Skoda Auto Volkswagen India (SAVIPL), a subsidiary of the Volkswagen Group, is finalizing its next investment and expansion phase in India. The company is discussing new vehicle designs with various partners and considering new models, including electric vehicles, for the Indian market.
SAVIPL is working with Indian suppliers to localize the MQB A0 37 platform, which supports larger C-segment models. Currently, VW and Skoda’s ‘India 2.0’ cars and the upcoming ‘India 2.5’ SUV use the smaller MQB A0 27 platform. This platform limits the size of vehicles, making some models, like the Skoda Kushaq and VW Taigun, appear smaller.
The next generation of cars, potentially replacing the Taigun and Kushaq, might use the larger MQB A0 37 platform. This platform allows for more design flexibility and could support a seven-seat SUV. However, it requires significant investment to update its electrical and electronic architecture for modern connectivity, software, and ADAS (Advanced Driver Assistance Systems) requirements.
The MQB A0 37 platform is also compatible with hybrid powertrains, providing a cleaner alternative. Four new vehicles are being considered: the next-gen Slavia, Virtus, Kushaq, and Taigun, along with a 7-seater SUV.
Discussions are in the final stages, and the new vehicles are expected to launch between 2027 and 2030. The VW Group plans to invest at least a billion Euros, possibly with partners, and is interested in participating in India’s new EV policy, which requires a minimum investment of $500 million or 400 million Euros. The company is awaiting policy clarity to finalize its investment plans.
