Volkswagen India, the Indian subsidiary of the German automobile manufacturer Volkswagen has announced its decision to revamp its five year strategy for the Indian car market with a focus on its export operations.
The automaker is in the process of reworking its production plan to increase localization with an aim to increase sales and service in India along with planning a new product portfolio for the Indian auto industry. The carmaker plans to invest an amount of Rs 900 crore which will be used to develop a new engine assembly facility and a gearbox manufacturing unit.
With this new production strategy, the carmaker will move towards 90 percent localization enabling it to price its products more competitively. It has also lined up about six new car model launches in India by the year 2017-18 which will include a compact sedan and a sports utility vehicle.