a Hyundai i20 rival for the Indian market. After making the platform further cost effective by increasing localization, more products including a sub-4-meter SUV might be possible to counter Ford Ecosport and Maruti Suzuki Vitara Brezza.

Skoda’s Head of finance and IT, Klaus-Dieter Schuermann further said Automotive News Europe, “The Kwid is not really our competitor vehicle. We see ours as a bit more sophisticated, Renault has found their own way, but that wouldn’t be quite the standard we’re looking at. He further added that VW and Skoda would both develop their own small vehicle on the platform if the Volkswagen Group Board approves this plan.

The real key to success in India is sourcing parts and materials locally. “To launch a vehicle in this class, you have to have very high localization because import taxes are too high,” Schuermann said.

Reports further confirm that VW and Skoda are involved in intense conversations with suppliers to ensure low costs on the platform.


Related Posts

Aurangabad to host first inception meet of W20 India as a part of India’s G20 Presidency on Feb 13, 2023

W20 India will strive to take forward the Honourable Prime Minister’s vision of India's G-20 presidency to be inclusive, ambitious, decisive, and action-oriented. Four large world class events with international delegates will be held showcasing India’s rich culture and heritage. Classical dance, handloom and handicraft mela with nano entrepreneurs and local cuisine. The 1st inception meet will be in Aurangabad on 13-15 February 2023.

एमजीएम खगोल अंतराळ विज्ञान केंद्रातर्फ जेम्स वेब अंतराळ दुर्बीण खगोल महोत्सवाची सुरुवात

औरंगाबादेत जेम्स वेब स्पेस टेलीस्कोप मिररची देशातील एकमेव प्रतिकृती. आज...

औरंगाबादला पावसाने झोडपले; तासभर ढगफुटी सदृश्य पावसाचे तुफान

औरंगाबाद शहराला ढगफुटी पावसाने झोडपले, शहरातील सखल भागात मोठ्या...

औरंगाबाद विमानतळ: सलग तीन वर्षे देशातील गटातील सर्वाधिक तोटा असणाऱ्या विमानतळाच्या यादीत

औरंगाबाद विमानतळ: सलग तीन वर्षे देशातील गटातील सर्वाधिक तोटा...

स्मार्ट औरंगाबादसाठी मिळणार अतिरिक्त ₹1000 कोटी; १५व्या वित्त आयोगाच्या शिफारसीमध्ये भारतातील ८ शहरात मिळवले स्थान

केंद्र सरकारच्या महत्वाकांक्षी प्रकल्प असलेल्या स्मार्ट सिटी मिशनच्या पुढील...
- Advertisement -spot_img