Chennai: German automobile maker Volkswagen (VW) India has made a decision to exit the diesel motor vehicle section while as part of its new India two. tactic it will continue on to wager on SUVs for Indian roadways.
According to Steffen Knapp, director, Volkswagen Passenger Cars India, the exit diesel tactic is fuelled by the slipping share of diesel cars in the Indian passenger motor vehicle current market brought on by the sharp enhance in price of diesel BS-VI cars. Globally, VW has made significant payouts due to lawsuits induced by the diesel emission manipulation situation in big markets like the US and now Europe.
“We have now minimize back again and ideal now we have no diesel options in our existing models Polo and Vento and the freshly released T-Roc and Tiguan Allspace SUVs,” stated Knapp. “We have also showcased two new models as part of the India two. tactic which will roll out in 2021 — the Taigun SUV and a Vento replacement. Both of those these products and solutions will be gasoline only kitted with a TSI petrol engine,” he extra. The no-diesel tactic, he stated, has been taken at a group degree. “It is a VW group tactic to emphasis on gasoline and that contains all the manufacturers — Volkswagen, Audi, Porsche and Skoda. For larger vehicles we are seeing the current market but for now the emphasis is on petrol.”
The motive is the slipping share of diesel cars in India. “Back in 2017, diesel share in India’s passenger motor vehicle sales utilized to be 39%, very last yr it was 35% and this June it can be down to 23%,” stated Knapp.
“Due to BS-VI diesel has develop into a higher cost selection so we are focussing on fuel economical petrol with our TSI engine variety,” he stated. The cost of possession has also long gone up for diesel cars.
Even in the utilized auto current market, it is petrol vehicles that are providing more quickly. “Today it requires 15 times for us to offer a utilized petrol motor vehicle and thirty times for a utilized diesel,” stated Knapp.
Aside from the diesel exit, the India two. tactic focuses on SUVs for Indian roadways and higher localisation. “We system to enhance localisation amounts from eighty one% now to 93% future yr and our medium phrase aim is to cross 95%,” he extra.
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