Volkswagen to invest Rs2,000 cr by 2013
German car-maker Volkswagen on Wednesday said it will invest a minimum of Rs 2,000 crore on its Indian operations by 2013 to ramp up capacity, launch new models and strengthen research activities.Updated: Jan 04, 2012 21:28 IST
German car-maker Volkswagen on Wednesday said it will invest a minimum of Rs 2,000 crore on its Indian operations by 2013 to ramp up capacity, launch new models and strengthen research activities.
The group is also considering to launch its small car ‘Up’ in India by the end of 2013 or early 2014.
“We have plans for investing at least Rs2,000 crore additionally by 2013. This will be an investment by the entire group,” said John Chacko, chief representative India, Volkswagen Group.
This investment will be in addition to €580 million (about Rs3,600 crore) that the European auto major had announced in 2008, he added.
“There are huge opportunities to expand in India. This amount will cater to ramping up our production capacity, introducing new models and enhancing our R&D work here,” he said.
The group, comprising Volkswagen, Audi and Skoda, at present has two manufacturing facility at Chakan and Aurangabad in Maharashtra.
He said the capacity at Chakan has will be increased to 1.3 lakh units annually this year from 1.1 lakh cars.
When asked if the group will set up a new facility in India, Volkswagen executive vice-president Ulrich Hackenberg said: “We will first increase the capacity of our existing plants and later, if needed, we will look for new sites.”
The group is considering to introduce small car Up in Indian market.
“We have launched the Up in Europe. We are looking at a segment where Hyundai i10 and Maruti's Swift is present,” he said.
First Published: Jan 04, 2012 21:26 IST