Volkswagen Emphasizes Local Production with New Compact SUV
MUMBAI: Volkswagen plans to launch a locally manufactured sub-four-metre compact SUV in India by 2027, as part of its “vocal for local” strategy. Thomas Schafer, CEO of Volkswagen Passenger Cars, announced that the new model will be built on the MQB-A0-IN platform, which has been localized at the company’s Pune operations. This vehicle is expected to be Volkswagen’s most accessible offering in India, aimed at strengthening its presence in the compact SUV segment, a key area of the Indian passenger vehicle market.
Schafer emphasized the growing importance of India for Volkswagen amid shifting global trade dynamics. He noted that the automotive industry is becoming more regionalized, with cars increasingly being produced for specific markets. “Now we see cars made in China for China, and a lot happening here in India,” he said. This shift presents opportunities for Volkswagen to enhance its research, development, and IT capabilities in India.
Regarding potential local partnerships, Schafer mentioned that discussions are ongoing but no announcements will be made yet. He highlighted India’s automotive ecosystem as a space ripe for growth, particularly as trade agreements evolve. Currently, India serves as an export base for Volkswagen, with vehicles shipped to over 40 countries, including Mexico. Schafer stated, “India is a market of enormous scale and ambition, and this new compact SUV marks an important step in Volkswagen’s journey here.”
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