Led by Skoda, German VW to invest €1 billion in India by 2021
New Delhi: Skoda auto, subsidiary of German Volkswagon group, has announced investment of 1 billion euro (around Rs 7,900 crore) under its project "Skoda India 2.0". It plans to launch 10 electric vehicles by 2025 under this project.
The project is promising to open almost 4,000 to 5,000 direct and indirect job opportunities. The project will aim to make India as Skoda and Volkswagon's car manufacturing hub under" Make in India Initiative"
Skoda Auto CEO Bernhard Maier said, "Experts predict that in the next few years India is going to become the third-largest automotive market worldwide. With our 'INDIA 2.0' project we are now creating the right conditions for sustainable growth there. Our objective is ambitious but achievable: together with the Volkswagen brand, we are seeking a market share of up to five per cent in the long term, depending on market and segment development."
To ensure that the planned models will fulfill the requirements of Indian customers, Skoda Auto will develop these products at the world-class engineering center. All models will be designed and produced locally in India, New products will be BSVI ready and will be based on Volkswagen Group's Modularer Querbaukasten platform, which already fulfills the stricter legal requirements for India and will be operational by 2020.
Gurpratap Boparai, Managing Director of SKODA AUTO India Private Ltd, added, "With the 'INDIA 2.0' project, SKODA AUTO India and Volkswagen Group India are in an excellent position to optimally confront the dynamics of the Indian car market. In India, we will offer world-class products at prices that amount to a paradigm shift in the automotive industry."
Skoda Auto India Private Ltd currently offers four models on the Indian subcontinent: the OCTAVIA, SUPERB, RAPID and most recently the KODIAQ, which was launched in October 2017. The RAPID is manufactured at the Pune plant, while the OCTAVIA, SUPERB and KODIAQ models are produced in Aurangabad where the company headquarters are located. SKODA vehicles are sold in India through 70 dealerships and 70 service centers are available to customers.