Volkswagen invested Rs.720 crore in its Indian operations with an aim to develop and setup new equipment in order to boost production of their new compact sedan. The production of the new offering is scheduled to commence in the first half of 2016 at Volkswagen’s Chakan plant near Pune, after an unveiling at the upcoming 2016 Auto Expo. This investment is a part of the Rs 1,500 crore investment that was announced by Volkswagen India at the beginning of 2014.
India is one of the strategic markets for Volkswagen(VW) and the Indian automotive market is expected to be one of the largest by the end of the decade.VW entered the Indian market for a long term commitment. With the latest investment in the new compact sedan, Volkswagen has now invested approximately Rs5,500 crore in India at the Pune Plant since it started its operations in 2007.
Currently, about 3,200 employees are working at this manufacturing facility where the Volkswagen Polo, Vento and Skoda Rapid are being produced. The new compact sedan, which has been specifically designed and developed for India, will be an addition to VW’s locally-made product portfolio.
Dr. Andreas Lauermann, President and Managing Director, Volkswagen India Private Limited said,“We are following a long term investment plan in India and with our latest investment we have reaffirmed our confidence in this growing automotive market.” Mr. Michael Mayer, Director, Volkswagen Passenger Cars India added: “With our new compact sedan, we will focus intensively on the specific requirements of our Indian customers.”
New offering is scheduled to commence in the first half of 2016 at Volkswagen’s Chakan plant near Pune, after an unveiling at the upcoming 2016 Auto Expo.