{"id":76708,"date":"2026-08-21T17:56:19","date_gmt":"2026-08-21T17:56:19","guid":{"rendered":"https:\/\/www.europesays.com\/germany\/76708\/"},"modified":"2026-08-21T17:56:19","modified_gmt":"2026-08-21T17:56:19","slug":"volkswagen-cars-eyes-mass-growth-in-india-with-compact-suv","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/germany\/76708\/","title":{"rendered":"Volkswagen Cars eyes mass growth in India with compact SUV"},"content":{"rendered":"<p>Mumbai: Volkswagen Passenger Cars aims to grow its presence in India&#8217;s mass market with a compact sports utility vehicle (SUV), while stepping up efforts to differentiate the brand from sister marque <a ref=\"dofollow\" data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/m.economictimes.com\/topic\/skoda\" target=\"_blank\" rel=\"nofollow noopener\">Skoda<\/a>, CEO <a ref=\"dofollow\" data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/m.economictimes.com\/topic\/thomas-schafer\" target=\"_blank\" rel=\"nofollow noopener\">Thomas Schafer<\/a> told ET. &#8220;We are a volume player,&#8221; Schafer said, adding that Volkswagen&#8217;s growth in India has so far been constrained by its limited presence across segments.<\/p>\n<p>The company now plans to expand into the sub-four-metre segment next year and subsequently add more segments and powertrains. This will be the German carmaker&#8217;s most affordable model in India since it phased out the Polo hatchback in 2022, Schafer said.<br \/>ALSO READ | <a data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/economictimes.indiatimes.com\/industry\/auto\/auto-news\/volkswagen-willing-to-cede-majority-control-in-india-unit-to-local-partner-skoda-auto-ceo-klaus-zellmer\/articleshow\/133329234.cms\" rel=\"nofollow noopener\" target=\"_blank\">Volkswagen willing to cede majority control in India unit to local partner: Skoda Auto CEO Klaus Zellmer<\/a><\/p>\n<p>Volkswagen Passenger Cars sells the Tiguan, Taigun, Virtus and Tayron models. It saw its dispatches in India decline 11.4% year-on-year to 10,629 units in the first four months of 2026-27, according to the Society of Indian Automobile Manufacturers (Siam).<img decoding=\"async\" title=\"VW Cars Eyes Mass Growth in India with Compact SUV\" alt=\"VW Cars Eyes Mass Growth in India with Compact SUV\" src=\"https:\/\/www.europesays.com\/germany\/wp-content\/uploads\/2026\/06\/et-logo.jpg\" class=\"lazy gwt-Image\" data-msid=\"133385804\" data-original=\"https:\/\/img.etimg.com\/photo\/msid-133385804\/vw-cars-eyes-mass-growth-in-india-with-compact-suv.jpg\"\/>ET Bureau<br \/><img decoding=\"async\" alt=\"ET logo\" src=\"https:\/\/www.europesays.com\/germany\/wp-content\/uploads\/2026\/04\/118783427.cms.png\" width=\"90%\"\/>Live EventsSchafer said Volkswagen would avoid the kind of product overlap that had historically blurred the identities of brands within the group. &#8220;Customers buy brands,&#8221; he said, stressing that Volkswagen, Skoda and Cupra need to stay clearly differentiated even as they share technology and components.<br \/>ALSO READ | <a data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/economictimes.indiatimes.com\/industry\/auto\/auto-news\/gst-cuts-shield-indian-carmakers-from-commodity-price-shock\/articleshow\/133281617.cms\" rel=\"nofollow noopener\" target=\"_blank\">GST cuts shield Indian carmakers from commodity price shock<\/a><br \/>The <a ref=\"dofollow\" data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/m.economictimes.com\/topic\/sub-four-metre-suv\" target=\"_blank\" rel=\"nofollow noopener\">sub-four-metre SUV<\/a>, based on Volkswagen&#8217;s locally developed MQB-A0-IN platform-the cross-badged version of the Skoda Kylaq compact SUV-is, therefore, more than a new product for the German brand. It is the first major step in broadening its India portfolio and reaching a significantly larger customer base. Cross-badging is a strategy where two different car brands sell the same vehicle under different names, usually with minor styling changes such as logos, bumpers and headlamps.<br \/>Automakers use this approach to eliminate the massive costs and years required to develop a brand-new vehicle from scratch. Notable partnerships include Suzuki and Toyota (Baleno and Glanza) and Nissan and Renault (Duster and Tekton).<\/p>\n<p>&#8220;Sub-four-metre is definitely a no-brainer. You have to be in there to be significant in the market, and we&#8217;ve made this decision now,&#8221; Schafer said. The segment accounts for about 28% of India&#8217;s passenger vehicle market. Volkswagen has a relatively narrow portfolio in India, he said.<\/p>\n<p>Schafer said the company wants to use the new model not only for India but also as an export opportunity, underlining the increasing importance of India as a manufacturing and development base for Volkswagen.<\/p>\n<p><a ref=\"dofollow\" data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/m.economictimes.com\/topic\/vw-passenger-cars\" target=\"_blank\" rel=\"nofollow noopener\">VW Passenger Cars<\/a> has spent the last four years separating the identities of Volkswagen, Skoda and Cupra after acknowledging that products had become too similar.<\/p>\n<p>Schafer said the objective now is to retain the benefits of sharing platforms and components while ensuring the brands remained distinct in design, feel and positioning.<\/p>\n<p>For India, this means the upcoming <a ref=\"dofollow\" data-ga-onclick=\"Inarticle articleshow link click#Industry#href\" href=\"https:\/\/m.economictimes.com\/topic\/compact-suv\" target=\"_blank\" rel=\"nofollow noopener\">compact SUV<\/a> will have to occupy a distinct space even as it shares its underlying architecture with other group products. Schafer also sees room to widen Volkswagen&#8217;s India portfolio through the India-EU free trade agreement, which could make it viable to bring niche European models that currently don&#8217;t make economic sense as imports. But immediate priority is clear-use sub-four-metre SUV to move Volkswagen into a larger part of Indian market and put brand on a higher growth trajectory.<\/p>\n","protected":false},"excerpt":{"rendered":"Mumbai: Volkswagen Passenger Cars aims to grow its presence in India&#8217;s mass market with a compact sports utility&hellip;\n","protected":false},"author":2,"featured_media":76709,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20947],"tags":[44980,56507,30598,56508,56509,5356,30929,56510],"class_list":["post-76708","post","type-post","status-publish","format-standard","has-post-thumbnail","category-volkswagen","tag-compact-suv","tag-indian-automobile-market","tag-skoda","tag-sub-four-metre-suv","tag-thomas-schafer","tag-volkswagen","tag-volkswagen-india","tag-vw-passenger-cars"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/76708","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/comments?post=76708"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/76708\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media\/76709"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media?parent=76708"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/categories?post=76708"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/tags?post=76708"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}