Škoda Auto Volkswagen India (SAVWIPL) recently crossed a significant milestone by producing over 2 million vehicles locally in India. This achievement marks 25 years of the company’s presence and manufacturing operations in the country, reflecting steady growth, investment, and confidence in the Indian market.
The journey of Škoda Auto Volkswagen India began in the year 2000 when Volkswagen Group entered the Indian automotive scene through a joint venture with the Indian company. Over the years, the group expanded its operations with a focus on the manufacture, development, and sales of several global brands under its umbrella, including Volkswagen, Škoda, Audi, Porsche, Lamborghini, Bentley, and Skoda.
Škoda Auto Volkswagen India’s operations now notably include two key manufacturing facilities: one in Pune and the other in Chhatrapati Sambhaji Nagar. These plants have played a crucial role in meeting both domestic and international demand. The Pune facility, supported by nearly €600 million in investment, was established to accommodate increased production volumes and a growing focus on localization. India is now an important manufacturing hub for the company, supplying vehicles to markets across Latin America, Africa, Southeast Asia, and the Middle East.
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One important milestone in Škoda Auto Volkswagen journey was the development of the MQB-A0-IN platform. This platform was engineered entirely in India by local teams and supports some of Škoda and Volkswagen’s most popular models in the country, the Škoda Kushaq, Škoda Slavia, and Škoda Kyalq, and the Volkswagen Taigun and Virtus. These models have contributed significantly to the group’s sales growth and market penetration. Notably, more than 500,000 vehicles produced on this platform represent a large part of the total 2 million units.
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The production pace of Škoda Auto Volkswagen has increased substantially over recent years. While it took the company 25 years to reach the 2 million mark, it produced the last 500,000 vehicles in just three and a half years. This rapid growth reflects strong demand for these India-engineered products, both domestically and internationally.
Škoda Auto India and Volkswagen India, two major components of the Group’s activities in the country, have shown their best performances in recent years. For example, Škoda Auto India doubled its sales in the first ten months of 2025 compared to the previous year. Volkswagen also recorded its highest monthly sales for the Virtus sedan during the Diwali period, where the model claims over 40% market share in the premium midsize sedan segment.
Besides mass-market vehicles, the company’s luxury and premium brands have also recorded positive progress. Bentley India expanded its operations with new showrooms, while Porsche India increased its customer base over the years and expanded its charging infrastructure for electric vehicles. Lamborghini India reported its best-ever annual numbers in 2024, completing its hybrid vehicle lineup with the launch of the Temerario.
Exporting vehicles remains a strong focus for the group, with over 700,000 vehicles produced in India shipped worldwide. This export activity places India as a key part of Volkswagen Group’s global manufacturing network and emphasizes “Made in India, Driven by the World” as a guiding vision.
Leadership at Škoda Auto Volkswagen India credits this milestone to an ongoing investment in local talent, technology, and production capabilities. Piyush Arora, CEO and Managing Director, stated that this achievement demonstrates customers’ trust in the group’s brands and the ability to deliver consistent quality and innovation. The company listens closely to Indian buyers, who are regarded as informed and discerning, shaping the products to meet evolving demands with quality and precision.
Škoda Auto Volkswagen India’s journey to two million locally produced vehicles tells a story of steady growth, strategic investment, and a successful blend of global expertise with local understanding. The company has evolved from a newcomer to one of the country’s important automobile producers, contributing to India’s manufacturing sector and export economy. With expanding production capacity and a strong focus on innovation, the company looks set to continue its growth story in the years ahead.
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