Audi is considering the possibility of building engines in India if we were to believe Mr Ruper Stader, CEO Audi.
“The Indian market is developing very well. Now, we also have political stability. The growth will not only be double-digit but there will be premium business or 30,000 to 50,000 cars a year and Audi is investing in India. We are investigating possibility for engines, though still not mature enough,” Mr Stader was speaking on the sidelines of Frankfurt Motor Show.
Considering the facts that BMW has localization levels of about 50 percent and Mercedes-Benz has 60% on the C-Class, it is a possibility Audi must be considering seriously. Recently Mercedes beat Audi for the number one position in the luxury car market space. If Audi does not regain that numero uno spot quickly, this could be a possible solution.
Other Volkswagen Group companies such as VW and Skoda are also keen on scaling up their operations in India, and increasing local inputs in the development and manufacturing of their products. VW also plans to show a sub-4 metre compact sedan at the upcoming Delhi Auto Expo which could create a flutter amongst the existing ones.
VW development head Heinz-Jakob Neusser said the company was looking at the possibility of a full-fledged development centre in India. “We would prefer the development department to be close to the factory so that it can work together in production planning. We have a centre in India and they undertake special work for India with localization and concepts”.