Skoda Auto Volkswagen India (SAVWIPL) has secured in‑principle, approval to proceed with their India 3.0 plan. The group has announced a ₹10,000 crore investment to deepen its operations in the country. The group hasn’t lacked ambition, but has often been poor at execution. With their India 2.0 plan, they tried to capture more market share but haven’t quite lived up to their own expectations. SAVWIPL returned to the drawing board to find a cost-effective solution. The impending CAFE III norms make it essential for manufacturers to offer an EV to reduce fleet CO2 emissions in order to avoid penalties.
What’s In Store?
The company has decided to move into the premium SUV & MPV market with their new CMP-21 (IMP) electric vehicle platform. Previously, they focused on the mass-market and volumes with their MQB-A0-IN models. India’s utility-vehicle sector (both SUVs and MPVs) now makes up 65% of passenger car sales. SAVWIPL’s pivot is in part a response to sluggish uptake of models like the Kushaq, Slavia, Taigun and Virtus, which under-performed compared to their own expectations.
The new CMP-21 platform supports vehicles of lengths between 4.3 Meters and 4.8 Meters with fully-electric powertrains. Originally developed in China, CMP stands for China Main Platform. Skoda-VW is expected to launch its first electric SUV based on this platform by mid-2027. A wheelbase of 2771 MM, identical to that of the global ID.4, which might translate to good cabin space. The platform will support both rear-wheel drive and all-wheel drive configurations, with battery packs ranging between 40 kWh and 80 kWh compatible.
Product Roadmap
The CMP-21 could enable the group to develop electric versions of existing ICE models like the Kushaq and Taigun. But this time, there’s more to it than a simple powertrain swap.
There could be a 7-seater electric SUV, capturing the audience waiting for the Mahindra XUV.e9 and a potential Tata Safari EV. A family-oriented electric MPV is also under consideration. The platform would also support a potential electric Taigun/Kushaq/Virtus/Slavia as well.
Conclusion
With SAVWIPL’s dwindling volumes, reflecting their performance under the India 2.0 plan (mostly redeemed by the Kylaq) this could perhaps change the group’s fortunes in India, where they are seen as a relatively premium brand and could perform better in more premium segments.
