VW zeroing in on India’s entry segment

“In major markets such as India, South America and Russia, Volkswagen intends to develop the economy segment,” the company said in a release as it revealed its future strategy. VW said the economy segment comprises attractively priced entry-level vehicles and is highly relevant for multiple markets in Asia.

VW has been working to increase its presence in the segment, which is evident in the Ameo, a compact sedan made specifically for India. The Ameo has helped improve VW’s sales. The carmaker sold 4,014 units in November 2016, up 107 percent from 1,942 units sold in the corresponding month of the previous year. However, it will be interesting to see the products VW has in the pipeline for India. It famously ruled out the Up hatchback for our market owing to high costs associated with the programme. 

The Polo will be a crucial part of VW’s plans. The carmaker is reportedly working hard to increase the local content on the next-gen Polo to enable a more competitive price tag. The next Polo is also expected to be built on a longer wheelbase for added cabin room.

VW’s entry-level Up was formerly ruled out for India owing to high costs.