The company’s business strategy in India has evolved over the years. Initially, it introduced models like the Passat, Jetta, and Beetle, catering to a niche market seeking premium German engineering. Over time, Volkswagen has focused on increasing localization and developing products tailored to the Indian consumer’s preferences and price sensitivity. The “India 2.0” project marked a significant shift, emphasizing the use of the MQB A0 IN platform to engineer and manufacture vehicles in India with a high degree of localization (up to 95%). This strategy led to the introduction of models like the Taigun SUV and the Virtus sedan, which have seen more success in the competitive Indian market.
Volkswagen India operates a manufacturing plant in Chakan, Pune, with an annual production capacity of up to 200,000 vehicles. This facility handles the entire production process, from the press shop to final assembly. The company’s product portfolio currently includes the Virtus sedan and the Taigun and Tiguan R-Line SUVs. They are also expected to launch the Golf GTI and Tera SUV in the near future.
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Here’s my first-hand experience with a pre-owned Skoda Octavia 1.4 TSI: An initial review of owning the vehicle
The author, a self-proclaimed Volkswagen enthusiast, has recently purchased a Skoda Octavia 1.4 TSI MT, adding it to their collection of two Ventos. After test driving several cars, including a Suzuki Kizashi, Hyundai i20 N-Line DCT, and Abarth Urban Cross, the author fell in love with the Octavia’s familiar feel, which they attribute to their long history of owning and admiring Volkswagen cars.
The author’s search for a new car began when they moved to Gurgaon and needed a vehicle that could navigate the city’s roads. They initially considered shipping one of their Ventos, but ultimately decided to purchase a new car. The Octavia, with its manual transmission and 1.4 TSI engine, won them over with its precise and rewarding shifts, as well as its familiar feel.
The author praises the Octavia’s design, calling it a “mature appearance” that peaks at this particular model. They also appreciate the car’s split-headlight design, which provides excellent illumination. However, they note that the car lacks some features, such as manual headlight levelling, and has some quirks, like the dome lights not turning on when the car is unlocked.
On the road, the author finds the Octavia to be a joy to drive, with a rev-happy engine and a smooth, precise gearbox. They describe the driving experience as “confident” and note that the car absorbs rough roads with ease. The author is also impressed with the car’s performance, finding it to be quicker than any other car they’ve driven.
As for future plans, the author is considering a stage 1 tune, as well as some cosmetic modifications, such as new rims and a rally-inspired decal. They also plan to remove the unwanted “Govt of India” and “Bharat Sarkar” stickers from the car.
Overall, the author is thrilled with their new Octavia and looks forward to sharing more of their Volkswagen and Skoda experiences with the Team-BHP community. They appreciate the car’s familiar feel, which they attribute to their long history with Volkswagen cars, and are excited to see how the Octavia will perform in the long run. With its excellent design, smooth gearbox, and confident driving dynamics, the Octavia has already won a special place in the author’s heart.
Skoda Elroq initial test drive: entering an uncharted realm
The Skoda Elroq is a new compact electric SUV that is based on the Volkswagen Group’s MEB platform. It is Skoda’s latest electric vehicle, and it features a unique design that is distinct from the company’s conventional combustion-engine vehicles. The Elroq is available in two specifications: the Elroq 60 and the Elroq Sportline 85. The Elroq 60 has a 59kWh battery and a 150kW/310Nm rear electric motor, while the Sportline 85 has a 77kWh battery and a 210kW/545Nm motor.
The Elroq has a similar size and genre to the Skoda Karoq, but it is a pure-electric vehicle with a range of up to 529km. The Elroq’s design is based on Skoda’s “Modern Solid” styling proportions and features a “Tech-Deck” face with running lights on top and main beams nestled in the bumper. The interior of the Elroq is similar to the Enyaq, with a 13-inch infotainment display and a comprehensive safety and driver assist package.
The Elroq 60 is priced at $69,000, which is $20,000 less than the entry-level Enyaq Sportline. The Sportline 85 is priced at $79,000, which is closer to the price of the Enyaq. The Elroq is available with a number of optional features, including matrix technology for the LED headlights, low-speed traffic assist, and rear-side airbags.
The Elroq drives like a big car, with a long wheelbase and a weight of over two tonnes. It has a big-car feel on the road, but it is still sprightly and fairly agile, thanks to the single motor at the back. The Sportline is neat and well-balanced, and it rides pretty well. The Elroq 60 is likely to be a more pleasing drive experience, with a less powerful motor and a 15mm taller ride height.
The pick of the range is likely to be the Elroq 60, which offers decent range and performance at a price point of $69,000. However, the Sportline 85 may still be the better choice for those who want the extra range and power, as well as the additional driver assists and features. Other cars that should be considered in this price range include the Kia EV3, the Mini Countryman SE, and the MG S5 EV. The Elroq’s top price point also puts it in the frame with many medium-sized EVs, including the Tesla Model Y and the VW ID.4.
Overall, the Skoda Elroq is a new and exciting electric SUV that offers a unique design, impressive range, and a comprehensive safety and driver assist package. It is available at a competitive price point, and it is likely to be a popular choice for those looking for a compact electric SUV. With its strong specification and impressive driving dynamics, the Elroq is a great option for those who want a hassle-free and enjoyable driving experience.
Volkswagen and Audi Weigh In On India-EU Free Trade Agreement – Don’t Expect Cheaper Cars Anytime Soon!
As the automotive industry in India awaits the implications of the Free Trade Agreement (FTA), top executives from leading car manufacturers have shared their perspectives on the potential impact on pricing and market strategies. Piyush Arora, MD & CEO of Skoda Auto Volkswagen India (SAVW), emphasized that now is an opportune time for customers to make informed purchasing decisions without waiting for speculative changes. He encouraged buyers to take advantage of the current lineup and offers available in the market.
Similarly, Balbir Singh Dhillon, Brand Director of Audi India, expressed a positive outlook on the FTA, stating that it could support the broader automotive ecosystem, including innovation, supply-chain efficiency, and technology collaboration. However, he cautioned that any implications for pricing and market can only be assessed once the final terms of the agreement are available and carefully reviewed. This includes considering the timeframe of implementation, which will be crucial in determining the impact on commercial and product strategies.
Both executives highlighted the importance of waiting for the final terms of the FTA before making any conclusions about pricing and market strategies. The FTA is expected to have a significant impact on the Indian automotive industry, with potential benefits including increased competition, improved quality, and reduced prices. However, the exact implications will depend on the specifics of the agreement, including tariff reductions, regulatory changes, and other provisions.
In the meantime, car manufacturers are advising customers to take advantage of current offers and lineup, rather than waiting for potential changes that may arise from the FTA. This suggests that the industry is confident in its current product offerings and is encouraging buyers to make informed decisions based on the current market conditions. As the FTA negotiations progress, the industry will be closely watching the developments and adjusting their strategies accordingly to remain competitive in the market. Ultimately, the FTA is expected to bring about significant changes to the Indian automotive industry, and car manufacturers are preparing to adapt to the new landscape.
What key players like Tata Motors PV and Skoda Auto Volkswagen India are seeking from the auto industry
As the Union Budget 2026 approaches, India’s automobile sector has outlined its expectations for policy support to boost demand, accelerate electric mobility, and promote domestic production. Key players such as Tata Motors Passenger Vehicles, Skoda Auto Volkswagen India, and Volvo Group India have shared their wishlists for the upcoming budget.
Tata Motors has requested targeted incentives for entry-level electric vehicles (EVs) and support for electric cars used in the fleet segment under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme. The company’s MD and CEO, Shailesh Chandra, noted that while the government’s previous measures have revived passenger vehicle demand, entry-level EVs continue to face pressure. He emphasized the importance of supporting EVs used in the fleet segment, which account for a significant portion of passenger kilometers and have a multiplier impact on the environment.
Skoda Auto Volkswagen India’s MD and CEO, Piyush Arora, called for policy continuity, infrastructure growth, and a stronger EV ecosystem in the upcoming budget. He highlighted the importance of customs reforms, particularly in the electric vehicle space, and noted that the goods and services tax (GST) reforms introduced in 2025 have revived the domestic passenger vehicle industry.
Volvo Group India’s President and Managing Director, Kamal Bali, pitched for regulations to promote electric vehicles and clean energy vehicles. He acknowledged that the adoption of such vehicles would take time but expressed confidence that India is committed to decarbonizing its ecosystem. Bali
Audi’s US plant plans may be scrapped by VW if tariffs aren’t reduced, according to the CEO.
Volkswagen (VW) may cancel plans to build an Audi plant in the United States if tariffs on imported vehicles are not reduced, according to the company’s CEO, Herbert Diess. The proposed plant, which would be Audi’s first in the US, is part of VW’s efforts to expand its presence in the American market. However, the ongoing trade tensions between the US and other countries, including the European Union, have created uncertainty and made it difficult for the company to move forward with the project.
Diess stated that the current tariffs on imported vehicles, which stand at 2.5% for cars and 25% for trucks, make it challenging for VW to justify the investment in a new plant. The company is concerned that the tariffs would increase the cost of importing vehicles and parts, making it harder to compete with other manufacturers in the US market. Diess emphasized that VW needs a “level playing field” to invest in the US and that the tariffs are a significant obstacle to achieving this goal.
The proposed Audi plant is expected to create thousands of jobs and generate significant economic benefits for the local community. However, the project is contingent on the reduction of tariffs, which would allow VW to import vehicles and parts more competitively. Diess noted that the company is willing to invest in the US market, but it needs a stable and predictable trade environment to do so.
The threat to cancel the Audi plant is a significant concern for the US economy, as it would mean the loss of potential jobs and investment. The US automotive industry is already facing significant challenges, including declining sales and increasing competition from foreign manufacturers. The cancellation of the Audi plant would be a blow to the industry and would undermine efforts to attract foreign investment to the US.
The US government has imposed tariffs on imported vehicles and parts as part of its trade policies, which have been met with retaliation from other countries. The European Union, in particular, has imposed tariffs on US-made vehicles in response to the US tariffs. The trade tensions have created a complex and uncertain environment for companies like VW, which are trying to navigate the changing landscape and make investment decisions.
In conclusion, VW’s CEO has warned that the company may cancel plans to build an Audi plant in the US unless tariffs on imported vehicles are reduced. The proposed plant is contingent on a stable and predictable trade environment, which is currently lacking due to the ongoing trade tensions. The cancellation of the plant would be a significant concern for the US economy and would undermine efforts to attract foreign investment to the country.
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Here’s What You Can Expect from the Upcoming Volkswagen Tayron Launch in India
Volkswagen is set to re-enter the premium three-row SUV market in India with the Tayron R-Line, which will become the company’s new flagship model. The Tayron R-Line will sit above the Tiguan R-Line and fill the gap left by the Tiguan Allspace, which was discontinued in 2021. The new SUV is expected to arrive in India by March and will be available at a competitive price between Rs 45 lakh and Rs 50 lakh ex-showroom.
The Tayron R-Line boasts a bold and aggressive design, with sportier bumpers, R-Line badges, and 19-inch alloy wheels. It is built on the same MQB EVO platform as the Tiguan, but with a longer wheelbase of 2,789mm, making room for a third row of seats. The SUV has already scored a five-star rating at Euro NCAP, which is a significant safety feature that Indian buyers in this segment expect.
The interior of the Tayron R-Line is focused on space and comfort, with a large 15-inch touchscreen, a fully digital driver display, and a panoramic sunroof. The front seats are upholstered in leather and feature a massage function, as well as ventilation, which is a more practical choice for Indian conditions. The SUV also features ambient lighting with 30 color options and matrix LED headlamps, adding to its premium feel.
The Tayron R-Line will be powered by the same 2.0-litre turbo petrol engine as the Tiguan R-Line, producing 201bhp and 320Nm of torque. The engine will be paired with a 7-speed dual clutch automatic gearbox and Volkswagen’s AWD system, which will provide confident road manners and decent off-road capability.
The Tayron R-Line will be brought to India as a CKD (completely knocked down) unit, which means it will be locally assembled, resulting in a more competitive price tag. This will put it in direct competition with rivals like the Skoda Kodiaq, Jeep Meridian, and the MG Gloster. With its premium features, spacious interior, and competitive pricing, the Tayron R-Line is expected to be a strong contender in the Indian market.
Volkswagen is Preparing a Facelift for the 2026 Taigun Model
Skoda Auto Volkswagen India is set to launch the 2026 Volkswagen Taigun facelift, which will feature visible design changes and updates to its features. The updated SUV was recently spotted on Indian roads, giving a glimpse of its new exterior design. The front grille will be larger, with gloss black elements and a D-shaped silver insert, while the headlamps will be redesigned with a connected LED light bar. The side profile will feature new alloy wheels and prominent black cladding, and the rear will get updated taillamp clusters.
The dimensions of the SUV will remain unchanged, with a length of 4,221mm, width of 1,760mm, and height of 1,612mm, along with a wheelbase of 2,651mm. The interior is expected to receive updates similar to the new Kushaq, including a new cabin theme, panoramic sunroof, digital driver’s display, updated infotainment software, and rear seats with massage function.
Mechanically, the Taigun facelift will retain the existing TSI petrol engines, including the 1.0L engine producing 115PS and 178Nm, and the 1.5L engine delivering 150PS and 250Nm. The 1.0L engine may get a new 8-speed torque converter automatic gearbox, replacing the current 6-speed automatic, while the 1.5L engine will continue to be paired with a 7-speed dual-clutch automatic transmission.
The price range of the 2026 Volkswagen Taigun facelift is expected to see a small hike, with the current model priced between Rs 11.42 lakh and Rs 19.19 lakh (ex-showroom). The updates to the Taigun are expected to make it a more competitive offering in the mid-size SUV segment, which has seen significant growth in recent years. With its refreshed design and updated features, the Taigun facelift is likely to appeal to customers looking for a premium and feature-packed SUV. Overall, the 2026 Volkswagen Taigun facelift is expected to be a significant improvement over the current model, and its launch is highly anticipated in the Indian automotive market.
Volkswagen Commences Local Production of Tayron R-Line in India, Paving Way for Upcoming Launch
Volkswagen India has started assembling the Tayron R-Line, a premium SUV, at its Chhatrapati Sambhajinagar plant in Maharashtra. The move is a significant step in the brand’s strategy to increase its presence in the Indian market. The Tayron R-Line is expected to launch in India in the first quarter of 2026, although the official date has not been announced. The start of production marks a milestone for Volkswagen, as it aims to make its premium SUVs more accessible to Indian buyers while strengthening its local manufacturing footprint.
The Tayron R-Line is positioned as Volkswagen India’s most premium SUV, offering three-row seating and a sportier R-Line design treatment. It is larger than the Tiguan and features a typical German design language, with an overall length of just under five meters. The cabin is reminiscent of the Golf GTI, with a premium feel and features. With the Tayron R-Line, Volkswagen is set to intensify its presence in the premium SUV space, where it already retails models such as the Tiguan R-Line, Taigun, and Virtus.
The local assembly of the Tayron R-Line is a significant step for Volkswagen, as it reduces the time-to-market for India. The brand aims to make its premium SUVs more accessible to Indian buyers, and the start of production is a testament to this commitment. With production underway, Volkswagen is gearing up to launch the Tayron R-Line in India, with more details, including pricing and specifications, expected to be announced closer to the launch date.
The Tayron R-Line is an important model for Volkswagen India, as it marks the brand’s foray into the premium SUV segment. With its sporty design, premium features, and three-row seating, the Tayron R-Line is poised to compete with other premium SUVs in the Indian market. As Volkswagen continues to expand its presence in India, the Tayron R-Line is expected to play a significant role in the brand’s growth strategy. With its local assembly and expected launch in 2026, the Tayron R-Line is set to make a significant impact in the Indian automotive market.
Audi concedes its inaugural Formula 1 test fell short of expectations, acknowledging ‘we’re not yet prepared’ – F1 Oversteer
Audi has recently conducted their first-ever Formula 1 test, but the outcome was not as successful as they had hoped. The German automobile manufacturer has been open about their struggles, admitting that they are not yet ready to compete in the prestigious racing series.
The test, which took place at the Circuit de Barcelona-Catalunya in Spain, was an opportunity for Audi to gauge their performance and identify areas for improvement. However, the results were underwhelming, with the team facing numerous challenges and setbacks. Despite having a highly experienced driver, the car struggled with reliability and pace, highlighting the significant gap between Audi and the current F1 teams.
Audi’s admission of their shortcomings is a testament to their commitment to transparency and honesty. Rather than trying to downplay or hide their struggles, the team has chosen to confront their weaknesses head-on, acknowledging that they have a long way to go before they can compete with the likes of Mercedes, Ferrari, and Red Bull.
The team’s decision to enter F1 is a significant undertaking, requiring substantial investment and resources. Audi’s parent company, Volkswagen Group, has committed to providing the necessary support, but it’s clear that the team still has a lot of work to do before they can become competitive.
Audi’s struggles are not unique, as many teams have faced similar challenges when entering F1. However, the team’s willingness to learn from their mistakes and adapt to the demands of the sport is encouraging. With a strong foundation in place, Audi can now focus on addressing their weaknesses and building a competitive car.
The road to success in F1 is long and arduous, but Audi’s commitment to the sport is unwavering. The team’s participation in the series is expected to bring a new level of excitement and competition, and their eventual success will be a testament to their hard work and dedication. For now, Audi will continue to work tirelessly to improve their performance, and their fans can look forward to seeing the team grow and develop in the coming years.