Volkswagen is reducing the development cost of its EV platform in India by about one-third to roughly US$700 million, down from US$1 billion, according to sources familiar with the matter.

The German automaker is seeking an Indian partner to help share costs and risks after talks with Mahindra & Mahindra ended last year.

Skoda Auto Volkswagen India, the local subsidiary, is in discussions with an Indian contract manufacturer, and has also approached JSW Group to explore partnerships.

Volkswagen has a 2% market share in India despite nearly two decades of operations.

The company is considering short-term options like importing EVs if a trade agreement is reached between the EU and India, as its first India-made EV is expected to launch in 2028.

🔗 Source: The Economic Times

Recent Volkswagen developments