Volkswagen counting on Skoda to make cars suited for local market
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, ET BureauUpdated: Oct 11, 2017, 01.15 AM IST

NEW DELHI: European major Volkswagen is counting on its alliance with Skoda Auto in India for developing region-specific, cost-competitive models and volumes growth. Steffen Knapp, director, passenger cars, Volkswagen group sales India, said, “When (the Volkwagen AG chief executive) Matthias Müller was getting lead of the brand group, he said we need to get more regionalisation, we need to be closer to the customer… So he developed these regional groups and one of the regions is certainly India.
That enables us to have an R&D team in Pune to develop on our own and have much more influence on the product development process than in the past.”
Skoda was recently accorded lead responsibility to develop costeffective products for emerging markets. Knapp said Volkswagen cars were over-engineered by Indian quality standards. “You are not driving at 200 km on an autobahn. There are other things that are important, like connectivity, but not only because you are sitting for 2.5 hours in a car. That is the first step,” he said. The Pune R&D team has already commenced work and evaluations are underway to identify the correct solutions for the Indian market. Knapp declined to specify a timeline for launch of the first product from this joint project.
“Skoda is known for its clever and cost-conscious solutions,” said Knapp. “For me, it makes absolute sense that the group says, ‘Okay, let us give Skoda lead in developing these products in a clear alliance with VW,’ to make sure core brand values are met with development of new products.”
That enables us to have an R&D team in Pune to develop on our own and have much more influence on the product development process than in the past.”
Skoda was recently accorded lead responsibility to develop costeffective products for emerging markets. Knapp said Volkswagen cars were over-engineered by Indian quality standards. “You are not driving at 200 km on an autobahn. There are other things that are important, like connectivity, but not only because you are sitting for 2.5 hours in a car. That is the first step,” he said. The Pune R&D team has already commenced work and evaluations are underway to identify the correct solutions for the Indian market. Knapp declined to specify a timeline for launch of the first product from this joint project.
“Skoda is known for its clever and cost-conscious solutions,” said Knapp. “For me, it makes absolute sense that the group says, ‘Okay, let us give Skoda lead in developing these products in a clear alliance with VW,’ to make sure core brand values are met with development of new products.”