- Leading automotive groups Skoda and Volkswagen are more concerned on Indian market
- Both the groups have decided to invest 2,000 crore in tech centre
- Core purpose of the investment is to develop india specific products
Skoda and Volkswagen Group will invest 250 million euros (Rs 2,000 crore) in research and development projects in India. This is part of the close to 1 billion euros the company will be investing in India as it sets out to achieve a 5% market share of the Indian passenger car market for the combined Skoda and Volkswagen brands. The group took its first step in the India 2.0 project with the opening of Skoda’s technology centre in Pune. This is their second such centre with the first located at the Skoda HQ in the Czech Republic. The first car from this platform will be a SUV that will be showcased at the Delhi Expo 2020 and launched some time in the middle of 2020 in the Indian market.
A team of 250 engineers will develop vehicles tailored for India from this technology centre. “The technology centre will drive the localisation of 95% cars developed for the Indian region. The first model will be a mid-size SUV,” Christian Strube, member of the board for technical development, Skoda Auto, said. Skoda will be the brand that will lead development of the MQB A0 platform and as the model offensive of the Volkswagen group in India. Strube said there were a lot of lessons to be learnt in the Indian market and these learning will be implemented as they try to win market share in the highly competitive Indian automotive market.
Gurpratap Boparai, head, Volkswagen Group India, said there will be more India-specific cars from Skoda and Volkswagen and preparation of the new volume model was in full swing.
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