Expansion in India
Volkswagen believes that their sales will increase by quite a bit in India this year. Altogether the German car group believe that they expand by up to 50 % in terms of sales in 2012 alone. This gives good justification for the company to exploit the booming sports utility market in the country.
Jurgen Stackmann, a Member of the Board of Sales and Marketing for Skoda confirmed the company’s plans saying “The VW group is adding one more production line at the Aurangabad plant for rolling out a new SUV by 2013. We will also announce a new investment for this purpose,”
He continued to say how the company will follow up on last year’s success. “Last year, our sales grew by 50 per cent to over 30,000 units. In 2012 also, we are expecting same growth.”
Who will release the new SUV?
It is not known which division of the illustrious Volkswagen Group will be releasing the upcoming SUV. Many experts believe that it could be Skoda, as Volkswagen has plans to expose the company more this year.
With Audi already releasing the successful Q7 SUV in the country, it is unlikely that they would invest money and develop a new one. An Audi model would be specialised for the richer area of buyers, making it a difficult section to crack in India.
Volkswagen themselves already have the Tiguain released in the country too. All clues point to the new SUV having a Skoda badge placed on the front it would seem.
Volkswagen announced at the beginning of the year that they would invest a huge amount of cash in order to increase their operations in the country. The company have great ambitions for the following year, hoping to bring out newer models and up their production numbers. Research and Development Departments are set to receive a great deal of that funding too.
The Volkswagen Group currently has two production factories in the country. They are situated in Maharashtra in the cities of Chakan and Aurangabad. The Aurangabad site can produce 20,000 per year at present.