Monday, August 14, 2017
By Kamal Swami
Volkswagen To Work Separately Without Collaborating With Tata Motors
According to recent industry report German car maker Volkswagen is speculating to think for the possibilities of introducing its Modular Transverse Matrix (MQB) platform individually for exploring the line-up of its cars in Indian car market. The proposal regarding this was kept on hold while the car maker was searching for growth potentials in India by collaborating with domestic car maker Tata Motors. The German auto giant has been using the same platform for developing number of cars under its flagship. The use of this platform helps in minimizing not only the cost of production but also results in instant production of new vehicles.
It would be interested to know that if the board of directors at German car group approves the proposal then it will mean substantial investment in India as all cars manufactured by the Volkswagen group (Skoda, VW, Seat and Audi) use the same platform for manufacturing their cars. According to the sources of company “Even now, some of the Skoda and Audi cars sold in India are based on MQB. The board will decide on the platform’s local manufacturing in India,”. The source also said that “VW realized that the investment that it would make in the Tata JV will be equal to what it invests on its own in MQB,”
It is reported that on the officials of both Tata Motors and Skoda India Pvt. Ltd (which is looking the whole matter on behalf of VW group) met on August 10th 2017 to decide the opportunities about their expected venture. During the discussion the officials of Volkswagen group expressed their desire of using Tata’s Advanced Modular Platfrom (AMP) which comprises of six platforms for developing the SUVs and cars of different shapes and sizes.
From the resources it is reported that things were eventually taking good shape but due to delay by the VW group throughout the year, the joint venture could not take the expected shape.
