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With the launch of recent SUVs, Volkswagen seems to submit 58% in 2021

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German carmaker Volkswagen is trying to submit a 58% development in gross sales in India in 2021, albeit on a low base, as its newly launched sport utility autos (SUVs) Taigun and Tiguan deliver incremental gross sales.

The corporate deliberate to promote over 30,000 items this 12 months, however a scarcity of semiconductors restricted manufacturing, mentioned Ashish Gupta, Model Director, Volkswagen Passenger Vehicles India. He was talking on the aspect strains of the launch of the brand new Tiguan, the model’s flagship automobile in India. The mannequin shall be imported into India as fully knocked-down (CKD) kits and assembled at Skoda Auto Volkswagen India’s Aurangabad plant.

With full-year gross sales of the Taigun and Tiguan coming in subsequent 12 months, coupled with the launch of a brand new sedan based mostly on the identical platform because the upcoming Slavia from sister model Skoda, Volkswagen seems to surpass pre-Covid gross sales in India.

Whereas the corporate is engaged on India-specific combustion engine automobiles as a part of its India 2.0 plan, Volkswagen has no plans of launching an electrical automobile in India earlier than 2025-26. That is when the corporate expects electrical autos (EV) to account for about 8% of the market, producing a “important quantity” for it to spend money on bringing its personal EVs to the nation, Gupta mentioned.

“Any plan which includes a metamorphosis of mobility can’t be a brief time period plan carried out over one or two years,” Gupta instructed ET. “The sort of investments required is big and when Volkswagen comes with its electrical portfolio, we’ve to verify it’s on the coronary heart of the market and it’s profitable.”

The Volkswagen model has been engaged on consolidating its gross sales community in India with fewer, financially robust sellers working a number of retailers and has now pruned the variety of sellers in its community to 57 from 73 in 2018. In the meantime, the variety of buyer touchpoints has gone as much as 150 from 115.

This, Gupta says, was sufficient to retail about 100,000 automobiles a 12 months.

The German group has additionally been piloting to mix servicing of Skoda and VW automobiles at identical service retailers to scale back the fee for operations for sellers and improve the presence of each the manufacturers. Nonetheless, utilizing the identical dealerships for each the manufacturers was out of query because the group seems to maintain each the manufacturers unbiased in India.

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