After a stellar 2022, Volkswagen India is aiming for a big turnaround in 2023; here's how

In 2022, the success of new models and exports of made-in-India models like Volkswagen Taigun, Volkswagen Virtus and ŠKODA KUSHAQ helped ŠKODA Auto Volkswagen (VW) India reach a sales milestone of 1 lakh units. All VW Group brands, including ŠKODA, Volkswagen, Audi, Porsche and Lamborghini, grew during the year.

ŠKODA AUTO India registered its highest-ever sales volume with a growth of 125 per cent. Volkswagen India grew by 58 per cent, its highest in the last 5 years. The Group’s luxury brands, Audi, Porsche and Lamborghini maintained their upward trajectory with strong double-digit growth, the group said. Their domestic sales grew by 86 per cent over 2021 with 101,270 units sold and exports stood at 33,397 units. The company says that the group sales that crossed five-digits in the month of December 2022 paved the way for sustained growth momentum in 2023.

“We have much to be proud of in 2022. The significant growth across our Brands, robust demand and record-breaking sales are a testimony to the success story we have been scripting. While challenges around the ongoing chip shortage and increasing input costs continued, we successfully re-calibrated, taking action with agility and speed to minimize the impact of these," Piyush Arora, Managing Director and CEO of ŠKODA AUTO Volkswagen India said.

The company's pivot to made-in-India models, built on the VW group’s MQB-A0-IN platform, has played a crucial role in delivering significant volumes. "Our made-in-India models are rapidly gaining popularity and universal recognition, for their world-class quality, robustness and stylish designs, and have opened new customer segments and markets for us," Arora said.

Last year, the group introduced more than 20 model updates through across its five brands and crossed 1.5 million production milestone. "India is one of the key markets for the Group and will continue to contribute strongly to our global operations. We are committed to India and will intensify our customer focus with an exciting model portfolio across segments, focusing on safety and driving dynamics and consistent efforts towards optimizing total cost of ownership. Our growth levers are in place and we are confident that we will continue to build on this momentum with the right mix of products, technologies, and a growing footprint," Arora added.

According to Christian Cahn von Seelen, Executive Director, Group Sales & Marketing, SAVWIPL, for VW and ŠKODA, 2022 saw the group rolling out the complete INDIA 2.0 portfolio, with both brands clocking significant sales growth. "Audi showcased solid performance in volume.  Our Sports and Supersports car brands – Porsche and Lamborghini are scaling new heights, with an exciting portfolio of unique vehicles, thrilling experiences and exhilarated customers all over India. Our luxury EVs, the Audi e-tron and Porsche Taycan achieved remarkable resonance in the market," he said.

ŠKODA KUSHAQ and Volkswagen Taigun also achieved a 5-star rating in Global NCAP crash tests, the first cars ever to receive 5 stars for Child Occupant Protection as well as 5 stars for Adult Occupant Protection by Global NCAP. "We continue to work tirelessly to make our cars robust, safe and desirable. With over 40 active and passive safety features as standard and a host of cutting-edge technologies our cars offer the most advanced equipment to enhance the safety and driving experience of our customers," he added.

According to the group, ŠKODA SLAVIA and VW Virtus have rejuvenated the sedan segment and in the electric vehicle segment, Audi e-tron and Porsche Taycan are paving the way forward.

Through 2023, it will continue to focus on Make-in-India and SKILL INDIA that has created a strong base of developers, engineers and suppliers in India for the World. India, it said, will play a key role in ŠKODA AUTO’s entry into the Vietnamese market. Assembly of the Made-in-India ŠKODA KUSHAQ and SLAVIA model will begin in Vietnam in 2024. "We are fully geared to charge ahead on this growth trajectory with a clear focus on creating value for our customers and stakeholders," Arora said.

Exports will continue to remain a fundamental pillar of growth for the group which exports to 44 markets globally from India.

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