Latest Car News in India

Friday, January 06, 2012

By Manoj Kumawat

Skoda to launch new SUV in India

Czech carmaker Skoda is in the process of introducing a new Sports Utility Vehicle in India by 2013. The new SUV will be launched by Skoda from Volkswagen Group's portfolio. Besides this, Skoda aims to increase its sales by 50 percent in this year. In India, Skoda relies on Skoda Rapid besides other Skoda cars in India. In addition to this, Skoda will be enhancing the production capacity of its Aurangabad plant for the manufacture of this SUV there. Details regarding the new Skoda SUV are still awaited and we will keep you updated as soon as there is any significant development in this regard.

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The company is expecting increase in sales by about 50 per cent this year, mainly on the back of the robust performance of its Rapid sedan. The expansion plans were also reportedly expressed by Skoda’s parent group Volkswagen’s official. VW’s expansion spree will be costing Rs 2000 crore investment in India by 2013 and it will include primarily to strengthen operations and launch of new cars in India besides expenses on research and development.

The Volkswagen group currently operates two plants one at Chakan and another in Aurangabad in Maharashtra with an annual production capacity of 1.3 lakh units. After the addition of new plant at Aurangabad which has presently a production capacity of 20,000 units, the total capacity of VW cars in India will be increased to 1.5 lakh units. The Chakan plant presently produces 1.1 lakh cars annually for Skoda, Audi and Volkswagen. On the sales front, Skoda expects the same 50 percent increase in 2012 as it registered in 2011. It is said that Skoda will be highly relying on Skoda Rapid and expect an increase in sales number just because of this recently launched sedan and the hatchback Skoda Fabia.

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