Tuesday, June 24, 2025

Volkswagen Group Considering Reducing Stake In India

Leading European carmaker Volkswagen Group is looking for a partner in India for its subsidiary Skoda Auto Volkswagen India Pvt Ltd (SAVIPL). It is currently fully owned by Volkswagen and managed by the Czech carmaker Skoda.

According to a report by Autocar Professionals, Volkswagen is interested in teaming up with another carmaker to share the investment required for transitioning from traditional Internal Combustion Engine (ICE) vehicles to EV platforms. VW Group is willing to reduce its 100% ownership in SAVIPL if there are significant benefits in sharing platforms and sourcing parts together.

Also Read: Volkswagen Breaks The Mold With Virtus Convertible

SAVIPL

Reports also suggest that Volkswagen Group has already started the development of affordable electric SUVs utilising their MEB21G platform. Codenamed the “PEAK EV” project, it required an investment of roughly 1 billion euros and aims to introduce four distinct SUVs – two each for Skoda and Volkswagen – by the end of the decade.

Due to the substantial investment required for venturing into the EV sector, the Volkswagen Group is looking for a partner to share both future investments and risks. This partnership would also enable them to leverage their EV technology on a global scale.

Mahindra INGLO platform partnership with Volkswagen Group

In recent years, Volkswagen has discussed sharing vehicle architecture as well as production capacity in India with Tata Motors and SAIC (MG Motor’s parent company). The company has also been in talks with Mahindra to potentially share the MEB21 compact EV platform for their upcoming electric vehicle lineup. The two companies have recently signed an agreement enabling Mahindra to access components from the MEB’s inventory for its INGLO electric platform.

Also Read: Maruti Suzuki To Launch Fronx Hybrid In 2025, Swift Hybrid In 2027

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