Skoda Volkswagen India is set to launch its first Indian-developed electric vehicle (EV) by the year 2030. In a recent discussion, Piyush Arora, Managing Director and CEO of Skoda Volkswagen India Limited, outlined the company's electrification strategy. While the premium brands within the group, such as Audi and Porsche, have already established an electric presence in India, the focus now shifts to mass-marketing India-specific Skoda and Volkswagen EVs by the end of the decade.

The Indian EV market has experienced substantial growth, characterized by increasing competition among mass-market manufacturers. Tata Motors currently dominates this sector, which saw several new launches in 2024, including the MG Windsor EV, Tata Curvv EV, and Punch EV.

In contrast, Skoda and Volkswagen have not yet formally initiated their electrification efforts. At the Auto Expo 2025, Skoda announced plans to introduce global models such as the Elroq, Enyaq, and Enyaq Coupe in India, suggesting that all three may eventually be available. Volkswagen is anticipated to begin its EV rollout shortly after Skoda's initial electric vehicle launch.

Arora detailed a three-phase strategy for the group's electrification in India. The first phase will concentrate on introducing global electric models to demonstrate the group's technological capabilities. Currently, the Porsche Taycan and Audi e-Tron range represent the group's EV offerings in India. The subsequent phase will involve the introduction of global models like the Skoda Enyaq and Volkswagen ID.4, which were showcased in 2024.

Initially, these vehicles will be offered as completely built units (CBUs). As the strategy advances to the second phase, the company intends to initiate local assembly of these vehicles, depending on market demand. This approach is expected to enhance accessibility and affordability for Indian consumers.

The third phase will emphasize the creation of EVs specifically tailored and engineered for the Indian market under the Skoda and Volkswagen brands. These vehicles will utilize the group's global platforms, adapted to meet local needs.

Can the new electric SUV be based on the Kylaq?

Skoda made its entry into the Indian market in 2001, followed by Volkswagen in 2007. Initially, both companies relied on their global product offerings to establish a presence in India. However, the reception of these products did not meet expectations. In response, they implemented the India 2.0 strategy, which emphasized the development of products specifically designed for the Indian consumer.

As part of this strategy, Skoda launched the Kushaq and Slavia, while Volkswagen introduced the Taigun and Virtus. These models represented a significant change in strategy, focusing on localization and engineering tailored to the market. Skoda has now advanced its India 2.0 initiative with the introduction of the Kylaq, a sub-4-metre SUV, while Volkswagen has yet to unveil its counterpart in this segment.

Arora underscored the increasing significance of the subcompact SUV market, stating, “That’s precisely what we have aimed to address.” He elaborated that the group is assessing new prospects in light of Kylaq’s success. This assessment encompasses not only the exploration of additional segments but also the potential expansion into various powertrains, including electric vehicles (EVs).

His remarks imply that Skoda’s inaugural India-developed EV may utilize Kylaq’s platform. Nevertheless, he stressed the importance of a cautious approach, stating, “We want to evaluate the product's success and its acceptance in the market. Once we have achieved that, we will consider other segments as well.”

The group’s strategy is firmly anchored in customer focus and flexibility. By attentively observing market trends, Skoda Volkswagen India intends to launch products that resonate with changing consumer preferences, thereby ensuring its ongoing relevance and competitiveness in the ever-evolving Indian automotive landscape, as explained by Arora.

Skoda Kylaq giving new wings to India 2.0 project

Kushaq and Slavia have helped the company cater to nearly 30 per cent of the Indian passenger vehicle market. With the launch of Kylaq, the carmaker intends to further extend its outreach and deepen its inroads in this segment.