Skoda Auto is intensifying its strategic focus on the Indian market as part of a broader initiative to diversify beyond its traditional European base. CEO Klaus Zellmer described India as a “second pillar” for the company, aimed at reducing over-reliance on Europe and mitigating risks associated with geopolitical uncertainties and fluctuating markets.
To support this strategy, Skoda plans to localise its CMP21 platform, originally developed in China, to produce battery electric vehicles (BEVs) tailored specifically for Indian consumers. Zellmer emphasised the need to adapt products to local preferences, stating, “We want to develop a second pillar or second leg in India to stand on.” This approach underscores the company’s commitment to creating vehicles that meet Indian customers’ expectations in terms of design, performance, and affordability.
Skoda has experimented in India with the Enyaq electric SUV, but the company is cautious about directly introducing European models like the Skoda Epiq. Instead, Zellmer explained, “We are going to bring it over as a technology, but we’re going to localise and source everything for the platform in India for India.” This strategy ensures that Skoda’s EVs are optimised for Indian road conditions, pricing, and consumer needs while leveraging global technological expertise.
Škoda Auto Volkswagen India (SAVWIPL), the entity managing operations in the country, oversees five brands: Skoda, Volkswagen, Audi, Porsche, and Lamborghini. Under the ‘India 2.0 Project’, the Volkswagen Group invested €1 billion between 2019 and 2021, with Skoda leading the charge in electric mobility initiatives. The new localised EV initiative reflects a continuation and deepening of this commitment, aiming to capitalise on the rapidly growing Indian EV market.
The company’s pivot toward India aligns with a broader global trend of diversifying production and market bases. By localising platforms, sourcing components domestically, and tailoring products for the Indian consumer, Skoda intends to establish a strong and sustainable presence in India’s automotive landscape, particularly in the EV segment.
This move highlights Škoda’s recognition of India as a strategically important market for future growth, with the potential to serve as a key hub for electric mobility innovation, production, and adoption in the region.
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