Skoda plans small cars for India

Czech auto giant Skoda is planning five new launches in India, including its global small car that will debut next year. These introductions will see Skoda entering into new segments like multi-purpose vehicle (MPV) and the sports utility vehicle (SUV). Thomas Kuehl, member of the board of Skoda Auto India said, “We will launch a compact car in the Rs3 lakh (US$ ) to Rs5 lakh (US$ ) segment, below our existing small car offering, Fabia. The automobile growth story has prompted many global car manufacturers to make India their launch pad before entering markets like the U.S. and Europe. The Zen Estilo, Swift, SX4, and Dzire from the Maruti Suzuki stable and Hyundai’s i10 have all had their debut in India. For Skoda, part of the Volkswagen Group, India will be a key focus market. Out of the 100,000 units we plan to sell, 60% of the volumes will be driven by the small car market,” said Kuehl. On the pricing front, the company is working towards being more competitive by increasing its local content. (May 10, 2008)