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Volkswagen Group investing €1B in India in project led by ŠKODA; new MQB A0 SUV first model

The Volkswagen Group is investing €1 billion (US$1.2 billion) in its “India 2.0” project, primarily between 2019 and 2021. ŠKODA AUTO is responsible for leading Volkswagen Group’s planned model campaign on the Indian market. To ensure closest-possible proximity to the market, a project center is being set up in India where vehicle development will take place.

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 5% in the long term, depending on market and segment development.

—ŠKODA AUTO CEO Bernhard Maier

With the ‘INDIA 2.0’ project, ŠKODA AUTO and Volkswagen Group are in an excellent position to optimally confront the dynamics of the Indian car market. In India, we will offer top-class products at prices that amount to a paradigm shift in the automotive industry. We will manufacture the new products locally based on the heavily localized MQB A0 platform, which already fulfills the stricter emission and safety standards that are expected to come into force in India in 2020.

—Gurpratap Boparai, Managing Director of ŠKODA AUTO India Private Ltd

Initially, ŠKODA AUTO is developing the sub-compact MQB A0 platform with a focus on India (MQB-A0-IN). In the second phase, ŠKODA will be assessing the possibility of exporting vehicles manufactured in India.

ŠKODA and Volkswagen will develop several products based on this platform. The model campaign will begin in 2020 with an SUV.



Wise move by VW. Many other EU and USA majors will follow.

Car market is moving East (ASIA) where parts, FCs and batteries for (ICEVs, HEVs, PHEVs, BEVs and FCEVs) mass production is less costly and future customers are.

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