Volkswagen

Volkswagen aims to rule Indian raods
Next-gen Polo and up!-based microcar for mass market Passat, Tiguan, and Jetta gun for premium segment Phaeton and Touareg to challenge Merc, BMW and Audi

VOLKSWAGEN HAS REVEALED its future model plans for India which includes a wide range of models from an all-new small car that's still on the drawing board to the super luxury Phaeton. The German carmaker is deadly serious about its foray into the market which it kicked off with the launch of the Passat last month. However, the Passat is only the tip of the iceberg and in the next five years a slew of models could see VW producing as many as 240,000 units a year by 2012.

Key to Volkswagen's India plans are two mass-market models which will be produced in large volumes in VW's upcoming factory in Chakan. The first is the sixth-generation Polo (AO6) hatchback (code: PQ25XEM) OW is under development. The Polo will be positioned in the premium hatchback segment alongside the Skoda Fabia and Honda Jazz. A saloon version of the Polo is also a possibility which would put it smack into City and SX4 territory. Getting the cost structure right so that its products can be priced competitively is VW's biggest challenge and Jochem Heizmann, VW's head of global pro-duction, admits that "things are difficult for the supplier base in India as they have to meet our tough quality standards at very competitive costs"

The Polo is expected in 2009 with an all-new 1.6-litre common-rail diesel. However, for the Indian market, VW might have to look at another diesel engine option below 1.5 litres to avail of excise benefits, if the engine capacity regulation is still around at the time.

The bigger selling model will be an all-new small car that will be based on the up! microcar concept VW revealed recently at the Frankfurt Motor Show. VW will build a four-door hatchback of this new platform (code: New Small Family) which, like the Tata 1-lakh car, follows a rear engine, rear-wheel-drive layout. Dubbed the A000 in VW's platform hierarchy, the new microcar will be built in three different markets of the world from 2010. Production of the new microcar in India could begin by 2011. With a length of only 3.4 metres, the microcar is shorter than the Alto but a longer wheelbase is under development.

According to the industry grapevine, VW has set an aggressive price target of under Rs 3 lakh as success of the small car hinges on a super-competitive price. However, a lot depends on the level of localisation and cost management of the programme. VW has been in talks with Indian companies including Bajaj Auto (see panel) to help develop the car.

The next-generation Jetta, which will be spun off the future Golf platform (A6), is expected in India sometime in 2009 soon after its global launch. This three-box saloon will compete with the Civic, Corolla and sibling Octavia. All the new Volkswagens will come with state-of-the-art petrol engines and a new range of diesels, based on a new common-rail diesel engine platform that is still under development. VW has ditched the unit injector of Pumpe Duse technology the current Passat and Skoda Laura come with. Meanwhile, VW is embarking on a spare-no-cost dealer development programme (the Mumbai dealer Presidential Cars is rumoured to be spending Rs 18 lakh per month in show room rent!) its range. VW said it was serious about India but now we know how serious!